The timing and function of offers in U.S. and Japanese negotiations.

Abstract

The authors examined the function of offers in U.S. and Japanese integrative negotiations. They proposed that early 1st offers begin information sharing and generate joint gains in Japan but have an anchoring effect that hinders joint gains in the United States. The data from the negotiation transcripts of 20 U.S. and 20 Japanese dyads supported 2 hypothesized interactions: Early offers generated higher joint gains for Japanese negotiators and lower joint gains for U.S. negotiators, and the exchange of information prior to the 1st offer generated higher joint gains for U.S. negotiators and lower joint gains for Japanese negotiators. Additional analyses supported predictions that early offer patterns represent information gathering in Japanese negotiations and information consolidation in U.S. negotiations. The results contribute to theories of negotiation and culture by showing that the use and efficacy of early offers and information exchange differ across cultures.