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Entrepreneurs’ negotiation behavior

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  • Sabrina Artinger
  • Nir Vulkan
  • Yotam Shem-Tov

Abstract

This study provides first empirical results on entrepreneurs’ negotiation behavior. In a series of negotiation tasks, we compare persuasive behaviors and negotiation outcomes of entrepreneurs and non-entrepreneurs. Our results show that entrepreneurs make extensive use of emotions and arguments as means of persuasion. Due to their assertive behavior, they close fewer deals; however, when they close a deal, they make higher profits than non-entrepreneurs. These results demonstrate the relevance of studying entrepreneurs’ interpersonal interactions as determinants of entrepreneurial success and highlight the role expressed emotions and arguments play in this context. Copyright Springer Science+Business Media New York 2015

Suggested Citation

  • Sabrina Artinger & Nir Vulkan & Yotam Shem-Tov, 2015. "Entrepreneurs’ negotiation behavior," Small Business Economics, Springer, vol. 44(4), pages 737-757, April.
    • Handle: RePEc:kap:sbusec:v:44:y:2015:i:4:p:737-757
    DOI: 10.1007/s11187-014-9619-8
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    Cited by:

    1. David B. Audretsch & Antje Fiedler, 2023. "Power and entrepreneurship," Small Business Economics, Springer, vol. 60(4), pages 1573-1592, April.
    2. Engel, Yuval & Kaandorp, Mariëtte & Elfring, Tom, 2017. "Toward a dynamic process model of entrepreneurial networking under uncertainty," Journal of Business Venturing, Elsevier, vol. 32(1), pages 35-51.
    3. Patrick Gregori & Zulaicha Parastuty, 2021. "Investigating the process of entrepreneurial team member exits: a systematic review and future research directions," Review of Managerial Science, Springer, vol. 15(4), pages 847-878, May.
    4. Dunne, Timothy C. & Clark, Brent B. & Berns, John P. & McDowell, William C., 2019. "The technology bias in entrepreneur-investor negotiations," Journal of Business Research, Elsevier, vol. 105(C), pages 258-269.
    5. Emanuel Wittberg & Gissur Ó. Erlingsson & Karl Wennberg, 2024. "Does local government corruption inhibit entrepreneurship?," Small Business Economics, Springer, vol. 62(2), pages 775-806, February.

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    More about this item

    Keywords

    Negotiation; Persuasion; Arguments; Emotions; Strategic uncertainty; Stakeholder interaction; L26; C70; C93;
    All these keywords.

    JEL classification:

    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship
    • C70 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - General
    • C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments

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