BA Thesis
3rd May
Emotional Intelligence in Negotiation
3rd May 2010
Bachelor Thesis
Author: Jakob Kiel
Supervisor: Niels Hansen
Institut for Ledelse
Emotional Intelligence in Negotiation:
Strategic Use of Emotion
Aarhus School of Business
3rd May 2010
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BA Thesis
Emotional Intelligence in Negotiation
3rd May
Abstract
The objective of this thesis is to explore how emotional intelligence can aid negotiators
strategically in the negotiation.
The literature on the strategic use of emotions is still not fully explored but an increasing
amount of significant findings are emerging. At the same time the concept of emotional
intelligence is starting to get accepted as a unique form of intelligence that may have
significant impact on our performance in life. The literature on the role of emotional
intelligence in the negotiation is however very limited.
In this paper the current literature on both the strategic use of emotion in the negotiation
and emotional intelligence is reviewed. In doing so the current findings will be critically
reviewed and an attempt to integrate the literature on emotional intelligence and the
strategic use of emotions in the negotiation is made. This leads to an evaluation of how
high emotional intelligence may help the negotiator in the strategic use of emotions in the
negotiation.
In the literature review it was found that negotiators with high emotional intelligence
where more successful at creating value in the integrative negotiation than people with
low emotional intelligence. It is argued that emotions can be used strategically in the
negotiation, and how emotional intelligence may aid the negotiator in doing so.
The paper finds that the strategic display of positive emotions will help the negotiator
obtain better results in the integrative negotiation strategy. It is further argued that
individuals with high emotional intelligence will be better at the strategic display of
emotions than people with low emotional intelligence.
The paper also argues that high EI negotiators may be better at finding the other party’s
needs and interest and this is one of the reasons why they are able to create more joint
value in the integrative negotiation.
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Table of Contents
1.
2.
Introduction ................................................................................................................. 5
Research question ....................................................................................................... 5
2.1 Disposition ................................................................................................................ 6
2.2 Delimitation .............................................................................................................. 6
2.3 Method ...................................................................................................................... 7
3. Emotional Intelligence ................................................................................................ 8
3.1 The four branches of emotional intelligence ............................................................ 9
3.1.1Perception, Appraisal and Expression of Emotion ............................................. 9
3.1.2 Emotional Facilitation of thinking ................................................................... 10
3.1.3 Understanding and Analyzing Emotions: Employing Emotional Knowledge 10
3.1.4 Reflective Regulation of Emotions to Promote Emotional and Intellectual
growth ....................................................................................................................... 10
3.2MSCEIT Test of Emotional Intelligence ................................................................. 11
3.3 Validity of and Potential of EI ................................................................................ 11
3.4 Characteristics and Competences of High EI individuals....................................... 13
3.4.1 Self-Confidence ............................................................................................... 14
3.4.2 Understanding Others ...................................................................................... 15
4. Negotiation Strategies ................................................................................................... 16
4.1 Integrative Negotiations .......................................................................................... 16
4.2 Distributive Negotiation.......................................................................................... 17
5. The Tension between Creating and Claiming Value for the High EI Negotiator ..... 20
5.1 Experience of the Negotiation ................................................................................ 23
6. Counterpart mood induction ..................................................................................... 24
7. The Role of Emotion in Negotiation ......................................................................... 25
8. How High Emotional Intelligence can be used Strategically ................................... 28
8.1Understanding Others .............................................................................................. 29
8.1.1 Understanding the Other Party’s Real Needs and Objectives ......................... 30
8.1.2Understanding the Interests and Motivating Factors of the Other Party .......... 30
8.1.3 Being Alert of Intangibles ................................................................................ 31
8.2 Self- Confidence ..................................................................................................... 32
8.3 Regulation of Feelings ............................................................................................ 34
8.4 Paradox between Regulating Own and Others Emotions ....................................... 36
8.5 Epistemic Motivation .............................................................................................. 37
8.6 Strategic display of Emotion in Negotiations ......................................................... 38
8.6.1 Strategic Display of Positive Feelings ............................................................. 40
8.6.1.1 Effect on long term relationship ................................................................... 41
8.6.1.2 Effect on Concessions ................................................................................... 42
8.6.1.3 Effect on the Negotiation Outcome ............................................................... 42
8.6.2 Strategic Display of Negative Emotions .......................................................... 43
8.6.2.1 Appeasement and supplication ..................................................................... 44
8.6.2.2 Anger ............................................................................................................. 47
8.7 Strategic Response to Displayed Emotions ............................................................ 48
8.7.1 How an emotional negotiator cognitively process information ....................... 49
8.7.2.1 Venting the other party’s emotions ............................................................... 50
8.7.2.2 Shifting the interest towards non-emotional interest-based discussion ........ 52
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8.7.2.3 The Breakthrough Approach......................................................................... 53
8.7.3 Responding to Positive Emotional Displays .................................................... 54
9. Discussion on findings of the thesis.......................................................................... 55
9.1 Discussion on Creating vs. Claiming Value Paradox ............................................. 56
9.2 Implication for Management................................................................................... 57
9.3 Evaluation and Perspective of Findings .................................................................. 58
10. Conclusion ............................................................................................................. 59
11. Bibliography: ......................................................................................................... 61
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1. Introduction
Negotiations are in most cases carried out through a face-to-face interaction between the
parties involved. In social interactions emotions play an important role. People are
therefore depended on their emotional abilities when they negotiate. People differ greatly
in their ability to interact with other people and this may therefore impact their ability to
negotiate.
In relative recent history social psychologists have developed the concept of emotional
intelligence (EI) to explain some of these individual differences. If the concept of
emotional intelligence successfully can explain significant individual differences it would
seem to have potential for explaining individual differences in negotiation ability.
Despite this potential the concept of emotional intelligence has gained little attention in
the negotiation literature, partly due to the fact that there have been few positive findings
regarding the relationship between other individual differences such as personality and
negotiation ability.
Like emotional intelligence, the role of emotions has been under explored in the negation
literature for a long time. However during the past decade or so many positive findings
emerged and emotions are now starting to get recognized as playing an important role the
in the negotiation. This new literature on the role of emotion in the negotiation may
provide to an explanation to the role of emotion intelligence in the negotiation. It will
therefore be attempted to explain how it might be possible that emotional intelligence can
aid the negotiator strategically in the negotiation.
2. Research question
By reviewing empirical findings I want to analyze how emotions in the dyadic
negotiation possibly can be used strategically by the negotiators in the integrative and
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distributive negotiation strategies and how the negotiators ability to perform these
strategies might be positively related to emotional intelligence.
2.1 Disposition
.
As it is now generally accepted that emotion plays a significant role in the negotiation, I
believe it would be interesting to explore how the emotions in the negotiation may be
used strategically in the negotiation. I especially will focus on how emotional intelligence
may be positively related to the negotiators ability to succeed as strategies.
In the first part of the paper the model of emotional intelligence that is used in this paper
will be introduced and reflected up on. I will then further more look into what
competencies individuals with high emotional intelligence posses. It will later be
analyzed how these competences can be useful in relation to emotional strategies in the
negotiation.
Before doing so a description and explanation of the integrative distributive negotiation
strategies will be made to enhance the understanding of the negotiation contexts referred
to in the paper. The analysis will begin by a review of empirical results on the influence
of emotional intelligence on the negotiation process and outcome. There will be an
extensive focus on the strategic display of emotion in the negotiation because the
competencies related to emotional intelligence is of vital importance to success of using
emotions strategically.
Having analyzed the role of emotional intelligence in the negotiation, a discussion on the
findings in the thesis and some suggestions for the implication these findings will have on
management will be made. Finally a conclusion on the paper will be made.
2.2 Delimitation
The emotionally intelligent individuals possess many competencies that are relevant to
the negotiation, both directly and indirectly. To cover the influence of all of these
competences on the individual difference on negotiation ability will be too much too
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cover in this thesis. As the main purpose of the thesis is to look into how these
competences effects the specific strategies employed during the negotiation, there will be
a focus on the competences that can be used most directly strategically. The competences
that will be focused on are self-confidence and understanding others, a description of
many other competences can be found in enclosure 1.
There are many sub-tactics under the main negotiation strategies that could be explored
in this context, if all of these tactics was to be explored the analysis would become trivial
and furthermore it would be too much to cover in this thesis. The study will therefore be
limited to the two main overall strategies during the negotiation, namely the integrative
strategy and the distributive strategies. This means that this paper will not cover other
overall strategies within the negotiation theory such as the accommodating or avoiding
strategy. The reason it has been chosen to focus on the integrative and distributive
strategies is because these strategies are the two most dominant strategies in the
negotiation theory.
In this thesis only negotiations involving people from the same culture will be explored.
People from different cultures may interpret the display of emotions differently and this
will further complicate matters. So when people from different cultures negotiate it may
therefore be necessary to take account of the cultural differences between the negotiators.
This further complication will be beyond the scope of this paper.
Further more the study will be limited to the dyadic negotiation. This is a negotiation
where two individuals are involved rather than groups. As more people are included in
the negotiation the dynamics of the negotiation will change and make the analysis of
emotions in the negotiation far more complicated. For example having a third party will
influences both parties in the negotiation, causing their behavior to change. The
complications arising from non-dyadic negotiations are beyond the scope of this thesis
and will therefore be eliminated.
2.3 Method
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In this thesis the literature on the strategic role of emotions in negotiation a long with the
literature on emotional intelligence will be reviewed. From these literature reviews the
findings from the literature on emotional intelligence and strategic role of emotions in the
negotiation will be integrated. In doing so an evaluation of the extend to which emotions
can be used strategically in the negotiation and what role emotional intelligence plays in
that context will be made. Such an evaluation requires a critical distance is taken to the
literature employed in the study. This will partly be done by an evaluation of the research
methods applied and partly by juxtaposing the arguments and findings proposed with
literature of opposing view.
