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A company can set up a branch in the foreign country to handle the sales of the product abroad. A parent company specifies the tasks and goals of a branch. Those usually consist of marketing and selling the product. If the managers of the parent company decide to arrange the company's own production facilities (plants, factories, etc) overseas, they set up a subsidiary. A subsidiary works under the laws of the foreign country and to the profit of its parent company. Some subsidiaries are to a great extend independent of their parent companies because the home management believes that the on-site managers are in the best position to make decisions.
Products
Subsidiaries
Branches
Subsidiaries and Branches