A corporation is a separate entity that has been incorporated either directly through legislation or through a registration process established by law.
A conglomerate is a combination of two or more corporations engaged in entirely different businesses that fall under one corporate group, usually involving a parent company and many subsidiaries.
corporations but not all corporations are classified as conglomerates.
Both conglomerates and other types of corporations are legal entities,
which means that the entity itself can buy assets or face lawsuits.
Corporations, including conglomerates, must also pay state and federal
taxes. However, conglomerates are distinguished by the fact that they
have much more complex structures than other types of corporations.
Corporations tend to
market products and services that are related to one sector of the
economy, such as information technology, the automobile industry or
banking. A conglomerate consists of a corporation that has a controlling
interest in several other corporations
A corporation must
register with a particular state before it can begin operations in that
state, which means that major corporations have to register in many
different states. Corporations owned by conglomerates also have to
register at the state level, but the conglomerate itself does not have
to register in every state where its subsidiaries operate.
Shares in global
conglomerates are usually traded on several different stock markets
around the world. Shares in many corporations are publicly traded and
some firms are listed on multiple stock exchanges. However, shares in
some corporations are privately held, which means you cannot buy or sell
stocks of these firms on the open market.