What is a common reason for shareholders to call a special meeting?

Shareholders often call a special meeting to address urgent business matters that require immediate attention. This could involve a variety of critical issues, such as changes in corporate governance, potential mergers or acquisitions, financial crises, or significant shifts in business strategy. The urgency of these matters necessitates a prompt gathering of shareholders beyond the regular meeting schedule.

The other options do not typically warrant a special meeting. Electing a new president usually occurs during the annual meeting unless necessitated by unique circumstances—such as a sudden vacancy—which can be managed in the context of regular electoral processes. Deciding on entertainment for corporate events or collecting employee feedback are generally not matters that require shareholder input and are therefore more suitable for management or internal discussions rather than special shareholder meetings.