Business Commons^™

Why Employees Accept Lower Pay At Mission-Oriented Companies, Insiya Hussain, Marko Pitesa, Stefan Thau, Michael Schaerer

Research Collection Lee Kong Chian School Of Business

Today’s companies are likely to tout how their work benefits human welfare or “makes the world a better place.” Recent research suggests that this may come with a potential financial drawback for workers, as it can inhibit them from negotiating for higher pay. Over five studies, job candidates consistently reported that they worried asking for higher pay from these companies would be seen as greedy or inappropriate. This suggests they are aware of a common bias, known as motivation purity bias, where managers believe employees interested in material rewards of work (such as pay) are less motivated than those motivated …

Pay Suppression In Social Impact Contexts: How Framing Work Around The Greater Good Inhibits Job Candidate Compensation Demands, Insiya Hussain, Marko Pitesa, Stefan Thau, Michael Schaerer

Research Collection Lee Kong Chian School Of Business

Past research suggests that when organizations communicate the benefits of their work for human welfare—that is, use a social impact framing for work—job candidates are willing to accept lower wages because they expect the work to be personally meaningful. We argue that this explanation overlooks a less socially desirable mechanism by which social impact framing leads to lower compensation demands: the perception among job candidates that requesting higher pay will breach organizational expectations to value work for its intrinsic (rather than extrinsic) rewards, or constitute a motivational norm violation. We find evidence for our theory across five studies: a qualitative …

Power And Negotiation: Review Of Current Evidence And Future Directions, Michael Schaerer, Laurel Teo, Nikhil Madan, Roderick I. Swaab

Research Collection Lee Kong Chian School Of Business

This review synthesizes the impact of power on individual and joint negotiation performance. Although power generally has positive effects on negotiators’ individual performance (value claiming), recent work suggests that more power is not always beneficial. Taking a dyadic perspective, we also find mixed evidence for how power affects joint performance (value creation); some studies show that equal-power dyads create more value than unequal-power dyads, but others find the opposite. We identify the source of power, power distribution, and competitiveness as critical moderators of this relationship. Finally, we suggest that future research should move beyond studying alternatives in dyadic deal-making, identify …

Ch 16 Kulik Trainingchapter 2019-05-23 Final.Pdf, Carol T. Kulik, Mara Olekalns, Ruchi Sinha

Mara Olekalns

The Business Meeting: A Cross-Cultural Experiential Learning Activity, Arpita Joarder, Konrad Jamro, Ram Ravi

Organization Management Journal

This paper presents a simulation designed to help students learn about the challenges and necessary skills for conducting business in cross-cultural settings. The exercise involves assigning participants to two fictitious cultural groups, each with its own norms and expectations. Participants interact with members of the other culture in accordance with the instructions provided in order to negotiate successfully. This experiential learning activity allows students to reflect on their cross-cultural skills in a simulated business setting. An assessment of the exercise conducted in classroom setting indicated evidence of its effectiveness.

Gender, Emotional Displays And Negotiation Outcomes, Horacio Arruda Falcao Filho

Dissertations and Theses Collection (Open Access)

This paper examined whether positive and negative emotional displays influenced negotiation outcomes (value creation and claiming) differentially for female and male negotiators. Also considered was how negotiation dyad gender composition might affect value creation and claiming. I examined recordings from a negotiation exercise (N = 194). Results revealed that when females expressed negative emotions significantly reduced value claiming on the part of those female negotiators. However, the effects of expressing positive emotions on negotiation outcomes did not vary by negotiator gender. The findings suggest that female negotiators do not need to be positive but only need not be negative to …

Understanding Emotions In The Workplace: A Critical Examination Of The Role Of Emotions In Justice And Negotiation, Annika Hillebrandt

Theses and Dissertations (Comprehensive)

The central role of emotions in organizations, once underrecognized and underappreciated by organizational scholars, has attracted a great amount of research interest in recent years. Despite this important development, I argue that a number of critical questions have remained unaddressed, which limits our ability to predict the outcomes of emotions for individuals and organizations as well as describe employees’ subjective experiences at work. In this dissertation, I contribute to the understanding of the role of emotions in the workplace by identifying critical gaps in the emotions literature, integrating theories from different literatures to address these gaps, empirically comparing the interpersonal …

