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A Manager at an Automobile Plant Had Two Suppliers That

question 75

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A manager at an automobile plant had two suppliers that delivered defective parts. She now thinks that all suppliers are unreliable. Which of the following cognitive biases is being experienced by this manager?


Definitions:

Price Decrease

A reduction in the cost at which goods or services are sold in the market.

Demand

The capacity for purchasing goods or services that people demonstrate readiness and financial ability for, at diverse price levels, during a certain timeframe.

Law Of Demand

The economic principle stating that as the price of a good or service increases, consumer demand for the good or service will decrease, and vice versa.

Income Increases

A situation wherein individuals or entities experience a rise in their earnings or profits over a certain period.

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