The Zilo Corp. has 1,000 shareholders and is preparing to elect three new board members. You do not own enough shares to control the elections but are determined to oust the current leadership.
The most likely result of this situation is a:

Question

Quizplus · Accepted Answer

As a minority shareholder, a proxy fight (where you seek support from other shareholders to elect new board members) is the most viable option to challenge the current leadership. Negotiated or arbitrated settlements are unlikely since you do not own enough shares for controlling power, and a legal battle would be costly and time-consuming. Total loss of power is also not an option, as you can still try to influence the company's decisions through shareholder activism. Therefore, the best option is a proxy fight to gain support from other shareholders to elect new board members.