Entrepreneurship & Innovation

Negotiation scholars and practitioners have long noted the impact of face, or social image, concerns on negotiation outcomes. When face is threatened, negotiators are less likely to reach agreement and to create joint gain. In this paper, we explore individual differences in face threat sensitivity (FTS), and how a negotiator's role moderates the relationship of his or her FTS to negotiation outcomes. Study 1 describes a measure of FTS. Study 2 finds that buyers and sellers are less likely to reach an agreement that is in both parties' interests when the seller has high FTS.

This article focuses on the role of threats in negotiations. Broadly speaking, a threat is a proposition that issues demands and warns of the costs of noncompliance. Even if neither party resorts to them, potential threats shadow most negotiations. Researchers have found that people actually evaluate their counterparts more favorably when they combine promises with threats rather than extend promises alone. Whereas promises encourage exploitation, the threat of punishment motivates cooperation.

In this chapter, the authors argue that having a position of leadership often means having power over other people and that this power may have psychological consequences on the leaders. Specifically, they review research that supports their hypothesis that power tends to make people action prone — leaders tend to act. This tendency may be fine when action is called for, but it may interfere if caution and patience are called for.

Three experiments investigated the hypothesis that power increases an action orientation in the power holder, even in contexts where power is not directly experienced. In Experiment 1, participants who possessed structural power in a group task were more likely to take a card in a simulated game of blackjack than those who lacked power. In Experiment 2, participants primed with high power were more likely to act against an annoying stimulus (a fan) in the environment, suggesting that the experience of power leads to the performance of goal-directed behavior.

We hypothesized that the activation of a counterfactual mind-set minimizes decision errors resulting from the failure of groups to seek disconfirming information to test an initial hypothesis. To test this hypothesis, we conducted two experiments examining the decision making processes of groups. The task for both experiments was modeled after the Space Shuttle Challenger disaster, and groups had to actively seek disconfirmatory information to make a correct decision.

Four studies explored behavioral forecasting and the effect of competitive expectations in the context of negotiations. Study 1 examined negotiators' forecasts of how they would behave when faced with a very competitive versus a less competitive opponent and found that negotiators believed they would become more competitive.

Three experiments explored the effect of outcome delays — longer time horizons for the realization of outcomes — on the efficiency of negotiated agreements. We hypothesized that there would be a positive relationship between a longer temporal distance to the consequences of negotiated agreements and the efficiency of those agreements. Outcome delays did increase the efficiency of the negotiated agreements. In addition, type of resource, burden or benefit, moderated this relationship.

We present a model of reappropriation, the phenomenon whereby a stigmatized group revalues an externally imposed negative label by self-consciously referring to itself in terms of that label. The model specifies the causes and consequences of reappropriation as well as the essential conditions necessary for reappropriation to be effective. To place the concept of reappropriation in proper context, we begin by discussing the roots of stigma and the mediating role played by social categorization and social identity in the realization of stigma's deleterious effects.