3. Emotional Intelligence
After the emergence of the concept of emotional intelligence, the implication of the
individual’s emotional intelligence in many different contexts have been explored. One of
the contexts where interesting results have been found is in the business environment. It
has been found that people with high emotional intelligence (EI) perform better in many
areas than people with a low EI. (Goleman, 1995). After having been under explored for
many years researchers are now also opening their eyes for the possible effect of
emotional intelligence in negotiations.
Emotional intelligence is a concept that is made from different areas of an individuals
ability to deal with emotions and is defined slightly differently among the researchers
within the field. In my study I will be using the definition made by Mayer and Salovey,
stated below. I have chosen to employ this approach to emotional intelligence because it
is the best suited for the purpose of dealing with social interaction. (Barry and Fulmer,
2007) As the dyadic negotiation is a form of social interaction it will also be well suited
for dealing with the negotiation process. It is also the most accepted measure of
emotional intelligence as a unique form of intelligence, distinct from the other measures
of intelligence in term of scientific validation (Fulmer and Barry, 2007).
Mayer and Salovey define emotional intelligence as:
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Emotional intelligence involves the ability to perceive accurately, appraise, and express
emotion; the ability to access and/ or generate feelings when they facilitate thought: the
ability to understand emotion and emotional knowledge: and the ability to regulate
emotions to promote emotional and intellectual growth(Mayer and Salovey, 1997)(p.35
in Key Readings on: The Mayer and Salovey model)
This definition leads to a four branch model of emotional intelligence. Each for branches
will now be described.
3.1 The four branches of emotional intelligence
In Salovey and Mayer’s model of emotional intelligence from 1997 they prescribe four
distinct abilities on which they evaluate the emotional intelligence of an individual. The
abilities are: (1) perception, appraisal and expression of emotion (2) emotional facilitation
of thinking (3) understanding and analyzing emotions: employing emotional knowledge
(4) reflective regulation of emotions to promote emotional and intellectual growth
(Salovey and Mayer, 1997). These four abilities are the branches within the emotional
intelligence model.
3.1.1Perception, Appraisal and Expression of Emotion
This branch of emotional intelligence concerns the individual’s ability to identify the
emotional states in both one self and others. To successfully do this it will help to be able
to recognize the connection between emotions felt and the physical reactions it causes.
The individual may then be able to recognize physical reaction in others and imagine
what they are feeling. When this stage is reached the individual will then be able to
accurately evaluate expressed emotions and express emotions. As emotionally intelligent
individuals are able to accurately evaluate emotions displayed by others, they will also be
sensitive to the display of false or manipulative emotion. (Mayer and Salovey, 1997)
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3.1.2 Emotional Facilitation of thinking
This branch of emotional intelligence concerns how emotions act on our intelligence. On
a basic level our emotional states can act as an alert system telling us what to do in
specific situations. On a more advanced stage emotionally intelligent people will be able
to accurately generate emotions on demand, which can help them in planning their
actions. This process takes place in a so called ‘processing arena’ “in which emotions
may be generated, felt, manipulated, and examined as to be better understood.” (Mayer
and Salovey, p. 38, 1997) Further more this branch of emotional intelligence, involves
the individuals ability to use emotions in considering multiple perspectives based on their
emotional facilitation in thinking. Finally specific moods may facilitate different ways of
thinking in the individual. (Mayer and Salovey, 1997)
3.1.3 Understanding and Analyzing Emotions: Employing Emotional
Knowledge
This branch of emotional intelligence involves the individual ability to understand why
certain emotions are felt in relation to specific situations. With an understanding of what
causes specific emotions we can develop an understanding of what emotions means in
terms of relationships with others. People with high emotional intelligence will also be
good at recognizing the existence of complex and contradictory emotions in certain
circumstances. This for example means that High EI individual will be able to understand
that they can feel both, love and hate towards the same person.
To have a good understanding of emotions, it is further more important that the pattered
chain of emotion is well understood. Emotions will often happen in a chain reaction
where one emotion leads to another. The high EI individual will be able to reason about
this progression of feelings.
3.1.4 Reflective Regulation of Emotions to Promote Emotional and Intellectual
growth
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If we are to learn something from our emotions, it is vital that we are open to take in
emotion. This openness means that the individual must be open to all kinds of emotions,
including unpleasant ones. The next step in regulation of emotion is the ability to separate
emotion and behavior. This means that the individual for example has the ability to put
on a ‘happy face’ although they feel angry, if they are aware that it will be inappropriate
to display anger in the situation. The high EI individual will also have the ability to
reflect on own feelings. This is a conscious reflection on emotions felt, unlike simply
perceiving emotion. The process of reflective regulation of emotion will depend on how
much attention is put into dealing with the mood an individual is experiencing. The
ability to regulate emotions will further more be dependent on the individual’s ability to
place the appropriate amount of importance on the experienced emotions.
3.2MSCEIT Test of Emotional Intelligence
Salovey, Mayer and Caruso have developed a test for measuring the four abilities
mentioned above, known as MSCEIT, version 2.0. The test assigns separate scores for
each of the four branches of emotional intelligence in the 1997 Mayer and Salovey model
of emotional intelligence. There is research to suggest that the validity of this test is very
strong considering the controversy on the topic. Each branch of emotional intelligence is
tested twice in the test. This makes it possible to measure the internal validity where the
tests have shown impressive scores. (Mayer, J. D, Salovey, P. Caruso, D. R., Sitaranios,
G., 2003) This test is the most commonly used test for testing emotional intelligence in
the negotiation because the high reliability of the test helps researchers to make studies
with relatively high level of internal validity. (Mueller and Curhan, 2003)
3.3 Validity of and Potential of EI
As mentioned emotional intelligence is relatively new concept and it is still short on
scientific validation. Specifically it is sparse on the amount of empirical evidence to
support the claims about the importance of emotional intelligence in the current literature.
If these claims are not backed up with significant empirical evidence, the future of the
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concept is highly questionable. However it is reasonable to believe that that such
evidence will emerge in the near future as the scientific exploration in the area of
emotional intelligence is still relatively new. If more evidence is found it could turn into a
construct of vital importance in the understanding of many aspects of social science.
(Matthews, Roberts and Zeider 2004)
The idea that emotional intelligence is related to emotions the same way IQ is related to
cognitive ability is one of the claims of emotional intelligence that is questioned by
researchers. Most scholars within the field of emotional intelligence argue that emotions
are separable from cognition and it therefore is possible to have emotional intelligence as
construct that is distinct from the other forms of intelligence. There are however many
other scholars that do not believe that emotions are separable form cognition. Matthews,
(Matthews et al, 2004), review both empirical results and theoretical arguments that
suggests that it is not possible to separate emotional and cognitive systems in the brain.
They therefore conclude that it is unlikely that emotional intelligence is related to
emotions the same way IQ is related to cognitive ability.
The following part builds on a study by Van Rooy and Visewesvaran. In a metaanalytical study on the predictive validity of emotional intelligence, there was found a
correlation between EI and performance, with a p value of 0.23 which is not as high as
some scholars have claimed. They however point out that this is significant and that it is
significantly higher than many other methods used for selection of employees such as
letter of reference.
It also might be problematic that emotional intelligence and personality are correlated. It
was found that the Big Five personality factors (an important measure of personality
types) correlated significantly with EI ranging from 0.31 to 0.24. Big Five is one of the
most recognized measures of personality. This creates a problem because this may mean
that some of the correlation found between EI and individual differences on negotiation
ability may not caused exclusive by EI. They may instead be caused partly by individual
differences in Big five factors or in the worst case even exclusively by differences in Big
Five. However it was also found that Big five did not demonstrate incremental validity
over EI. They therefore argue it is possible that EI could be considered a better predictor
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of performance than Big five factors of personality. This promising for the possibility that
EI can be used strategically in the negotiation. A final finding regarding the investigation
that is worth considering is that it was found that that only 5% of variance in work
performance can be explained by EI which is not a lot. (Van Rooya & Visewesvaran,
2003). However it is likely that this percentage will be higher regarding negotiation
because it is a social interaction where emotions are likely to play a significant role.
Arguably there is ground for using the concept of emotional intelligence as a construct
that may be of importance in the negotiation literature to come. Having that said it is
important to have in mind that the concept does lack empirical evidence for the claims
made in some crucial areas. This does not mean that the claims about emotional
intelligence are incorrect but it does however mean that it is important to be critical
towards these claims.
The definition of emotional intelligence employed will have a significant impact on the
thesis. If another definition of emotional intelligence was employed, the analysis of how
emotional intelligence influences the strategies employed by the negotiator would change
as the different definition doesn’t necessarily agree on what exactly emotional
intelligence is. So to eliminate confusion concerning the definition of the concept, when
the concept ‘emotional intelligence’ is used, it always refers to Salovey and Mayer’s
definition of the concept.
The concept of emotional intelligence has now been introduced including the abilities of
concept encapsulates. These abilities may however still seem slightly abstract in the sense
that it is difficult to see how strong performance in them translates into concrete
competences. As the individuals of interest in this thesis are individuals with high
emotional intelligence, the possible competences they posses will be explained.
3.4 Characteristics and Competences of High EI individuals
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If it is to be understood how emotional intelligence may aid the emotional intelligent
negotiator it is necessary to understand the competences they posses. Goleman, the man
whom popularized the concept of emotional intelligence have tried to derive at the
competences possessed by individuals with high emotional intelligence that makes them
perform in their work life’s. It is possible that many of these competences can be related
to the individual’s negotiation ability. As mentioned in the delimitation it will be too
broad for this thesis to explore all of these competences in relation to the negotiation.
