Which of the following actions demonstrates a conflict of interest?

Question

a. A business owner serves in the government agency that regulates the business she owns.
b. A business owner lowers the quality of the products he sells to try to earn more profit.
c. An employee makes personal phone calls on company time.
d. A business manager raises the price of products his store sells to try to earn more profit.

Answer 1

The action that demonstrates a conflict of interest is:

a. A business owner serves in the government agency that regulates the business she owns.

This scenario presents a conflict because the business owner's role in the government agency could influence decisions that impact her own business, leading to potential ethical issues and favoritism.