Hot Versus Cool Behavioural Styles in Electronic Negotiations: The Impact of Communication Mode

Abstract

In this paper, we study the effects of synchronous and asynchronous communication mode on electronic negotiations. By applying content analysis, we compare the negotiation processes of two e-negotiation simulations conducted in a synchronous and an asynchronous setting. Our results show significant differences in communication behaviour of subjects. Synchronous negotiation mode leads to less friendly, more affective, and more competitive negotiation behaviour. In the asynchronous communication mode, negotiators exchange more private and task-oriented information and are friendlier. These results suggest that negotiators in the asynchronous mode, who have more time to reflect, cool down and control emotions better while negotiators, who communicate synchronously engage more in emotional and competitive "hot" debates. In addition, negotiators in the asynchronous mode are more satisfied with the process and outcome of the negotiation. We conclude that de-individuation and escalating effects might be caused by communication mode rather than by the ability of the media to transmit social cues.

The Role of Emotion and Language in Dyadic E-negotiations

“…Negotiators are influenced by other's emotion when there is low, as opposed to high time pressure, and only when they were motivated to do so (Van Kleef et al 2004a). E-negotiation researchers have found that synchronous e-negotiations contain less friendly and more affective communication, and that asynchronous e-negotiations contained friendlier communication and more private information (Pesendorfer and Köszegi 2006). The rationale is that the asynchronous mode, and its associated rehearsability media characteristic, allows a negotiator to 'cool off' before responding to their counterpart in the negotiation-a cognitive response as opposed to an emotional one.…”

Communication Quality in Business Negotiations

“…Most non-verbal or paralinguistic cues (such as vocal characteristics, mimic, gestures, etc.) do not appear, although they cannot be neglected completely, as empirical findings show (Pesendorfer and Köszegi 2006). Content analysis combined with questionnaires can serve as helpful tools for investigating (electronic) negotiation communication characteristics.…”

Data-Driven Phase Analysis of E-negotiations: An Exemplary Study of Synchronous and Asynchronous Negotiations

“…To demonstrate the appropriateness of the suggested method, we apply it to a set of data from experiments comparing synchronous and asynchronous electronic negotiations (Pesendorfer and Koeszegi 2006). The exemplary study presented in the next section demonstrates the potential as well as the limitations of the suggested method.…”

“…The exemplary study presented in the next section demonstrates the potential as well as the limitations of the suggested method. Pesendorfer and Koeszegi (2006) have studied the impact of communication mode on negotiation behavior. They have identified synchronous electronic negotiations as "hot debates" characterized by emotional and competitive behavior while asynchronous electronic negotiations were described as "cool" interactions, where negotiators have time to reflect on the process, consider arguments from different perspectives, and develop the next steps at every stage of the negotiation.…”

“…They have identified synchronous electronic negotiations as "hot debates" characterized by emotional and competitive behavior while asynchronous electronic negotiations were described as "cool" interactions, where negotiators have time to reflect on the process, consider arguments from different perspectives, and develop the next steps at every stage of the negotiation. As a consequence, asynchronous electronic negotiations are perceived to be friendlier and parties focus, in general, more on relationship building and information exchange (Pesendorfer and Koeszegi 2006). Nowak et al (2005) also find significant differences in the perception of group-members in the two communication modes in an experimental setting, i.e., they find that people interacting in synchronous mode feel more involved in the interaction and they feel more social attraction.…”