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with the work of Heider, who noted there were
three personal disposition factors �ability, power,
and intention) and three situational factors �task
difficulty, opportunity or luck) which must be
taken into account when explaining unsatisfactory
outcomes �see satisfaction). Other researchers
such as Jones and Davis added to Heider's idea by
proposing that attributions will vary according to
whether or not individuals are likely to have some
knowledge of the consequences of their behaviour
and are able to perform the behaviour.
Kelley noted important differences between repeated
situations and individual events as well as
highlighting what has been termed the fundamental
attribution error. The `error' refers to
people's predisposition to make themselves look
good in a social context by attributing unexpected
negative outcomes to the behaviour of others,
while positive ones are attributed to their own skill
or influence.
In the tourism context, attribution theory has
been applied to studies of tourists' complaints. It
can be argued that tourists who attribute negative
outcomes to individual factors �such as explaining
seasickness in terms of their own constitution) will
be less likely to be dissatisfied than those who
attribute the negative situations to tourism businesses
�such as feeling ill because of poor boat
management). Attitudes towards tourism development
may also be understood through attribution
theory. For example, when a controversial
development proceeds, attributions based on
negative individual dispositional characteristics
�such as crookedness, collusion, insensitivity to
community perspectives) may ultimately be
harmful to tourism decision making processes
and thus to business interests.
Further reading
Pearce, P.L. and Moscardo, G.M. �1984) `Making
sense of tourists' complaints', International Journal
of Tourism Management 5: 20±3.
Shaver, K.G. �1985) The Attribution of Blame, New
York: Springer Verlag.
PHILIP L. PEARCE, AUSTRALIA
auditing
auditing 39
Auditing is the examination of the financial
statements of an organisation, with reference to
the underlying accounting records and other
evidence, by an independent party �the auditor) in
order to express an opinion on the adequacy of
those financial statements. In the case of external
auditing, what counts as adequacy is generally laid
down by law or by a regulatory agency. In the
United Kingdom and other member states of the
European Union, the general criterion of
adequacy is whether the financial statements give
a `true and fair view' of the financial position and
results of the organisation. However, the term `true
and fair view' is interpreted somewhat differently
in different member states. For example, in
Germany there is a specific requirement that the
true and fair view should be given in compliance
with generally accepted accounting principles. In
the United States, the criterion is fair presentation
in accordance with generally accepted accounting
principles. On the basis of the audit, the auditor
writes a statement of opinion. The form and
wording of such statements of opinion usually
follows standards issued by the auditor's professional
body in the light of legal requirements.
Typically, the auditor's opinion states either that
the financial statements satisfy the criterion of
adequacy without reservation �a clean opinion), or
that they do so subject to certain specified matters
or with the exception of the treatment of one or
more specified items �a qualified opinion), or that
the auditor is unable to express an opinion �a
disclaimer).
The independent party who carries out an
external audit must be an accountant who holds a
legally recognised qualification as an auditor. In
some countries, a firm �professional partnership) of
auditors may act as auditor, and the auditor's
opinion is signed in the firm's name. In other
countries, a qualified auditor must sign in his or her
own name; in the case of a firm, this means that it
is the partner in charge of the audit who signs in his
or her name. The scope of an auditor's work is
based on testing the proper functioning of the
organisation's accounting systems using sampling
techniques. This includes obtaining independent
verification of bank balances and of a sample of