Saving the worst for last: The effect of time horizon on the efficiency of negotiating benefits and burdens |
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| Authors: | Gerardo A Okhuysen Adam D Galinsky Tamara A Uptigrove |
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| Institution: | a David Eccles School of Business, University of Utah, 1645 E. Campus Center Dr. #106, Salt Lake City, UT 84112-9304, USA;b Northwestern University, Evanston, IL, USA;c University of Texas at Dallas, Richardson, TX, USA |
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| Abstract: | Three experiments explored the effect of outcome delays—longer time horizons for the realization of outcomes—on the efficiency of negotiated agreements. We hypothesized that there would be a positive relationship between a longer temporal distance to the consequences of negotiated agreements and the efficiency of those agreements. Outcome delays did increase the efficiency of the negotiated agreements. In addition, type of resource, burden or benefit, moderated this relationship. Because negotiating for burdens is more difficult than negotiating for benefits in the present, the salutary discounting effects of outcome delays were greater for burdens. The multifaceted effects of time on negotiations are discussed. |
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| Keywords: | Negotiation Time Discounting Decision making |
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