When a wholly owned subsidiary is established in a foreign country, the parent company, which remains in the United States, gives up ownership, authority, and control of over all phases of the operation in the foreign country.

Question

Quizplus · Accepted Answer

When a parent company establishes a wholly owned subsidiary in a foreign country, the parent company retains ownership, authority, and control over the subsidiary, rather than giving it up.

When a Wholly Owned Subsidiary Is Established in a Foreign