1. A holding company is a company that controls a company by holding a certain number of shares in the company.
 2. Holding companies are divided into pure holding companies and mixed holding companies according to the way of holding.
 3. The pure holding company is not directly engaged in production and operation business, but carries out capital operation by holding shares of other companies.
 4. In addition to carrying out capital operations through holding, hybrid holding companies also engage in some production and operation businesses.
 5. The holding company not only has the financial control power of the subsidiary, but also has the control power of the operation, and has the decision power to appoint important personnel and determine the major policies, and even directly sends people to operate and manage.
 6. It is also called parent subsidiary company system.
 7. The company that owns the shares of other companies and can actually control its business activities is called the parent company, sometimes also called the head office; A company whose assets are wholly or partially owned by the parent company, but are economically and legally independent from the parent company is called a subsidiary.
 8. With the extension of control, there are also sub subsidiaries.