One of the flaws in the board of directors of Enron was that many of the directors were affiliated with organizations that benefited directly from Enron's operations.

Question

Quizplus · Accepted Answer

This is true. Many of Enron's directors had financial ties to the company, which compromised their ability to oversee the company objectively and in the best interest of shareholders. This conflict of interest contributed to the failure of Enron.

One of the Flaws in the Board of Directors of Enron