This chapter discusses how internal governance mechanisms may diverge from the legal starting point of a limited liability entity as directed by its corporate board and that shareholders (including a parent company) are only permitted to exercise their power through the means of the general meeting. I have, to analyze internal governance mechanisms on the outskirts of the law, drawn on management literature to broaden the rather narrow discussions in corporate law on the strategic and coordinative means of a parent company. This chapter therefore, through this, adds a discussion of the factual divergence between law and practice and between formal ownership structures and internal control structures to corporate law literature.