Outgoing executive chairman Shi had been a target for unhappy Wolves fans, with critics viewing him as overseeing a managed decline of the club under Fosun.
He had been a target of supporters’ anger for months, with long-term frustrations now boiling over as Wolves – 14 points from 17th place – stare at a return to the Championship.
Wolves host Brentford on Saturday and will be looking to avoid equalling the Premier League’s worst opening winless run.
If they fail to beat the Bees at Molineux they will match the longest winless start to a Premier League season of 17 games – set by Sheffield United in 2020-21.
Under the departing Shi, Wolves won promotion from the Championship in 2018 with Nuno Espirito Santo in charge of the team before having two successive seventh-placed finishes in the top flight.
They also reached the quarter-finals of the Europa League in 2020 and an FA Cup semi-final in 2019.
Speaking last week, Jeff Shi said he understood fans’ frustrations, with several thousand boycotting the opening 15 minutes of the 4-1 defeat by Manchester United on 8 December.
“It’s a very natural feeling from the fans,” he said. “Five or six years ago we were at some heights, the semi-final of the FA Cup and quarter-final in Europe.
“When you have reached those heights, fans don’t want to let it go. I feel it myself. When you lose something like that it’s a tough blow – for this I have empathy.
“I’m not only a fan, I’m the CEO and chairman in the club. I have to think about how to judge the last decade in a more factual way and think about the next 10 years.”
Shi spoke to BBC WM last week, alongside technical director Matt Jackson, and the pair suggested Wolves got their transfer business wrong in the summer.
“Maybe we sold too many players in one window,” Jeff Shi said. “You can see the squad and compare it to last season, maybe we changed 40 or 50% of the key players.
“It’s a task to rebuild a team but the Premier League is very tough. If you can’t control the tempo and need a longer time to rebuild the team the games will punish you.”