Journal
ORGANIZATIONAL BEHAVIOR AND HUMAN DECISION PROCESSES
Volume 151, Issue -, Pages 34-48Publisher
ACADEMIC PRESS INC ELSEVIER SCIENCE
DOI: 10.1016/j.obhdp.2018.12.008
Keywords
Negotiation; BATNA; Alternatives; Perception; Power
Categories
Funding
- Conflict Management Division of the Academy of Management
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We examine the notion of a Phantom BATNA - a negotiation alternative that may or may not materialize - and its impact on a current negotiation. Across three studies, we investigate the impact of such alternatives on negotiation, and compare them to when negotiators have a certain BATNA, when they have no BATNA, or when they are provided no information whatsoever regarding a BATNA. We demonstrate that perceptions of power mediate the effects of BATNA likelihood on the performance-related outcomes (final settlements or counter-offers) of negotiators. We establish these effects when the alternative has a known or an unknown likelihood of occurring. Additionally, BATNA likelihood influences the extent to which negotiators mention the possibility of an alternative to their counterpart during the negotiation. Based on our investigation, we offer BATNA likelihood as an important dimension of BATNA influence that can enhance theoretical and practical understanding, and stimulate future research.
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