Negotiations are ubiquitous in business, politics, and private life. In many cases their outcome is of great importance. Yet, negotiators frequently act irrationally and fail to reach mutually beneficial agreements. Cognitive biases like overconfidence, egocentrism, and the mythical fixed pie illusion oftentimes foreclose profitable results. A further cognitive bias is the attachment effect: Parties are influenced by their subjective expectations formed on account of the exchange of offers, they form reference points, and loss aversion potentially leads to a change of preferences when expectations change.
This book presents a motivation, formalization, and substantiation of the attachment effect. Thereby, preferences and behavior are approached from a microeconomic and a psychological perspective. Two experiments show clear evidence for a systematic bias. The results can be used for prescriptive advice to negotiators: either for debiasing or to systematically affect the counterparty.
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Negotiations are ubiquitous and of great importance in business, politics, and private life, yet negotiators often act irrationally and fail to reach beneficial agreements. This book presents a motivation, formalization, and substantiation of the attachment effect so that results can be used for prescriptive advice to negotiators.
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Theories on Preferences.- Preferences in Negotiations.- Internet Experiment.- Laboratory Experiment.- Conclusions and Future Work.
Includes supplementary material: sn.pub/extras
Produktdetaljer
ISBN
9783540722250
Publisert
2007-06-08
Utgiver
Vendor
Springer-Verlag Berlin and Heidelberg GmbH & Co. K
Høyde
235 mm
Bredde
155 mm
Aldersnivå
Research, P, 06
Språk
Product language
Engelsk
Format
Product format
Heftet
Forfatter