In the late 1800s, managers of European organisations could not delineate their personal goals from that of organisational goals, hence the use of organisational resources to pursue personal goals.

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In the late 1800s, the concept of professional management was not as developed as it is today, and the distinction between personal and organizational goals was often blurred. Managers frequently used organizational resources to pursue personal interests, as there were fewer formal structures and controls to prevent such behavior.

In the Late 1800s, Managers of European Organisations Could Not