The effect of negotiators’ role, leadership tone, and social value orientation on expected transfer prices: additional evidence

Vincent K. Chong*, Chanel Y. Loy, Isabel Z. Wang, David R. Woodliff

*Corresponding author for this work

    Research output: Contribution to journalArticlepeer-review

    1 Citation (Scopus)

    Abstract

    This study examines the effect of negotiators’ role (sellers vs. buyers), leadership tone (supportive vs. non-supportive), and social value orientation (prosocials vs. proselfs) on expected transfer prices outcomes as expressed by negotiation managers. Using a 2 × 2 experiment, we find that prosocial managers’ expected transfer prices are closer to an equal-profit price compared with those of proself managers. We further find that the transfer price expectation gap between proself selling managers and buying managers under a non-supportive leadership tone is larger than it is under a supportive leadership tone, suggesting that the negative effect of prosel.

    Original languageEnglish
    Pages (from-to)299-332
    Number of pages34
    JournalJournal of Management Control
    Volume32
    Issue number3
    DOIs
    Publication statusPublished - Sept 2021

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