Effects of cognitive heuristics and goals on negotiator performance and subsequent goal setting

The purpose of this study was to examine the effects of a situational constraint —an externally set goal — and related cognitive variables — outcome expectancies, perceived self-competency, and goal commitment — on the performance and goal setting of 79 novice negotiators. Expectancy judgments affected goal commitment but not performance or goal choice. Subjects assigned difficult goals were more profitable and set harder new goals than subjects assigned easier goals. Machiavellianism had a powerful effect on performance and exerted more causal influence on self-set goals than actual performance or prior goals. Unexpectedly, role assignment proved to be an important determinant of performance. A decision science perspective was utilized to explain the results.