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In which example is conflict of interest handled correctly?

Answer and explanation

Correct answer: Manager removed himself from decision on relative bid

The direct answer is A: the manager removed himself from deciding on the relative’s bid. A conflict of interest occurs when personal relationships or benefits may influence an official decision. The correct steps are to recognise the conflict, disclose it honestly, and avoid taking part in that decision. Option A is correct because withdrawal protects fairness and allows an impartial person to decide. Option B is wrong because secretly giving a relative an advantage is favouritism and damages trust. Option C is wrong because accepting a gift can influence, or appear to influence, the purchase decision and may be unethical. Option D is wrong because hiding relevant information prevents transparency and may lead to an unfair result. The manager is not punished for having a relative; the professional duty is to prevent personal interest from controlling organisational work. Memory cue: disclose, distance yourself, and let an unbiased person decide.

Related tags

ManagementProfessionFair Decision

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