A Purchasing Agent Who Is an Owner of 25% of the Shares

question 30

True/False

A purchasing agent who is an owner of 25% of the shares in a supplier does not have a conflict of interest.

---

Definitions:

Fundamental Attribution Error

The cognitive bias of overemphasizing personal characteristics and underestimating situational factors when explaining others' behaviors.

Cognitive Dissonance

The mental discomfort experienced by an individual who holds two or more contradictory beliefs, ideas, or values at the same time.

Foot-In-The-Door

A persuasion technique where one starts with a small request to gain eventual compliance with larger requests.

Dispositional Attribution

The tendency to attribute someone's actions or behavior to their internal qualities or personality, rather than external factors.