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Overcoming judgmental biases in negotiations: A scenario-based survey analysis on third party direct intervention

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  • Caputo, Andrea

Abstract

In many business negotiations, negotiators fail to identify and consequently exploit the integrative potential that underlies their interests and positions, due to cognitive biases preventing clear information processing. Such biases can be overcome through the intervention of external parties. This study explores perceptions of a new form of external intervention on negotiations to overcome cognitive biases and reach integrative agreements: third party direct intervention. This study contributes first to the understanding of challenges and solutions to reaching integrative agreements; second, to increasing knowledge about individual differences in negotiation; third, to developing a novel methodological approach to study negotiations by creating and validating a case scenario using vignettes. Based on data collected from a sample of fifty-six experienced managers, findings show that this form of intervention increased the creation of value, fairness and the likelihood of reaching an agreement. Individual differences were found in terms of personality traits, gender, and education.

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  • Caputo, Andrea, 2016. "Overcoming judgmental biases in negotiations: A scenario-based survey analysis on third party direct intervention," Journal of Business Research, Elsevier, vol. 69(10), pages 4304-4312.
    • Handle: RePEc:eee:jbrese:v:69:y:2016:i:10:p:4304-4312
    DOI: 10.1016/j.jbusres.2016.04.004
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    References listed on IDEAS

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    2. Gianpaolo Abatecola & Matteo Cristofaro & Federico Giannetti & Johan Kask, 2022. "How can biases affect entrepreneurial decision making? toward a behavioral approach to unicorns," International Entrepreneurship and Management Journal, Springer, vol. 18(2), pages 693-711, June.
    3. Caputo, Andrea & Ayoko, Oluremi B. & Amoo, Nii & Menke, Charlott, 2019. "The relationship between cultural values, cultural intelligence and negotiation styles," Journal of Business Research, Elsevier, vol. 99(C), pages 23-36.
    4. Caputo, Andrea & Ayoko, Oluremi B. & Amoo, Nii, 2018. "The moderating role of cultural intelligence in the relationship between cultural orientations and conflict management styles," Journal of Business Research, Elsevier, vol. 89(C), pages 10-20.
    5. Gianpaolo Abatecola, 2021. "Reviewing Corporate Crises: A Strategic Management Perspective," International Journal of Business and Management, Canadian Center of Science and Education, vol. 14(5), pages 1-21, July.

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