With the separation of ownership from control arises the potential of a conflict of interest between:

Question

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The separation of ownership from control means that the owners (shareholders) are not directly controlling the management of the company. This creates the potential for a conflict of interest between the owners and the managers, as the managers may prioritize their own interests over those of the shareholders. Examples of this could include managers making decisions to increase their own compensation or benefit their own personal investments, rather than maximizing shareholder value.

With the Separation of Ownership from Control Arises the Potential