Foreign subsidiary

Foreign subsidiary refers to directly investing in a foreign country by setting up a separate and independent production facility or office.

Definition

According to Management by Robbins and Coulter (14th edition),

Foreign subsidiary. Directly investing in a foreign country by setting up a separate and independent production facility or office.

According to the HRBoK Guide,

Foreign subsidiary. A legal term defining ownership of a foreign company. A company that is more than 50 percent owned or controlled by a parent organization in another country.