Fungi reproduce through three main methods: vegetative reproduction through fragmentation or budding, asexual reproduction through spores produced on specialized structures, and sexual reproduction through the fusion of haploid gametes. Asexual reproduction can be endogenous through spores produced inside sporangia or exogenous through spores (conidia) produced on conidiophores. During sexual reproduction, haploid gametes from two parents fuse and undergo meiosis to produce diploid spores, restoring the haploid phase.