Negotiation Processes As Sources of (And Solutions To) Interorganizational Conflict

Abstract

We investigate how structural features of negotiations can affect interaction processes and how negotiations can be not only a solution to, but also a source of, inter-organizational conflict. Principals, agents, and teams face different sets of constraints and opportunities in negotiations. We develop grounded theory detailing how the micro-interactions comprising a negotiation are shaped by the representation structure (principals, agents, or teams) of the parties. In qualitative and quantitative analyses of negotiations carried out by principals, agents, and teams in a laboratory experiment, we find that negotiators’ efforts to manage the constraints and opportunities of their representation structure are reflected in the micro-interactions, the broad improvisations, and the resulting substantive and relational outcomes.