Imaginary Alternatives: The Impact Of Mental Simulation On Powerless Negotiators, Michael Schaerer, Martin Schweinsberg, Roderick I. Swaab

Research Collection Lee Kong Chian School Of Business

The present research demonstrates that negotiators can act powerfully without having power.Researchers and practitioners advise people to obtain strong alternatives prior to negotiating toenhance their power. However, alternatives are not always readily available, often forcingnegotiators to negotiate without much, or any, power. Building on research suggesting thatsubjective feelings of power and objective outcomes are disconnected and that mental simulationcan increase individuals’ aspirations, we hypothesized that the mental imagery of a strongalternative could provide similar psychological benefits to having an actual alternative. Ourstudies demonstrate that imagining strong alternatives causes individuals to negotiate moreambitiously and provides them with a distributive advantage: negotiators …

Power Dependence And Power Paradoxes In Bargaining, Samuel B. Bacharach, Edward J. Lawler

Edward J Lawler

[Excerpt] What this article (and our larger program of work) is designed to demonstrate is that these very simple ideas represent a particularly suitable starting point for understanding the power struggle between parties who regularly engage in negotiation. Specifically, in this article we show that the approach contains certain paradoxes regarding the acquisition and use of power in an ongoing bargaining relationship. The dependence framework treats the ongoing relationship as a power struggle in which each party tries to maneuver itself into a favorable power position.

“I Need That Week Off!”: An Experiential Exercise On Conflict And Negotiation, Melanie A. Robinson

Organization Management Journal

This article presents an experiential exercise designed to provide students with an opportunity to develop their knowledge of ways in which conflict may be managed (using the framework proposed by Thomas, 1976) and types of negotiation. Students form pairs and are presented with a scenario in which they have both requested the same week of vacation to attend events. Unfortunately, they are informed that they are unable to take the time off simultaneously. Participants are asked to discuss among themselves, using assigned modes of managing conflict, to determine how the time will be allocated. The target audience is composed of …

The Differential Identity Activation & Integration Mechanism (Diaim): A Model Linking Female Businesspersons’ Identity Integration And Identity Activation To Negotiation, Yi Wen Tan

Dissertations and Theses Collection

Women play an important role in business management (female businesspersons) but yet they face constraints in the workplace, such as in negotiations. As female businesspersons seem to be facing seemingly conflicting gender and business identities, the level of the integration between these identities, as captured by the construct gender-professional identity integration (G-PII), can be a critical factor that influences female businesspersons in negotiations. It is expected that the level of G-PII influences female businesspersons’ negotiation behaviors when their different identities (i.e., female identity, business identity or dual identities) are activated. Hence, a DIAIM model that depicts how female businesspersons with …

Building Negotiation Capital, Michael Benoliel

Asian Management Insights

Today, unlike the marketing or supply chain tasks, the negotiation task remains unstructured, sporadic, often improvised, and rarely analysed critically in the post-deal stage.

The Too-Much Precision Effect: When And Why Precise Anchors Backfire With Experts, David D. Loschelder, Malte Friese, Michael Schaerer, Adam D. Galinsky

Research Collection Lee Kong Chian School Of Business

Past research has suggested a fundamental principle of price precision: The more precise an opening price, the more it anchors counteroffers. The present research challenges this principle by demonstrating a too-much-precision effect. Five experiments (involving 1,320 experts and amateurs in real-estate, jewelry, car, and human-resources negotiations) showed that increasing the precision of an opening offer had positive linear effects for amateurs but inverted-U-shaped effects for experts. Anchor precision backfired because experts saw too much precision as reflecting a lack of competence. This negative effect held unless first movers gave rationales that boosted experts’ perception of their competence. Statistical mediation and …

Self-Esteem And Women’S Performance In Mixed-Gender Negotiations, Serena Changhong Lu, Elizabeth Layne Paddock, Jochen Reb

Research Collection Lee Kong Chian School Of Business

Past research shows gender stereotype threat effect negatively affects women's economic negotiation outcomes, but little is known about moderators of this effect. The present research investigated self-esteem (SE) level and social contingent self-esteem (SCSE) as potential buffers to the gender stereotype threat effect. Based on the contingencies of self-worth model (Crocker & Wolfe, 2001), we hypothesized that SE level interacts with SCSE to determine women's outcomes at the bargaining table such that high SE women with low SCSE do not confirm gender stereotypes and achieve higher performance in mixed-gender negotiations. Drawing on the integrated process model of stereotype threat effects …