Instead it is chosen to explore only the self-confidence and understanding others. The
focus has been placed on these two competences as they both seem to have high potential
for in relation to, strategic use in the negotiation. A description of these competences will
be given in enclosure 1. This enclosure is meant to give an idea of what characterizes
high EI individuals and what potential EI can have in explaining individual differences in
negotiation ability.
The following section builds in on Goleman books on emotional intelligence at work.
(Goleman, 1998)
3.4.1 Self-Confidence
As the words indicates people what are self-confident, are confident in their own abilities
which leads to several positive traits, as long as they are not overly confident.
One of these traits is that they have strong presence due to their self assurance. Also of
great importance is that they are decisive and are particular strong when it comes to
making decision that be viewed as unpopular but are necessary.
Goleman states that ‘there is a tight link between self-knowledge and self-confidence’.
(Goleman, p.70, 1998)Individuals with high emotional intelligence have the ability to
understand and analyze emotion. It is likely that people that understand their own
emotion will have a strong self-knowledge. This will mean that they will be selfconfident in domains where they know they have strong abilities.
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3.4.2 Understanding Others
The understanding of other people relates back to the understanding of our own emotions.
If we are able to recognize how we feel in specific situation and why we have these
feelings, it is much more likely that we can recognize these feelings in others. Further
more emotionally intelligent people have the ability to understand and analyze emotion.
Understanding the other party’s emotion will make it more likely that we will understand
their behavior too. This is because our behavior in many cases is influenced by our
emotions. (Goleman, 1995)
This in it self is however is not enough to gain a good understanding of other people.
Further it is necessary that an active effort to understand others is employed. An essential
activity people with good understanding of others employ is active listening. This means
that the listener processes what is being said and lets the other person know that they are
being heard for example by restating what is being said in the listeners own words.
(Goleman, 1998)
These are competences are derived by Goleman with little use of empirical evidence.
This makes the reliability of his work questionable. It can therefore conclude with
certainty that these competences are strongly related to emotional intelligence.
Goleman works with a different model of emotional intelligence than Mayer and
Salovey. This has to be considered as it may be that the two models of emotional
intelligence not will derive exactly the same competences on individual with high
emotional intelligence
Having reviewed the possible competences of high EI individuals, it can now be
explained how these competences can be used tactically in the two main negotiations
strategies two gain a desired outcome, however before doing this, what constitutes and
characterizes these two negotiation strategies will be explained.
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4. Negotiation Strategies
4.1 Integrative Negotiations
The integrative negotiation strategy is characterized by a situation where the relationship
between the two parties is of importance, in contrast to the distributive negotiation
strategy. The negotiators should therefore try to accommodate both ones own goals and
the other party’s goals. The negotiators using this strategy will try to maximize the output
of both parties and thereby create a situation where none of the parties ‘loose’, a so called
‘win – win’ situation.
For a successful integrative negotiation to occur the negotiators should display
cooperative behavior. There should not be focused on differences between the negotiators
but rather on the communalities. If the negotiation is not to turn into a battle of positions
it is important that needs and interest are addressed rather than positions. Further more it
is also required that the negotiators are willing to exchange the necessary information
with the other party, to create a situation where options for mutual gain can be invented.
The negotiators also have to be fair in evaluating what will be a reasonable deal for both
parties. A good way of reaching such a deal is by using objective standards of
performance. If both parties act accordingly the negotiation process is likely to be a
success; however such behavior does not come naturally to all negotiators.
To do this authentically and successfully the negotiator will need certain personal
qualities. Chris Laubach has come up with the following five traits that are possessed by
successful integrative negotiators.

Honesty and integrity

Abundance mentality

Maturity

Systems orientation

Superior listening skills
(Referred from: Lewiski, Barry & Saunders, 2007)
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In the integrative negotiation process it is important that both parties understand each
others needs and interests. In order to this the negotiators have to be able to create a free
information flow and be good at listening to other party. It is likely that the real needs and
interest are not necessarily the instrumental value of the issues being negotiated. In many
cases there will be underlying needs and interests related to the instrumental issues being
negotiated. It may therefore not be straight forward to satisfy the other party’s real needs
and interests. It requires that the negotiator is open-minded and applies active listing
skills. When the parties understand each others real needs and interests, they can come up
with a creative solution that accommodates both parties’ goal and interest.
The goal of the using this negotiation strategy other than getting the most out the issues at
hand, is to build a good relationship with the other party. It is therefore not seen as a
possibility to unethical behavior during the negotiation, although it may enable the
negotiator to claim more value. If unethical behavior does occur it is likely to harm the
relationship between the two parties and therefore diminish the long-term outcome of the
relationship.
Building a good relationship to the other party is one advantage gained from a successful
integrative negotiation. This is likely to give the best result in the long run, if a long term
relationship is of importance for the parties involved. Another advantage is that there is a
possibility of ‘expanding the pie’. Expansion of the pie, is done by satisfying ones own
interest in a way, where it does not interfere with the possibility of satisfying the other
party’s interests. This will create a situation, where there is more to share between the
two parties, which makes it possible to create a win-win situation.
The main disadvantage of using the integrative strategy is that the other party may take
advantage of the openness of the integrative negotiator and use it against them to create
the most value for them selves
4.2 Distributive Negotiation
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The distributive negotiation is characterized by a bargaining situation where the goals of
the different parties are usually in fundamental conflict. The resources (usually money)
are usually both fixed and limited. As a result the negotiation becomes a fight for the
negotiator to maximize his or hers share of the limited resources using a set of different
strategies.
In the distributive negotiation the negotiator will set an opening offer and will have a
target and a resistance point. The resistance point is minimum the minimum the
negotiator is willing to accept. This is the most important of the three points, as it
determines how much the other party can concede and therefore how much it is possibly
to gain. Knowing the other party’s resistance point and keeping your own concealed is
therefore of great importance.
There are four important tactical tasks associated with the distributive strategy, they are:
1. Asses the other party’s target, resisting point and cost of terminating
negotiations.
This is typically done by trying to evaluate the other party’s actions and reactions
directly as well as indirectly.
2. Manage the other party’s impression of the negotiator’s target, resisting point
and cost of terminating the negotiation.
In order to this the distributive negotiator will typically make a selective presentation
of own data. Some negotiators may also try to give the other party the impression
they feel differently about the issue in the negotiation than they actually do.
3. Modify the other party’s perception of his or her own target resistance point and
cost of terminating the negotiations.
This can be done by manipulating information to make the other believe that they are
in a worse position than is actually the case. It can also be done by trying to
manipulate the other party’s feelings. This is done in attempt to modify the other
party’s perception of the situation as well as the possibilities that are present.
4. Manipulating the actual cost of delaying or terminating the negotiations.
Within each of the tactical tasks several different tactical instruments are used.
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The toughest tactics applied in negotiations are not surprisingly applied in the distributive
strategy. These tactics are called hardball tactics. Typical for these strategies will be to
use threats and punishment campaigns to scare the other party. Many of these strategies
require that the negotiator uses marginal ethical behavior. However not all distributive
negotiators will display unethical behavior as they do not find it morally acceptable.
In the distributive negotiation the negotiators are competing to get the most out the ‘fixed
pie’. To get the biggest share of the pie it is of vital importance to get the other party to
makes concessions. Making concession mean to give into other party demands and
therefore loosing part of your own share. It is therefore also important to make as few and
as small concessions as possible in order to gain the largest possible share of the pie.
In the distributive negotiation the relationship between the two parties is usually not
considered to be important. Therefore often little is done to maintain a good relationship
with the other party involved. The negotiator will try to realize own goals and does not
care about the goals of the counterpart.
The advantage of using the distributive strategy is that it helps the negotiator to claim the
largest possible share of the instrumental value available in the negotiation.
One disadvantage is that it is a very shortsighted strategy, in the sense that very little
consideration is made to nourish the relationship between the two parties. Another
problem is that some possible issues that could have satisfied the needs and interests of
the parties involved may not have been negotiated due the competitive nature of the
distributive negotiation.
What have been described in this section are the purely integrative and purely distributive
negotiations. In reality few negotiations are purely integrative or purely distributive but
will include elements from both negotiation strategies. It is therefore a simplified picture
of reality that is drawn. There is however individual differences between negotiators and
contextual differences between negotiations that make some negotiations tend to be
clearly integrative or distributive. There are big differences between the two negotiation
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processes and it is therefore necessary to make a clear distinction, although it may be an
oversimplification of real world negotiations.
Which negotiation strategy is best to apply is highly contextual depending. In
negotiations where the relationship with other party is of importance, it is recommended
by almost all scholars to apply the integrative negotiation strategy, as this is likely to
create the best relationship with the other party. The distributive strategy may be more
successful in situations where the relationship is not of importance, as it is possible to put
more pressure on the other party and thereby gain the most value relative to the other
party.
5. The Tension between Creating and Claiming Value for the
High EI Negotiator
A classic dilemma in the negotiation theory is the tension between claiming and creating
value. Creating value in the negotiation is most easily done in the integrative negotiation,
where as the negotiator is more likely to be successful at claiming value using distributive
strategies. According to negotiation theory the negotiator should keep to one strategy and
it is therefore difficult to be successful in both the creating and the claiming part of the
negotiation. There seems to be a similar dilemma for negotiators with high emotional
intelligence.
