Affiliate: refers to an enterprise that has great influence but lacks control, or an enterprise that has great influence but is not controlled by it.
Subsidiary: refers to having an absolute controlling stake (more than 50% of the shares) or holding a relative controlling stake (refers to having complete control over its shares, although it has not reached 50%, but due to the diversification of shares, etc.).
Company profile:
Enterprises are generally independent accounting economic units engaged in production, circulation or service activities for the purpose of making profits. It is an important part of society to have an economic part composed of state units or private individuals to create taxes and profits for the state and individuals!
Basic explanation
An enterprise refers to an independent accounting enterprise established according to law, which is engaged in commodity production, management and service activities for the purpose of making profits.
Economic organizations, broadly speaking, include for-profit and non-profit categories.
In the category of commodity economy, as one of various modes of organizational unit, according to certain organizational rules, an organic economic entity generally takes profit as its purpose and maximization of the interests of investors, customers, employees and the public as its mission, and exchanges income by providing products or services. It is the product of social development, and develops with the development of social division of labor. Enterprises are the main body of market economic activities; Under the socialist economic system, the coexistence of various enterprises constitutes the micro-foundation of the socialist market economy. Corporate enterprise is the most important and typical organizational form in modern enterprises.
The meaning difference between company and enterprise
Enterprise refers to a profit-making economic organization that combines human factors with material factors and engages in economic activities independently. The basic meaning of this definition is: an enterprise is an economic organization; Enterprise is a combination of human factors and material factors; Enterprises have operational autonomy; Enterprises are profitable. According to the needs of practice, enterprises can be divided into different categories according to different attributes. For example, according to the different organizational forms of enterprises, they can be divided into sole proprietorship enterprises, partnership enterprises and corporate enterprises; According to the different legal attributes of enterprises, they can be divided into legal person enterprises and unincorporated enterprises; According to different industries, enterprises can be divided into industrial enterprises, agricultural enterprises, construction enterprises, transportation enterprises, post and telecommunications enterprises, commercial enterprises, foreign trade enterprises and so on.
According to Chinese laws, companies refer to limited liability companies and joint-stock limited liability companies, which have all the attributes of enterprises.
Therefore, the relationship between companies and enterprises is a genus. All companies are enterprises, but all enterprises are not necessarily companies. A company is just an organizational form of an enterprise.
Enterprise classification
(1) It is divided into sole proprietorship enterprises, partnership enterprises and corporate enterprises according to the mode and responsibility of investors.
(2) According to different investors: domestic-funded enterprises, foreign-funded enterprises and enterprises invested by Hong Kong, Macao and Taiwan businessmen.
(3) According to the ownership structure, it can be divided into enterprises owned by the whole people, collective enterprises and private enterprises.
(four) according to the different points of responsibility of shareholders to the company; Unlimited liability company, limited liability company, joint stock limited company.
(5) Joint ventures, associated companies and associated companies by credit rating.
(6) parent company and subsidiary company
(seven) according to the scale can be divided into large enterprises, medium-sized enterprises and small enterprises.
(eight) according to the economic sector can be divided into agricultural enterprises, industrial enterprises and service industries.