The existence of dual-class shares allows a minority shareholder to have significant control of a firm.

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Dual-class shares typically give certain shareholders, such as founders or executives, greater voting power per share than regular shareholders. This can allow a minority shareholder with a greater number of these special shares to have significant control over the company's decisions, even if they do not hold a majority of the total shares.

The Existence of Dual-Class Shares Allows a Minority Shareholder to Have