Although little literature is available on the topic of emotional intelligence in negotiations
a study has been made that finds some very interesting empirical results, regarding
individual differences and negotiation outcomes of integrative negotiations. The study
was conducted by Foo, Elfenbein, Tan, and Aik, and this is the study that will be referred
to in the coming section. (Foo, Elfenbein, Tan & Aik, 2007).
In this study they do not only look at the emotional intelligence one party but at the
emotional intelligence of the both parties and the impact this has on the negotiation
outcome. The results of this study found that negotiators with high emotional intelligence
were able to create significantly more value, than the less emotionally intelligent
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negotiators. However when it came to claiming the value, the high EI negotiator failed. In
negotiations with one negotiator of high EI and the other negotiator with low EI the joint
gain was significantly higher than, in negotiations with two low EI negotiators (M = $239
vs. M = $217). In negotiation with both negotiators possessing high emotional
intelligence a moderately higher joint gain was also achieved compared to the low-low EI
negotiation (M = $232). This suggests that it is the negotiator with the high EI that
creates the additional value. Then it came to sharing the value, however it was the low EI
negotiator that gained the largest share. (Foo et al, 2007). To explain why this happened
and why the individuals with high EI were good at creating value, a thorough exploration
of the role EI in the negotiation is needed. A discussion of these results will therefore be
returned to after having explored how emotional intelligence may be used strategically in
the negotiation.
These findings create a paradox between claiming and creating value as the negotiators
with high emotional intelligence could create value but not claim it for them selves. An
explanation to this paradox is offered in terms of looking at the long-term implication of
the negotiation instead of the only looking at the outcome of the single negotiation.
Although the high EI negotiators were not able to claim value in the short run, they build
up a relationship with the other party that may allow them to claim more value in the long
run.
This is perhaps the most important study on the effect of individual differences in
emotional intelligence on the negotiation, as it provides the best evidence of the existence
of a relationship between individual differences in emotional intelligence and negotiation
ability. Yet little have been done by other scholars to test the reliability of the results,
(perhaps due the relative recent publication). It is therefore necessary to toughly reflect
on the study and its findings to evaluate on the validity and reliability.
Although the results from this study are promising, they are to be taken cautiously. Firstly
it has to be kept in mind that emotional intelligence is a controversial topic. As it was
discussed earlier it is questionable how much predictive value emotional intelligence has
on performance. Although the studies controls for differences in personality it can not be
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ruled out completely that the differences in negotiation ability was caused by other
factors than emotional intelligence. Secondly there are some limitations to the validity
and reliability of the results due to the research method employed in the study. This
applies both to the internal and external validity. The problems with external validity
arise because the results are obtained through a staged negotiation. In the study the
negotiation takes place between two students with no prospects of future relationship.
The authors of the paper mention that this is a possible explanation of the paradox
between creating and claiming value. They suggest that the in many ‘real world’
negotiations, the negotiators will have to consider long term implications of the
negotiation unlike the case in their study. Unfortunately I believe there were several other
considerations there also have to be made before prescribing the results to ‘real world
negotiations’. The negotiators in the experiment were students and will therefore most
likely not have the same experience in negotiating as most professionals that negotiate in
a business related contexts. With experience negotiators are likely to improve their
negotiation skills and the negotiator with lower emotional intelligence might learn some
of the things the high EI negotiators do to create value. Likewise the high EI negotiators
may learn to claim value with experience. The negotiation issues in this negotiation were
relatively unimportant to the negotiators and this may have an impact on the emotions in
the negotiation process. In negotiations concerning issues of more serious matters, it is
not unreasonable to believe that the negotiators may become more emotional and the
individual differences in EI may have a different impact on the negotiation.
The emotional intelligence of the participants in the study is measured by the MayerSalovey-Caruso test, so the notion of emotional intelligence that is measured in the study
is consistent with the definition employed in this paper. This should make the findings
transferable to further analysis if they are valid and reliable. The EI test has also shown to
have strong reliability and this should strengthen the internal validity of the findings in
the study.
There is however still some uncertainty regarding the measures of individual differences
in emotional intelligence. If the exact differences in emotional intelligence could have
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been measured the results may have shown an even stronger link between emotional
intelligence and the outcome of the negotiation.
As fare as I have been able to find, the study has not been replicated by other researchers
in the field, which could have helped to increase the reliability of the findings.
Although I have discussed several possible problems with the way the study has been
conducted I do believe that the results are of significance to the understanding of how
individual differences impacts negotiation ability. This study shows that individual
differences in EI have an impact on the negotiation outcome but it does not explain why
these differences occurred. This is what will be explored in the rest of the paper, starting
with a look at how emotional intelligence influences the way the negotiators experience
the negotiation.
5.1 Experience of the Negotiation
The emotional intelligence of the negotiators is also likely to have an impact on how the
negotiation is experienced by the parties involved. In the same paper that test the issue of
creating and claiming value the negotiators experience of the negotiation was also
investigated.
It was found that the negotiators with the highest EI also were the negotiators that had the
most positive experience with the negotiation. It is suggested that this is because they
generally are more satisfied in their relationship with others. (Foo et al, 2007). Another
explanation could be that they were more satisfied because they felt that it was something
they were good at. It may be difficult to come up with an exact explanation of this
finding, but no matter what the reason is it is likely to have an implication for the
negotiation. There are many indications to suggest that positive negotiators perform
better than negative negotiators. These findings will be reviewed latter in the paper. If
these findings can show that positive negotiators perform better in the negotiation it is
likely that the high EI will be positively related to negotiation ability.
The knowledge from this study could also have potential impact on which employees a
manager picks to for negotiation purposes. It is likely that the high EI individuals will
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find negotiations less of a strain than people with low EI, due to their better experiences
with negotiating. It may therefore be a good idea to let people with high EI negotiate, as
it is likely to give them more job satisfaction than individuals with low emotional
intelligence.
Having explored how individual differences in EI influences the satisfaction of the
negotiation experience, It will now be discussed how EI may help the negotiator in
inducing mood in the counter part.
6. Counterpart mood induction
Emotional intelligence does not only influence how positively the negotiation is
experienced by the negotiator, but also how satisfied the counterpart is with the
negotiation. This was found in a study by Mueller and Curhan where counterpart mood
induction was studied in relation to the four abilities in Mayer and Salovey’s construction
of emotional intelligence. They found that the ability to understand emotions was
positively linked with the satisfaction of the counterpart. It is most likely because the
negotiators that were good at understanding the counterpart emotions were able to induce
a positive mood in them. (Mueller & Curhan, 2006)
Despite this finding no relationship between the other three abilities measured by the
emotional intelligence test and the satisfaction of the counterpart was found. The authors
of the paper suggest the three abilities found not to be related to the satisfaction of the
counterpart, may be of importance in more complex negotiation situations. This poses the
question of how strong the external validity of the findings is. (Mueller & Curhan, 2006)
The method used in the study was a simulated negotiation situation and the participants
were students. This raises many of the same questions regarding the external validity as
the last study did. Further more it has to be considered that the study included a mixture
of integrative and distributive issues. It may therefore be questionable how well these
findings transfer, to an either purely integrative or purely distributive negotiation. In the
integrative negotiation there is a higher focuses on building a relationship than there is in
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the distributive negotiation. It may therefore be easier to induce a positive mood in the
counterpart during the integrative negotiation, as they are likely to be more willing to
cooperate.
As it was the case in the previous study explored, the emotional intelligence of the
participants in the study is measured by the Mayer-Salovey-Caruso test so the notion of
emotional intelligence that is measured in the test is consistent with the definition
employed in this paper. This should make the findings transferable to further analysis if
they are valid and reliable.
In it self the ability to induce mood in the counterpart may not say much about the
negotiation abilities of the individual. If the negotiator however is able to use this ability
strategically in the negotiation, this may lead to a significant impact on the negotiation.
Being able to induce specific emotions in the counterpart is important if the negotiators
are to be able to manipulate with the other party, through the strategic use of emotional
display. The results of this study may therefore be of importance in explaining how it
may be possible that emotional intelligence can aid the negotiator in employing specific
strategies in the negotiation. This will be explored later in the paper but before going into
specific strategies the role of emotion in the negotiation has to be established.
7. The Role of Emotion in Negotiation
To establish the role of emotion in the negotiation, a model on the role of affect in dyadic
negotiation developed by Barry and Oliver, will be used. In using this model the
assumption that the role of affect and emotion are so interconnected and similar that, the
model will be applicable to the role of emotion, is made. I believe this assumption is
reasonable as affect is a construct that includes both emotions and moods and therefore
deals with the issues of emotion in the negotiation. (Van Kleef & De Dreu 2004b).
Barry divides the role of affect up into three different stages. They are anticipation,
experience and post-negotiation. Propositions on the role of the affect in the negotiations
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are made. Of special interest to this thesis is the propositions made on the possible
tactical implications of affect in the negotiation. Two tactical propositions are made in
relation to the anticipation affect in the negotiation. The propositions states that:
1. Negotiators with positive affect are more likely to adopt cooperative motivational
orientation than neutral-affect negotiators
2. Negotiators experiencing positive affect are more likely to make multi-issue
offers, substantiate position, demonstrate understanding of their opponents’
positions and priorities, ask questions, and voice perceptions regarding mutuality
of concerns than neutral-affect negotiations.
These two propositions both seem to suggest that positive affect in the negotiator will
enhance the integrative negotiation strategy. Cooperation with the counterpart is likely to
lead to a better relationship between the two parties. Where as making multiple-issue
offers can enhance the joint value. (Lewicki et al, 2007) This means that it may be a good
strategy for negotiators with high EI to go into the negotiation with positive emotions and
try to induce positive emotions into their negotiation counterpart, if they want an
integrative negotiation process.
