Journal article

Decision frames and the social utility of negotiation outcomes

Mara Olekalns, Philip L Smith

CURRENT PSYCHOLOGY | SPRINGER | Published : 2021

Abstract

Using a simulated negotiation, we test how negotiators’ decision frames (gain vs loss) influence their social utilities. Recognizing that utilities are shaped by both economic and social concerns, we measure four attributes of negotiator satisfaction: satisfaction with own economic outcomes, satisfaction with self, other’s satisfaction with outcome, and other’s willingness to negotiate in the future. Drawing on Prospect Theory and modifications of Prospect Theory, we tested whether decision frames showed the same relationship between outcomes and satisfaction on all measures of satisfaction, or whether this relationship was context-sensitive. Our first set of models, which used individual ou..

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