Corporate bylaws are a company's foundational governing document. They lay out how things should run day-to-day and the processes for making important decisions. They serve as a legal contract between the corporation and its shareholders, directors, and officers and set the protocol for how the organization operates.
Shareholders are an essential component of a company's governance structure. They are the owners of the company and hold the power to elect the board of directors, approve major transactions, and make changes to the company's bylaws.