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The ambiguous role of cultural moderators in intercultural business negotiations

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  • Wilken, Robert
  • Jacob, Frank
  • Prime, Nathalie

Abstract

Many modern business negotiations cross borders, and one plausible idea for successfully managing such negotiations is to equip negotiation teams with a “cultural moderator,” an individual who has the same cultural background as the business partner. This study investigates the effect of cultural moderators on both the negotiation process (e.g., use of integrative strategies) and economic outcomes (e.g., profit). Using German and French negotiators in an experimental setting, the authors show that a cultural moderator's influence on the team's use of integrative strategies depends on the moderator's degree of collectivism. With respect to economic outcomes, the presence of a cultural moderator always improves a team's results. Together, these findings suggest that the benefits of using a cultural moderator are not unconditional; rather, they depend on the cultural moderator's cultural background and on the negotiation goals (process vs. outcome) of the team that employs the moderator.

Suggested Citation

  • Wilken, Robert & Jacob, Frank & Prime, Nathalie, 2013. "The ambiguous role of cultural moderators in intercultural business negotiations," International Business Review, Elsevier, vol. 22(4), pages 736-753.
    • Handle: RePEc:eee:iburev:v:22:y:2013:i:4:p:736-753
    DOI: 10.1016/j.ibusrev.2012.12.001
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    Cited by:

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    5. Backhaus, & Pesch,, 2018. "Verhandlungen – Spiegeln die Lehrbücher den Stand der Forschung wider?," Die Unternehmung - Swiss Journal of Business Research and Practice, Nomos Verlagsgesellschaft mbH & Co. KG, vol. 72(1), pages 3-26.
    6. Sachdev, Harash J. & Bello, Daniel C., 2014. "The effect of transaction cost antecedents on control mechanisms: Exporters’ psychic distance and economic knowledge as moderators," International Business Review, Elsevier, vol. 23(2), pages 440-454.
    7. Richardson, Christopher & Rammal, Hussain Gulzar, 2018. "Religious belief and international business negotiations: Does faith influence negotiator behaviour?," International Business Review, Elsevier, vol. 27(2), pages 401-409.

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