Download this Paper Open PDF in Browser

The Objective Value of Subjective Value: A Multi-round Negotiation Study

MIT Sloan Research Paper No. 4696-08

Journal of Applied Social Psychology, Forthcoming

31 Pages Posted: 17 Mar 2007 Last revised: 26 Jul 2008

Jared R. Curhan

Massachusetts Institute of Technology (MIT) - Sloan School of Management

Hillary Anger Elfenbein

Washington University in St. Louis, Olin School of Business

Noah Eisenkraft

University of Pennsylvania - The Wharton School

Date Written: July 9, 2008

Abstract

A 2-round negotiation study provided evidence that positive feelings resulting from one negotiation can be economically rewarding in a second negotiation. Negotiators experiencing greater subjective value (SV) - that is, social, perceptual, and emotional outcomes from a negotiation - in Round 1 achieved greater individual and joint objective negotiation performance in Round 2, even with Round 1 economic outcomes controlled. Moreover, Round 1 SV predicted the desire to negotiate again with the same counterpart, whereas objective negotiation performance had no such association. Taken together, these results suggest that positive feelings, not just positive outcomes, can evoke future economic success.

Keywords: negotiation, subjective value, objective value, economic outcomes, satisfaction, social psychological outcomes, relationships, attitudes, longitudinal, experiment

JEL Classification: C7, A13, C78, M1, M31

Suggested Citation

Curhan, Jared R. and Elfenbein, Hillary Anger and Eisenkraft, Noah, The Objective Value of Subjective Value: A Multi-round Negotiation Study (July 9, 2008). MIT Sloan Research Paper No. 4696-08; Journal of Applied Social Psychology, Forthcoming. Available at SSRN: https://ssrn.com/abstract=973384 or http://dx.doi.org/10.2139/ssrn.973384

Jared R. Curhan (Contact Author)

Massachusetts Institute of Technology (MIT) - Sloan School of Management ( email )

50 Memorial Drive, E52-554
Cambridge, MA 02142
United States
617-253-5219 (Phone)
617-253-2660 (Fax)

Hillary Anger Elfenbein

Washington University in St. Louis, Olin School of Business ( email )

One Brookings Drive
Campus Box 1133
St. Louis, MO 63130-4899
United States

Noah Eisenkraft

University of Pennsylvania - The Wharton School ( email )

3641 Locust Walk
Philadelphia, PA 19104-6365
United States

Paper statistics

Downloads
298
Rank
85,036
Abstract Views
8,201