These propositions are build on findings from other scholars and there has not been made
any empirical research in this study, to back these propositions. A review of empirical
studies on how positive affect can be used strategically in the negotiation will therefore
be necessary, before any conclusion on the possible strategic implications of such
propositions can be made.
The anticipated affect in the model deals with the emotions the negotiators have about the
negotiation before the negotiation have even begun. These anticipations about the
negotiation will be related to the prior experiences the negotiators have had with the other
party. If the past experience has been positive, the negotiator will have an expectation of
a positive encounter when going into the negotiation. This also works the opposite way if
the past experience has been negative, it will enhance negative emotions going into the
negotiation. (Barry and Oliver, 1996)
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It is proposed that the experienced affect in the negotiation will both influence and be
influenced by the strategies employed in the negotiation. It is stated that the positive
affect in the negotiation will be enhanced if the negotiation partner uses more cooperative
strategies than first anticipated. Likewise the positive affect should decrease if the
negotiation partner turns out to behave contentiously, when cooperative behavior has
been anticipated. It is also suggested that the experienced affect in the negotiation will
influence the tactics employed later in the negotiation as it changes the expectations of
the negotiators. (Barry and Oliver, 1996)
An interesting proposition is made regarding the relationship between affect and the
economic outcome of the negotiation. It is proposed that; “Positive affect that is
experienced by both parties increases the level of joint economic outcomes in a
negotiated settlement.” (Barry and Oliver, p.137, 1996) If this proposition is true it is
likely that negotiators with high EI will be able to create a higher level of joint economic
outcome from the negotiation than people with low EI. This is true under the assumption,
that the findings reviewed earlier are valid. It was found that people with high emotional
intelligence enjoy negotiating and was able to induce positive emotions in their
counterpart. This could be a possible explanation of why high EI negotiators were found
to create higher joint value in the integrative negotiation. It is however only a
propositions and it is necessary to review literature on the strategic use of emotion in the
negotiation, to gain a better understanding of this and possibly conclude on the
implication of such a relationship in the negotiation.
Like the case with the studies on emotional intelligence in the negotiation there are
methodological issues to consider, when using the model proposed in this study. Barry
and Oliver discuss some of possible issues. The first issued raised is that the model builds
on the assumption that the connection between affect and cognition is the same in
negotiation as it is other contexts. Not all scholars agree that this assumption is true
“many affect-cognition links are context-specific and not appropriately generalized to be
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a wider explanation of social behavior” (Moore & Isen 1990, p.12) (referred from Barry
& Oliver, p139, 1996). This in it self makes it questionable if the model is reliable.
Although this model is build to explain the role of affect rather than emotion in the
negotiation, the model would arguably transfer well to the role of emotion in the
negotiation. The difference between affect and emotion is that affect encompasses both
moods and emotions, where as emotions differ from mood in that they are discrete. (Van
Kleef & De Dreu 2004b). The model therefore encompasses all the aspects of emotion in
the negotiation but also the role of mood in the negotiation. This may mean that some of
the parts related to mood in the model will be of less importance in relation to emotional
intelligence.
So far it is established that the individual differences in emotional intelligence effects the
negotiation outcome and the experience of the negotiation for both parties involved. It is
now also proposed that the emotions play a role in the negotiation and there may be
tactical implications in relation to the role of emotion in the negotiation. As emotional
intelligence determines how well an individual deals with emotions, it will now be
explored how emotional intelligence may be related the negotiators ability to use the
emotions strategically in the negotiation. In doing this it will be evaluated if it possible
that the effects of strategic use of emotion in the negotiation, may be able to explain the
difference in negotiation outcome.
8. How High Emotional Intelligence can be used Strategically
As mentioned there are significant differences between the integrative and distributive
negotiation strategies. The way emotional intelligence can be used strategically will
therefore also to some extent be different in the two negotiation strategies. It will
therefore be necessary to look at the negotiation strategies separately in relation to some
issues. As the competences possessed by individuals with high EI seems to have the most
potential in the integrative negotiation where the relationship between the two parties is
important. I will start by focusing on issues related to the integrative negotiation.
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I will discus how the key emotional competences can used in specific relations during the
integrative negotiation. As I explained it is not only the subject of the negotiation that is
important during the integrative negotiation, but also the relationship to the counterpart. I
will therefore not only focus on how the most value can be gained from the single
negotiation but also how high EI can be used to build a good relationship with the other
party. Building a good relationship with the other party will be beneficial for the long-run
outcome between the two parties. (Lewicki et al, 2007)
8.1Understanding Others
Perhaps the single most important competence related to emotional intelligence in the
integrative negotiation strategy is the ability to understand others. Without an
understanding of the other party in the negotiation it will be very difficult, not to say
impossible to collaborate successfully with other party. As explained earlier collaboration
between the two parties is vital in gaining a successful outcome from the integrative
negotiation.
It has already been discussed how understanding others emotions were positively related
inducing positive mood in the other party. There is no empirical evidence that I’m aware
of that shows that individual differences in the ability to understand others will have other
implications on the negotiation. However further implication can be argued to exist by
integrating the literature on emotional intelligence with the negotiation theory. This will
be done using Goleman (Goleman, 1998) notion of understanding others and Lewicki and
colleagues (Lewicki et al, 2007) theory on the integrative negotiation strategy.
There are three related but distinctively different competences that all are important for
the integrative strategy and are based in the ability to understand others. They are:
understanding the other party’s real needs and objectives, understanding the motivating
factors of the other party and being alert of intangibles. (Lewicki et al, 2007). A
discussion on how these competences are related to emotional intelligence and the role
they play in the integrative negotiation will now be made.
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8.1.1 Understanding the Other Party’s Real Needs and Objectives
This is an important stage in managing the context of the negotiation. In most
negotiations the needs and objectives will not be the same for the two parties and not all
needs and objectives will have the same importance for the negotiator. In the integrative
negotiation the negotiator should try to satisfy the other parties’ needs and objectives, in
order to try and create the desired win-win situation. However before the negotiator can
begin to satisfy the needs and objectives of the other party he has to understand the other
party.
Based on the assumption that people will express emotion during the negotiation,
people with high emotional intelligence have the ability to recognize emotions in others
during the negotiation. (Kopelman, Ashleigh & Thomson, (2006). This ability can be
used to understand which are the most important needs and objectives for the other party.
By noticing emotional expression in the counterpart, the negotiator may be able to see
which issues are the most important to them. Further more by using active listening skills
it is possible that the negotiator will be able to get the other party to open up and thereby
gain a better understanding of what they want form the negotiation.
This will leave the high EI negotiator with a better chance of seeing the situation from the
other party’s perspective, compared to individuals that lack emotional intelligence. With
this increased understanding of the other party’s needs and objectives, high EI individual
will have an advantage in managing the context of the negotiation. However this is only
true as long as the other party is willing to cooperate. If the other party is not interested in
negotiating integratively and therefore does not open up in terms of sharing information,
it will be difficult to understand the other party’s real needs and objectives.
8.1.2Understanding the Interests and Motivating Factors of the Other Party
Identifying interests and needs of the other party is an important stage in managing the
process of the integrative negotiation. It is not enough to know the other party’s position
it is also necessary to understand why they take the position. To do this an understanding
of the other party’s interests is needed. The interest in the negotiation can be defined as
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“the underlying concerns, needs, desires or fears that motivate a negotiator to take a
particular position”. (Lewicki et al, p.64, 2007) With an understanding of the other
party’s underlying interests it is possible to come up with solutions that satisfy these
interests, which would not have been possible by only focusing on the positions the
position the other party takes. The position taken by the two parts might be mutually
exclusive but the underlying interests might actually be compatible. This means that new
options might be taken that can satisfy the interest of both parties.
Such understanding of the others interests is strongly related to emotional intelligence.
Arguably this will be the case because individuals with high EI have the ability to
understand and analyze emotion. As it is likely that interests are related to emotions the
high EI, negotiators will have an advantage understanding the other party’s interest. If
the high EI negotiator pays close attention to the other party, it may be possible to pick up
emotional clues that tell them which issues are the most important to the other party.
They might then be able to sense that there may be some underlying concerns related to
the issue. By means of good listening skills and artful readings of their body language
they would be able to find out what these interests are. (Lewicki et al, 2007)
8.1.3 Being Alert of Intangibles
The negotiators are not only interested in gaining the best possible economic outcome
from the negotiation, they will also have intangible interests. The intangible interests in
the negotiation are interests such as feeling comfortable during the negotiation or to gain
recognition from the people they represent. Not all negotiators have the same awareness
of the intangible needs of the other party or the influence they have on the negotiation
process. Unawareness of intangible interests will make it more difficult to manage the
negotiation process. If important interests of the other party are neglected, they may
become upset. Negotiators that are unaware of intangibles in the negotiation may not
even know why the other party is not satisfied and therefore making it difficult for them
to manage the negotiation process.
Individuals with high EI will have a better understanding of both their own and others
feelings. This is because they have the ability to understand and analyze emotion. As
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intangible interests are directly attached to emotions, people of high emotional
intelligence will therefore have a better understanding of intangible interest in the
negotiation. This will ultimately make them more adept in managing the negotiation
process. Given that the high EI negotiators are able to satisfy the intangible interests of
the other party, this could be a possible explanation of why negotiators with a good
understanding of emotions were able to induce positive moods in their counterparts.
The propositions made in this section purely build on an integration of negotiation
literature and the concept of emotional intelligence. Some of the assumptions made from
these two areas of literature are questionable, making the validity of the propositions
uncertain. Further more there is no empirical evidence to back the proposition which is
something I would suggest for further research on the topic, as this could help to get a
better understanding of how individual differences influences the negotiation. Until such
research it is made I will suggest that the conclusion from this section are taken
cautiously.
