The following are some of the actions shareholders can take if the corporation is not performing well:
A) Replace the board of directors in an election.
B) Force the board of directors to change the management team.
C) Sell their shares of stock in the corporation.
D) Any of the above

Question

Quizplus · Accepted Answer

All of the above actions can be taken by shareholders to address underperformance of a corporation. Replacing the board of directors, who are responsible for overseeing the management team, can bring new leadership and decision-making to the company. Forcing a change in the management team can bring new expertise and ideas. Selling shares is a way to cut losses and invest in other companies with better performance. Ultimately, the best action will depend on the specific circumstances of the corporation and the goals of the shareholders.

The Following Are Some of the Actions Shareholders Can Take