Paying a Price: Culture, Trust, and Negotiation Consequences

Brian C. Gunia, Jeanne M. Brett*, Amit K. Nandkeolyar, Dishan Kamdar

*Corresponding author for this work

Research output: Contribution to journalArticlepeer-review

83 Scopus citations

Abstract

Three studies contrasting Indian and American negotiators tested hypotheses derived from theory proposing why there are cultural differences in trust and how cultural differences in trust influence negotiation strategy. Study 1 (a survey) documented that Indian negotiators trust their counterparts less than American negotiators. Study 2 (a negotiation simulation) linked American and Indian negotiators' self-reported trust and strategy to their insight and joint gains. Study 3 replicated and extended Study 2 using independently coded negotiation strategy data, allowing for stronger causal inference. Overall, the strategy associated with Indian negotiators' reluctance to extend interpersonal (as opposed to institutional) trust produced relatively poor outcomes. Our data support an expanded theoretical model of negotiation, linking culture to trust, strategies, and outcomes.

Original languageEnglish (US)
Pages (from-to)774-789
Number of pages16
JournalJournal of Applied Psychology
Volume96
Issue number4
DOIs
StatePublished - Jul 2011

Keywords

  • Culture
  • Indian and U.S. negotiators
  • Negotiation strategy
  • Trust

ASJC Scopus subject areas

  • Applied Psychology

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