To sum up it can be said that the competences of understanding others can be used to find
out what it is the other party really wants from the negotiation, on several different levels.
This will leave the high EI negotiator with a better chance of managing both the process
and the context of the integrative negotiation. Individuals with high EI do not only have a
good understanding of others but also of themselves, which arguably makes them more
self confident. Strong self confidence is also something that possibly can explain
individual differences in negotiation ability. The possible role of self confidence in the
integrative negotiation will therefore be explored now. It will be explored using a similar
method to the last namely using the theory on the integrative negotiation by Lewicki and
colleagues (Lewicki et al, 2007) and the competences of individuals with high self
confidence argued by Goleman. (Goleman, 1998)
8.2 Self- Confidence
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Without confidence in their own abilities the negotiators will face several problems
during the negotiation. Self-confidence is connected to our self-awareness and this means
that we do not necessarily have the same confidence in all aspects of life. If we are aware
that we are skilled in a specific domain, we will be more confident in that domain, than in
a domain where we feel we lack the skills necessary to succeed. For example a student
who is confident in his ability to solve mathematical problems may not have confidence
in his interaction with other people. (Goleman, 1998) This may also be reflected in a
negotiation context, meaning that negotiators can have a strong believe in their ability to
put pressure the other party into making concessions but are not confident in their ability
to collaborate with them. If this is the case the negotiator will be less willing to put effort
into to establishing collaboration with the other party, as they believe that it will be too
demanding for them. They will feel more comfortable competing against the other party
and this will therefore be their natural choice. It is therefore important for the negotiator
to have confidence in their ability to negotiate integratively, to gain the best possible
result in the integrative negotiation.
Another ability that helps the self-confident negotiators to perform in the integrative
negotiation is their ability to be decisive and confident that they will make the right
decisions in the negotiation.
During the integrative negotiation it is some times necessary to bring new negotiation
issues on the table in order to ‘expand the pie’. Although many scenarios can be
considered before the negotiation, it can be difficult to know exactly what the other part
wants and what they can bring to the table. This means that the negotiator might have to
make some quick decisions especially if they are under time pressure. People that are
afraid that they will make the wrong decision will be more reluctant to make decisions,
because they are afraid of the consequences of an unpopular decision especially with
respect to their superiors. (Goleman, 1998)
This means that negotiators with high self-confidence may be better at ‘making things
happen’ than people with low self-confidence, as they are more decisive and not afraid to
make deals even if they may be viewed as unpopular in their organization.
.
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So in conclusion people with high self-confidence will be less afraid of failing in the
things they pursue during the negotiation. This leaves several positive marks on the
negotiation. They will be more willing to try to collaborate with the other party even
though it might be difficult. They will also be better at making the necessary decisions
even though they may be viewed as unpopular by their superiors. It is however important
that these conclusions are taken cautiously due the way they have been derived. The same
considerations regarding the reliability of what was proposed in the last section have to
be made for this section. The reliability of what have been proposed is therefore
questionable.
It has already shortly been described how people with high emotional intelligence are
able to regulate their feelings, but because regulations of feelings will be of major
importance for the rest of the thesis it will be explored it in more detail. A detailed
explanation of how emotional intelligence is related to the construction and regulation of
feelings will therefore be made.
8.3 Regulation of Feelings
Regulation of both own and others feelings is vital for emotional strategies in the
negotiation. How a regulation of emotions is related to emotional intelligence will be
discussed in this section. However before the discussion on how other emotions can be
regulated can begin an assumption has to be made. It will be assumed that the negotiators
will display emotions during the negotiation. Fulmer and Barry argue “given that
emotional expression is pervasive in human communication, it is reasonable to assume
that people routinely bring their emotions with them to the bargaining table” (Fulmer &
Barry, p. 257, 2007). Under this assumption the negotiators perception of the other
party’s emotion is likely to play an important role in the negotiation process. Being able
to regulate own emotions will aid the negotiator in managing the other party’s
impressions in the negotiation. It is therefore also very important that the negotiator is
able to regulate own emotions.
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It is necessary to distinguish between construction and regulation of emotions as they are
distinctively different. When these two concepts are discussed there will be referred to
the definitions of the concepts made Mayer and Salovey. They define construction of
emotion as ‘the formation and modification of the emotion before it is fully complete or
felt’. Regulation of emotion is defined as ‘modifying the emotion after it is felt’. (Mayer
& Salovey, p. 200, 1995)
To look at more specifically at the topic of regulation of emotion a further sub division is
made into non, low-, and high-conscious levels of regulation. The non-conscious level
deals with the emotions that we are unaware of. At the low level of consciousness we are
momentarily aware of the emotion, but little attention is put into handling the emotion. At
the highly conscious level self-observation and reflection occurs, this requires a lot of
attention and can be viewed as a thought process in it self.
At all three levels of consciousness the degree to which individuals are able to regulate
and construct feelings in is depended on their emotional intelligence. At the low level of
consciousness the high EI individuals chooses a better adapted emotional response than
the individuals with low EI. They are likely to choose a defensive approach which is not
well suited for dealing with emotions in a constructive manner.
At the low level of consciousness people with a low EI are poor at attending their feelings
and are unable to choose the right emotional approach to deal with the emotions. On the
other hand their emotionally intelligent counterpart is able to reframe their emotions,
choose the right emotional approach and are able to communicate their emotions in an
open an appropriate manner.
The high-level of conscious construction and regulation of emotion is most interesting
level for this thesis as individuals with a high emotional intelligence are able to develop a
good and explicit understanding of both own feelings and the feelings of others. This
means that they are able to make interventions that may change their own and others’
feelings.
To sum up the emotional intelligent individuals are able to construct and regulate
emotions in a way that is positive both for the selves and others. In a negotiation context
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it most likely that this ability is most important at the highest level of consciousness
where the most significant changes to the feelings in the negotiation can be made and
have the large implications on the negotiation.
A potential problem regarding the regulation of feeling raised by Thompson and
colleagues, is that it may be difficult to suppress negative emotions. It builds on the
findings of Wegner and Wenwalf 1996, regarding cognition. They found that when
people try to suppress thinking about something, they actually began to think more about
it. Thompson and colleagues suggest what these findings might be true for emotions too,
so that trying to suppress a negative emotion might enhance the negative emotion.
However this is not based on empirical findings, and there is evidence to suggest
cognitive and emotional processes do not work in the same way (Thompson, Medvec,
Seiden and Kopelman, 2001). If the findings on cognitive processes can not be prescribed
to emotional processes and the potential problem does not exist.
Although the point raised by Thompson and colleagues lacks validity it might still be
worth considering in relation to the regulation of feelings but it does not raise large
concerns to the idea of emotional regulation in the negotiation. There is however another
problem that may be more serious regarding the regulation of emotion. That is that there
is a paradox of regulating both own and others feelings. This paradox and its possible
implication will be discussed now.
8.4 Paradox between Regulating Own and Others Emotions
So fare it has been discussed how high EI individuals are able to regulate their own
emotions, and also how the emotions in others can be regulated by high EI individuals.
This creates a paradox because if the negotiators can regulate emotions in each other,
how can they simultaneously regulate their own emotions?
The answer would seem to be that this is not possible, at least not simultaneously.
If two negotiators with high EI are facing each other in a negotiation, they may both try
to control the emotions in the negotiation. This is not possible; however this should not
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be a problem if the negotiators want to impact the negotiation process in the same way. If
both tries to create a negotiation with positive feelings, their goals will be coherent so it
does not matter how the emotions are constructed, as long as the desired emotion in the
negotiation are reached. The problem arises when at least one of the parties does not want
to create a good mood in the negotiation. This is likely to occur if one of the parties is a
distributive negotiator. The distributive negotiator sees the negotiation as competition
between the two parties and will therefore try beating the other party. Some of the tactics
involved in the distributive negotiation strategy involves attempts at making the other
party feel uncomfortable. (Lewicki et al, 2007). If the distributive negotiator succeeds in
such tactics it will not be possible for the negotiator to be in full control of their own
emotions.
So to sum this discussion up; it does not seem likely that the negotiator will be able to
regulate their own and the counterparts emotions in all negotiations, even if they have
high EI. This is something that has to be taken into mind, when considering the theory on
how negotiators are able to regulate emotions in the negotiation. It however still seems
likely that negotiators with high emotional intelligence will be good at regulating
emotions in the negotiation.
Having the ability to regulate and construct emotions will be worth little if the negotiator
is not motivated to understand the other party. So before starting a detailed discussion on
how regulation of emotion effects the negotiation, it will be attempted to establish how
the motivation to understand others, effects the negotiators ability to regulate emotions
during the negotiation.
8.5 Epistemic Motivation
The effect of emotions during the negotiation will be dependent on the degree to which
the negotiators are motivated to process the information in the negotiation. (Van Kleef &
De Dreu, 2004b)
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This was found in an investigation on how epistemic motivation can explain individual
differences on how strongly negotiators are influenced by emotions in the negotiation. In
the article epistemic motivation is defined as “the desire to develop and maintain a rich
and accurate understanding of the world, including the negotiation task” (Van Kleef &
De Dreu, p. 511, 2004b). The epistemic motivation differs among individuals and these
differences have an influence on how strongly we are affected by both positive and
negative emotions. It is found that a high epistemic motivation leads to a more thorough
examination of the other party’s emotions in the negotiation. This leads to the conclusion
that negotiators with high epistemic motivation are highly effected by the other party’s
emotion where as those with a low epistemic motivation were unaffected by the other
party’s emotion in the negotiation. (Van Kleef & De Dreu, 2004b)
The impact of regulations of emotions as a tactical tool will therefore be dependent on the
parties’ epistemic motivations in the negotiation.
