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If you intend to publish their games, you have to be careful with their genres, as publishing three NPC games with the same main genre within the last five games published can trigger the "bored fans" debuff, which halves their sales.
If you want their games to have more chances of being good, give them a lot of development time. If you just want them to flood the market with mediocre trash, give them short development times.
I personally set one subsidiary to publisher-only and use them to earn more money per sale without having to bother with self-publishing. When I do bother with publishing, I tend to have all my subsidiaries work in my special genre, so I can safely publish all their stuff. Also, I don't care about rankings or overcrowding so I don't mind them "competing" with me. Who cares if my best RPG is only #25 in the all times chart, when all the top 24 earned me profit?
Depends on the studio, i some times target certain IPs for them.
One drawback of IP focus: If there's one game in the market for an IP - even if it's a budget version - then the developer will not work in that IP. If all IPs you set as focus already have a game out, then your developer will just sit there doing nothing until one of those IPs becomes "free" again. That's how it worked one month ago, though, so it may or may not have been fixed, I haven't checked.
NIne times out of ten, I treat subsidiaries as "collector items." I just buy them when I have the money to buy them and may just close them down and sell them when I'm done collecting them all - which can effectively make you the "best by default" if you edit certain files to allow buying of all NPC companies. "Want to buy a console? Well, either buy one of mine, or don't buy any. Want to buy games for those consoles? Choose one of our games, or don't play anything at all."
Yes, with a bit of modding you can finally achieve what Micro$oft, Nintendollar, $ony and $ega have been trying to do for decades. Monopoly is only a bad thing when others are doing it. ;)
I basically wont do much with subsidiaries. If I buy one, it's because I either want to "sell" them an IP that I don't want anymore and then sell the company afterwards. Usually profit a couple million doing that. Or they might have an IP that I want to make a sequel or spin off for, rare though.