This is classified according to the external organizational relationship of companies, that is, the relationship between control and being controlled, attachment and being attached between different companies. However, there is absolutely no relationship between the two. The parent company and its subsidiaries are independent enterprise legal persons in legal status and can independently participate in foreign business activities. On the relationship between the two, the parent company can control the operating principles of its subsidiaries and even give instructions on their specific operations and trading activities. This relationship is linked by capital, and the parent company is either wholly-owned or the subsidiary company has a majority stake.