A meristem is a plant tissue composed of undifferentiated cells that are capable of continuous cellular division and differentiation and is found in the growing tips of roots and stems. By contrast, a vascular bundle is part of the vascular system of a plant, consisting of vascular tissue (xylem and phloem) organized in a cylinder within the stem. The function of the vascular bundle is to transport nutrients and water throughout the plant. In terms of structure and function, meristems and vascular bundles are very different from one another.