Affect, Emotion And Emotion Regulation In The Workplace: Feelings And Attitudinal Restructuring, Michele Williams

Michele Williams

[Excerpt] Almost 40 years after publishing A Behavioral Theory of Labor Negotiations in 1965, the fields of negotiations and organizational behavior experienced an “affective revolution” (Barsade, Brief and Spataro 2003). Although Walton and McKersie could not have predicted the widespread academic and public interest in emotion and emotional intelligence, they foreshadowed this affect-laden direction in the section of their book on attitudinal structuring, which identified the dimension of friendliness-hostility as a critical aspect of the relationship between negotiating parties in the workplace and other settings.

The Influence Of Mindful Attention On Value Claiming In Distributive Negotiations: Evidence From Four Laboratory Experiments, Jochen Reb, Jayanth Narayanan

Jochen Reb

We examined the effect of mindful attention on negotiation outcomes in distributive negotiations across four experiments. In Studies 1 and 2, participants who performed a short mindful attention exercise prior to the negotiation claimed a larger share of the bargaining zone than the control condition participants they negotiated with. Study 3 replicated this finding using a different manipulation of mindful attention. Study 4 again replicated this result and also found that mindful negotiators were more satisfied with both the outcome and the process of the negotiation. We discuss theoretical and practical implications, limitations, and future directions.

Does Consistency Pay? The Effects Of Information Sequence And Content On Women’S Negotiation Outcomes, Carol T. Kulik, Mara Olekalns, Emma T. Swain

Mara Olekalns

Women are usually perceived as warm or competent, but rarely both. This research investigates how the sequence and content of warmth-relevant relational information and competence-relevant performance information affects female negotiators’ social (perceptions of their warmth and competence) and economic outcomes. Female employers (but not male employers) rated a negotiating female employee as high warmth when they received relational information first and were able to discount the employee’s competence with a team-based relational attribution (E1) or when they received performance information first and were convinced the employee’s warm behavior was genuine (E2). The sequence and content of warmth-relevant and competence-relevant information …

Sweet Little Lies: Social Context And The Use Of Deception In Negotiation, Mara Olekalns, Carol T. Kulik, Lin Chew

Mara Olekalns

Social context shapes negotiators’ actions, including their willingness to act unethically. In this research, we test how three dimensions of social context – dyadic gender composition, negotiation strategy, and trust – interact to influence one micro-ethical decision, the use of deception, in a simulated negotiation. To create an opportunity for deception, we incorporated an indifference issue – an issue that had no value for one of the two parties – into the negotiation. Deception about this issue was least likely to be affected by trust or negotiation strategy in all-male dyads, suggesting that dyads with at least one female negotiator …

The Influence Of Mindful Attention On Value Claiming In Distributive Negotiations: Evidence From Four Laboratory Experiments, Jochen Reb, Jayanth Narayanan

Research Collection Lee Kong Chian School Of Business

We examined the effect of mindful attention on negotiation outcomes in distributive negotiations across four experiments. In Studies 1 and 2, participants who performed a short mindful attention exercise prior to the negotiation claimed a larger share of the bargaining zone than the control condition participants they negotiated with. Study 3 replicated this finding using a different manipulation of mindful attention. Study 4 again replicated this result and also found that mindful negotiators were more satisfied with both the outcome and the process of the negotiation. We discuss theoretical and practical implications, limitations, and future directions.

Negotiating Successfully In Asia, Michael Benoliel

Research Collection Lee Kong Chian School Of Business

Cross-cultural negotiations are complex, challenging, and difficult to navigate because much of the Asian culture is unstated, implicit, and internalized in subtle behavioral patterns. It is like an iceberg; more is invisible and less is visible. To understand how the Asian negotiation values and practices are different from those in the West, I describe briefly the Asian cultural roots, highlight the major dimensions that differentiate cultures, explore the factors that influence the Asian negotiation processes and outcomes, and provide a list of practical suggestions for negotiating successful deals with Asian negotiators.

