Share-blocking vs. cumulative voting

archived_user

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Which of the following would most likely be considered a poor corporate
practice in terms of promoting shareholder interests?
A. The firm can use “share blocking:

B. The firm uses a third party to tabulate shareholder votes.

C. Voting for board members does not allow cumulative voting by shareholders
of all votes allotted to their shares.

Maybe this question is poorly worded, but I do not get why the answer would be A instead of C. Isn’t C also the correct answer (since not allowing cumulative voting is detrimental to the average shareholder)?
 
keep_running wrote:
Isn’t C also the correct answer (since not allowing cumulative voting is detrimental to the average shareholder)?
That is exactly what C) says. They are not allowing cumulative voting and that is detrimental to the minority shareholders so that is poor corporate practice.
 
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