Having established that the epistemic motivation will moderate the influence of emotions
in the negotiation, an analysis of how emotions can be use strategically will be
undertaken. This analysis will begin with an exploration of how emotions may be
displayed strategically in the negotiation.
8.6 Strategic display of Emotion in Negotiations
The idea that emotions can be displayed strategically in the negotiation builds on the
premise that emotions play a role in the negotiation. This was established earlier, from
the review of Barry and Oliver’s model on role of affect in the negotiation. If the
negotiator is aware of the effects emotions have on the other party, the negotiator may try
to display emotions that promotes the desired outcome of the negotiation. From the
model it was proposed that positive emotions would have a positive impact on the
negotiation and it will therefore be explored how the display of positive emotions may be
used strategically. It can however not be ruled out that it may also be desirable to display
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negative emotions in some situations. The strategic display of both positive and negative
emotions will therefore both be explored.
In an exploration of the how emotions might be used strategically in the negotiation,
recent studies with some interesting empirical findings has been explored.
To qualify the idea that emotions can be displayed strategically in the negotiation two
assumptions are made, they are;
“1. Negotiators can control their behavioral emotional display during social interactions
2. Emotional displays can be communicated convincingly to the other party” (Kopelman,
Rosette & Thomson, p.82, 2006)
The degree to which the negotiator fulfills these two assumptions depends on their
emotional intelligence. According to Salovey and Mayer one of the four abilities in
emotional intelligence is ‘reflective regulation of emotion’. This will arguably help to
fulfill the first assumption, because if the negotiators can regulate their emotions they
should also be able to regulate their emotional display. Another of the four abilities in
emotional intelligence is ‘perception, appraisal and expression of emotion’. (Mayer and
Salovey, 1997) This should help the negotiator in better fulfilling the second assumption,
because if the negotiator can accurately express emotion he should also be able to
communicate an emotional display convincingly to the other party.
Some scholars believe that it is very difficult to fulfill the second assumption. Thompson
and colleagues argues that it is much more difficult to read other people’s feelings than
we believe (Thompson et al, 2001). It will therefore be difficult to convincingly
communicate the feelings we want to get across to the other party. Overconfidence does
not only exist in our ability to understand other people’s emotion, we also overestimate
their ability to read our emotions. Overconfidence in the other party’s ability to read our
emotional display may cause problems (Thompson et al, 2001).This may mean that, the
negotiator trying to display emotions strategically will be under the impression that he
has got his point across through the display of emotions while the other party may not
have interpreted it in the indented way.
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If the second assumption cannot be fulfilled like some literature suggest, the negotiator
will not be able to display emotions strategically with success.
These assumptions will be the same for strategic display of positive and negative
emotions. The negotiators ability to strategically display emotions is dependent on their
ability to fulfill the two assumptions discussed. It has been argued that high EI
individuals will be better at fulfilling the two assumptions, they should therefore also be
better at strategically displaying emotion. How this can be done and the impact it will
have on the negotiation will now be discussed, starting with the strategic display of
positive emotions.
8.6.1 Strategic Display of Positive Feelings
‘Positive feelings’ is a broad term that incorporates a number of different positive
feelings. Although these feelings are distinctively different, they all have very similar
effects on the negotiation. They will almost exclusively have positive effects on both the
process and the outcome of the negotiation. One of the main reasons for this is that
positive feelings in the negotiation are likely to cause an improvement of the relationship
between the two parties. It will therefore be desirable to display positive emotions in the
integrative negotiation. The strategic display of positive emotion has two main purposes
in the negotiation: 1.) To change the perception of the negotiator so he is perceived as
more empathetic. 2.) To induce positive emotion in the other party.
Several studies have shown that feelings are contagious (referred from, Van Kleef, De
Dreu & Manstead, 2006) so by displaying positive feelings the focal negotiator may
induce positive feelings in the target negotiator.
It has already been discussed how high EI individuals are able to regulate emotions.
However it has not yet been discussed if this ability exists in a negotiation context. In a
study by Kopelman and colleagues (Kopelman et al, 2006) there is evidence to suggest
that the ability is transferable to the negotiation context. In the study it was found that
even novice negotiators were able to manipulate their feelings to the extent that it had an
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impact on the negotiation. This suggests that the emotionally intelligent negotiators will
be able to manipulate their feelings to the extent that they impact the negotiation
positively. This may be necessary if the desired emotions are to be displayed in the
negotiation. Although the negotiator may be aware that he should have a positive attitude
during the negotiation, it is sometimes inevitable that the negotiator will experience
negative feelings during the negotiation. It may be that the other party generally is
obnoxious and uncomfortable to be around or a dispute may occur, causing negative
feelings in the negotiator. A way of turning negative feelings would be to regulate the
feelings into to actual positive feelings. The negotiators ability to this will be positively
related to emotional intelligence. The high EI negotiator may therefore be more
successful at the strategic display of positive emotions. However if it is not possible to
regulate emotions to the required extend in the situation, it may be necessary to use
surface acting. Surface acting is to display feelings that are not authentic, by the means of
acting. There is evidence that suggests that individuals with high EI are able to use
surface acting successfully (Prati, Liu, Perrewé, Ferrís, 2009). In a study it was found that
individuals with high EI were better at alleviating strain caused by emotional labor, with
surface acting than people with low emotional intelligence (Prati et al, 2009). This may
transfer to the negotiating setting where the negotiators are likely to experience emotional
distress. This tactic may be very effective if done well, however there are several
problems with using this tactic. Firstly it may be difficult to do successfully, even for
high EI negotiators, because as it was discussed earlier we often overestimate others
abilities to read our emotions. Secondly there are also some ethical considerations which
have to be accounted for if it is used to manipulate with the other party’s emotions.
8.6.1.1 Effect on long term relationship
In the integrative negotiation strategy it will normally also be of importance to build a
long term relationship with the other party. For the purpose of building a relationship
positive feelings play a significant role. In a study by Kopelman and colleagues they
investigate the desire to develop a future business relationship with their negotiation
partner. In the study they found that among people facing a counterpart displaying
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positive emotions only 8% did not expect a future relationship whereas, among
negotiators facing a counterpart displaying negative emotions this figure was 29%. This
suggests that it will be worthwhile to strategically display positive emotions in a situation
where the negotiator is interested in a future relationship with the other party. (Kopelman
et al, 2006)
As the case with the other empirical results reviewed, these findings were derived from a
lab type experiment, where the participants were students. This creates some of the same
problems regarding the external validity as discussed earlier. Real world negotiation
relationships will be more complex and there may therefore be more factors that
influence the negotiators choice on a continued relationship.
8.6.1.2 Effect on Concessions
Displaying positive feelings may also be an effective strategy for getting the other party
to make concessions. The study by Kopelman and colleagues on strategic display of
emotion (Kopelman et al, 2006) showed that negotiators displaying positive feelings were
more successful in making the other party concede than those displaying neutral or
negative feelings. This suggests that it does not work to try and intimidate the other party
by showing negative feelings, rather the opposite happened. The other party started
mirroring this behavior and became defensive. (Kopelman et al, 2006)
8.6.1.3 Effect on the Negotiation Outcome
It was not only the process of the negotiation and the relationship between the two parts
that were effected it also improved the mutual outcome of the negotiation. (Kopelman et
al, 2006)
This is partly due to some of the things already discussed, such as the increase in
cooperative tactics, however there are also several other reasons why the display of
positive feelings improves the negotiation outcome. Positive feelings promotes; creative
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thinking, better decision making, setting of higher goals and enhances the effectiveness.
(Kopelman et al, 2006)
The display of positive feelings is likely to lead to a more integrative negotiation. This is
because the emotional state of the negotiators can affect the negotiation tactics the
negotiators choose. A study by Forgas have showed that ‘happy negotiators develop more
cooperate tactics than unhappy negotiators’ (referred from Kopelman, p.83, 2006).
Cooperation is crucial if an integrative result is to be reached because the negotiators
must work together in reaching a solution that will create the most benefit for both
parties. A more integrative negotiation situation is therefore likely to occur if positive
emotions are present in the negotiation.
In summing up the discussion of strategic display of positive emotions, it can first of all
be concluded that it is possible to gain results from this strategy. The impact however
seems to be more significant in the integrative negotiation strategy. This is because
positive emotion helps to build and maintain the relationship with the other party. Further
it was found that the effects of the strategic display of positive emotions were effective
getting concession from the other party. Gaining concessions from the other party is an
important part of the distributive negotiation process. This would therefore suggest the
strategic display of positive emotions also can be used successfully in the distributive
negotiation strategy.
8.6.2 Strategic Display of Negative Emotions
Although negative emotions do not have the same positive effects on the negotiation as
positive emotions, it can still be effective to strategically display negative emotions if
done right. Not only is it important to be able to suppress negative emotion when it is
hurtful for the negotiation. It is also important to be able to display negative emotions
when it is will help to obtain the desired outcome. A successful strategic display of
negative emotions relies on three fundamental abilities. They are controlling negative
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emotions, artful display of emotions and knowing when to display negative emotions.
(Kopelman et al, 2006)
Like with positive feelings, the term ‘negative feelings’ incorporates a number of
distinctively different feelings. These feelings can affect the negotiation differently and it
is therefore important to distinguish between these different feelings and analyze them
separately.
