A division is a smaller part of a parent company that is in charge of products or services that are different from what the parent company offers. The name of a division may or may not be the same as that of the parent company.
When a big company sells more than one kind of product or service, they usually split into different divisions. Each division works on a different part of the business plan for the parent company. The parent company is legally responsible for its divisions’ debts and obligations. A subsidiary, on the other hand, is a separate legal entity even though it is still owned by the parent company.