Natural Born Peacemakers? Gender And The Resolution Of Conflict, Mara Olekalns

Mara Olekalns

Two males sit apart, staring at each other from the corners of their eyes. A female approaches one and takes him by the arm, pulls him towards the other male. She alternates between the two and eventually brokers peace. In a different scenario, two males are again in conflict. A third male inserts himself between them, screaming at them or physically separating them to prevent the conflict from escalating. He keeps them separate and harangues them into submission (De Waal, 2009). Female as peacemaker, male as peacekeeper. These examples fit with our intuitions about how gender might shape the way …

Institutions And Activism: Crisis And Opportunity For A German Labor Movement In Decline, Lowell Turner

Lowell Turner

In recent decades, German unions have rested on their institutional laurels even as the ground has slipped away. This article analyzes two recent innovative campaigns based on grassroots mobilization that, the author argues, offer possibilities for renewed union strength. A breakthrough campaign against a militantly anti-union firm in the retail industry demonstrates the potential for a German brand of social movement unionism. The story line and institution-building strategy of this campaign fall entirely outside the framework of traditional German industrial relations. A second, very different campaign, from deep inside that traditional framework, has mobilized union members in Nordrhein-Westfalen (IG Metall’s …

The Power Process And Emotion, Edward J. Lawler

Edward J Lawler

[Excerpt] Power is a crucial phenomenon in organizations, both pervasive and somewhat elusive. The study of power in organizations has a long tradition (Crozier 1964), yet the literature on power is fragmented and has been a central focus only intermittently over time. Fundamental assumptions about the role of power vary widely. On the one hand, power can be construed broadly as a negative and divisive force in relations, groups, and organizations. It enables those having power to exert influence over or command the compliance of others through coercion, force, and threats. This is the punitive, manipulative face of power (Deutsch …

Negotiator Resilience.Docx, Brianna B. Caza, Mara Olekalns

Mara Olekalns

The Alternative Forms Of Dispute Settlement And The Essential Difference Between These And Arbitration, Michael Diathesopoulos

Michael Diathesopoulos

The paper examines the characteristics of some common alternative forms of dispute settlement and their key differences from arbitration regarding their nature and scope. Its purpose is to explore each mechanism's suitability for specific types of disputes.

Negotiating The Gender Divide: Lessons From The Negotiation And Organizational Behavior Literatures, Carol Kulik, Mara Olekalns

Mara Olekalns

Employment relationships are increasingly personalized, with more employment conditions open to negotiation. Although the intended goal of this personalization is a better and more satisfying employment relationship, personalization may systematically disadvantage members of some demographic groups. This disadvantage is evident for women, who routinely negotiate less desirable employment terms than men. This gender-based gap in outcomes is frequently attributed to differences in the ways that men and women negotiate. We review the negotiation research demonstrating that women are systematically disadvantaged in negotiations and the organizational behavior research examining the backlash experienced by agentic women. We use the Stereotype Content Model …

With Feeling: How Emotions Shape Negotiation, Mara Olekalns, Daniel Druckman

Mara Olekalns

An increasingly popular topic in current research is how emotional expressions influence the course of negotiation and related interactions. Negotiation is a form of social exchange that pits the opposing motives of cooperating and competing against one another. Most negotiators seek to reach an agreement with the other party; they also strive for an agreement that serves their own goals. This dual concern is reflected in a process that consists of both bargaining and problem solving. A good deal of the research and practice literature concentrates on ways to perform these activities effectively. In earlier writing, emotions were viewed largely …

Negotiations And Trust, Mara Olekalns, Philip L. Smith

Mara Olekalns

This forthcoming entry in the Encyclopaedia of Peace Psychology provides an overview of trust in negotiation

Markov Chain Models Of Negotiators’ Communication, Mara Olekalns, Philip L. Smith, Laurie R. Weingart

Mara Olekalns

This entry into the Encyclopedia of Peace Psychology provides an overview of the application of markov chain modelling to the analysis of communication patterns in negotiation

A Moral Contractual Approach To Labor Law Reform: A Template For Using Ethical Principles To Regulate Behavior Where Law Failed To Do So Effectively, Zev J. Eigen, David S. Sherwyn

Faculty Working Papers

If laws cease to work as they should or as intended, legislators and scholars propose new laws to replace or amend them. This paper posits an alternative—offering regulated parties the opportunity to contractually bind themselves to behave ethically. The perfect test-case for this proposal is labor law, because (1) labor law has not been amended for decades, (2) proposals to amend it have failed for political reasons, and are focused on union election win rates, and less on the election process itself, (3) it is an area of law already statutorily regulating parties' reciprocal contractual obligations, and (4) moral means …