8.6.2.1 Appeasement and supplication
Although there is a limited amount of empirical research on the interpersonal effects of
negative emotions in the negotiations a very interesting study on the topic has been made
Van Kleef and De Dreu. The following part will is built on these findings.(Van Kleef &
De Dreu, 2006)
It explores the impact of negative emotions on demands and concession made in the
negotiation. The feelings of interest in this investigation were divided into supplication
(disappointment and worry) and appeasement (guilt and regret).
It was found that negotiators facing opponents showing supplication were more likely to
make concession, than if they were facing opponents showing appeasement. It is argued
that this is most likely because people experiencing a feeling of guilt will try to behave in
a way that will mend the relationship with the party, they feel guilty towards. The party
facing the negotiator that feels guilty will therefore evaluate the display of appeasement
as an implicit commitment to make up for the actions that have made them feel guilty. In
a negotiation context this means that they will be expecting the negotiator showing
feelings of guilt to make concessions. This means that a negotiator facing an opponent
that shows sign of appeasement will stand firm against them and not give in because they
expect them to give in first, in order to mend the relationship.
The negotiators facing a party showing supplication will feel sympathy for these
negotiators and be more likely to make concession towards them, in an attempt to help
them.
Individuals with a high EI are more likely to pick up emotional clues from their
opponents, because they have the ability to accurately perceive emotion. This means that
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the effects of displaying either appeasement or supplication may have a greater impact on
the negotiation, when the party receiving the emotional display possesses high emotional
intelligence. One of the competences Goleman argues high EI individuals have is that
they are more empathetic than people with lower EI (Goleman, 1998). This means that
the negative effect of displaying supplication may be enhanced, but also that the positive
effect of displaying appeasement will be enhanced to.
Another finding was that negotiators got a worse impression of opponents expressing
supplication than the opponents showing appeasement. This is because people displaying
feelings supplication is perceived as self centered and egoistic. Where as the display of
appeasement is a sign of interpersonal sensitivity and concern. (Van Kleef & De Dreu,
2006) This is likely to have the implication that negotiators will be less willing to
negotiate with the negotiators showing supplication in the future. On the other hand if the
negotiator expresses appeasement, it may make it more likely that the other party will be
willing to negotiate with them in the future.
Displaying negative feelings strategically and gaining a positive outcome is more
complicated than, the strategic display of positive feelings. This would seem to be the
case, because display of supplication and appeasement has opposing effects on the
negotiation in terms of concessions made by the counterpart, although they are both
negative feelings. So a negotiator trying to display feelings of supplication in order to get
the other party to make concessions may be misinterpreted as having feelings of
appeasement. This would lead to the opposite of the desired result, namely that the
negotiator will be even more reluctant to make concessions than, before the attempt at
strategic display of emotion was made.
Two implications can be argued regarding the display of appeasement and supplication
respectively. The display of supplication can get concession from the other party but, at
the cost of the building a good relationship. The display of appeasement will make it less
likely that the other party will make concessions but on the other hand it will give the
other party a good impression of the negotiator. I will therefore propose that it may be
effective to display feelings of supplication in the distributive negotiation. This could be
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effective because it is important to get concession from the other party and the
relationship with the other party will be less important than in the integrative negotiation.
In regards to the display of appeasement I will propose that it might be effective in the
integrative negotiation, because although it may make it harder to get concessions from
the counterpart it is likely to improve the relationship with the other party. So in
negotiations where the long term relationship is more important than the short term
outcome of the negotiation, strategic display of appeasement may be effective.
With regards to these propositions it is important that the emotional display occur in the
right context. Fore example displaying feeling of regrets will only improve the
relationship if there is something to regret. So if these feeling are to be displayed
strategically, the timing of the display is crucial for the outcome of the strategy.
I will further propose that the ability to use these feelings strategically will be positively
related to the negotiators emotional intelligence. This proposition is made in relation to
the discussion on how emotional intelligence was positively related to the ability to fulfill
the assumptions necessary for strategic display of emotions.
The results of this study were obtained in a computer mediated negotiation. This means
that there were no face-to-face interactions. This makes it highly questionable how well
these findings will transfer to face-to-face negotiations. (Van Kleef & Van De Dreu,
2006) It is a well recognized fact that most of our communication actually takes place
through body language. In the computer mediated negotiation there will be no body
language and the dynamics of the interaction will therefore be very different. This also
makes the role of emotional intelligence in this investigation very uncertain. This is
because an important ability of the high EI negotiator is, the ability to accurately perceive
and express emotion. This ability will be worth little in the computer meditated
negotiation. Likewise the role of the other abilities related to emotional intelligence will
also be diminished in this negotiation set up.
The reason why this study has been included in the thesis, although it is questionable how
well the results transfer to the negotiation form of interest in this thesis, is that the results
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are still promising. They will have to be tested in a face-to-face setting to improve the
external validity in relation to other negotiation forms. They however have a good
theoretical explanation of their findings suggesting that the findings will be transferable
to face-to-face negotiation. Given that the findings are transferable to face-to-face
negotiations emotional intelligence will also be important for the negotiators ability to
display these emotions strategically.
8.6.2.2 Anger
It is almost impossible to discuss negative feelings without mentioning anger. Anger is
normally displayed very expressively and maybe difficult to hide in some cases. This
makes it easy to recognize and it is therefore likely to have an impact on the negotiation
when expressed.
There are two opposing theories on how negotiators will react when facing a negotiator
displaying anger. The first being that negotiators facing an angry opponent will make
higher demands and smaller concessions, compared to a happy negotiator due to the idea
of social contagion. Social contagion is the idea that emotion will be transferred from one
person to another, in this case meaning that the other party will catch the feelings of
anger so both negotiators will end up being angry. The second theory is that negotiators
facing an angry opponent will make lower demands and large concessions. This is the
strategic consideration theory. The argument for this theory is that the negotiator will feel
uncomfortable with an angry negotiator and therefore will try to give him what he wants,
in order to stop his anger. (Van Kleef, at al, 2004a)
In the discussion regarding strategic display of positive emotions, it was explained that
positive emotions in the negotiation leads to larger concessions than the display of
negative feelings, which supports the idea of social cognition. However to make matters
more complicated, when Van Kleef tested the effects of anger in a later study (Van
Kleef, et al 2004a) he found that the negotiators facing angry opponents made lower
demands and made higher concession than the negotiators facing happy opponents. In the
same experiment it was also found that social contagion did occur but it did not influence
the behavior of the negotiators. There can be several different reasons for these
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contradicting theories. The most likely being that although social contagion does occur in
the negotiation it is undermined by strategic considerations. (Van Kleef, et al, 2004a)
Again it has to be considered that the results were found in lab experiments, which also
makes the external validity questionable. In real negotiations it is likely that social
contagion will still occur because this underlying psychological reaction that may be hard
to control. However regarding the strategic choice theory it is not unlikely that the impact
might be different in negotiations where the substance is more important than it is in a lab
experiment. Arguably this would be the case, because the negotiator may be more willing
accept experiencing uncomfortable emotions related to facing an angry opponent if what
they have to loose by making concessions is important to them.
Empirical evidence on how emotions are displayed strategically in negotiations has been
reviewed and the importance of emotional intelligence in relation to carrying out these
tactics has been discussed. It has however not been discussed how negotiators might be
able to respond, to the display of emotion strategically. This is what will be explored
now.
8.7 Strategic Response to Displayed Emotions
This section builds on the work of Kopelman, Gerurz and Sacharin that have investigated
how the negotiator maybe able to respond to displayed emotions in the negotiation
strategically (Kopelman, Gerurz and Sacharin, 2007).
As discussed negotiators that are able to display their emotions sufficiently in the
negotiation can increase the instrumental outcome of the negotiation and also improve the
relationship with the counterpart. These gains can be enhanced if the negotiator also is
able to respond correctly to the display of emotions in the negotiation.
A premise that needs to be fulfilled to make strategic response to emotion possible is that
emotions can be recognized and understood by the negotiator. (Kopelman, 2007)
Recognizing and understanding emotion are both abilities that are part of emotional
intelligence. It is therefore likely that the ability to strategically respond to emotion will
be related to emotional intelligence.
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There are six basic facial displays of emotions that can be recognized, they are; anger,
disgust, fear, sadness, surprise and happiness (Kopelman, 2007). These are therefore the
emotional displays that will be relevant for the strategic response to displayed emotion in
the negotiation.
8.7.1 How an emotional negotiator cognitively process information
When the negotiator recognizes specific emotions in the counterpart it will influence the
cognitive process. (Kopelman, 2007) The cognitive processing of information is crucial
to the negotiation as it has an impact on both the process and outcome of the negotiation.
As already mentioned positive emotion will lead to broader and more creative thinking.
However it is not only the breadth of thought that is influenced by emotions but also the
depth of thought. How deeply a situation is processed depends on the level of certainty
experienced by the negotiator. When we are uncertain about what we are experiencing,
we will process the situation in more depth than if we feel certain about what we are
experiencing. Despite their differences both anger and happiness are feelings of certainty.
(Kopelman, 2007)This means that a negotiator experiencing either of these feelings will
process the situation in less depth than a negotiator that for example experiences feelings
of sadness which is an uncertain emotional state. Although it is mostly beneficial for the
negotiator to process information in detail, this is not always the case. In some cases
where the information have to processed quickly it can be an advantage that the
negotiator uses a script driven approach to the processing of information to make a quick
decision.
Although the negotiator has recognized and understood the emotions in the other party, it
will not necessarily be an easy task to come up with an appropriate response. The social
interactions that occur between the negotiators, is a complex and dynamic process. It is
therefore difficult to know what effect it will have on the negotiation. This makes it a
difficult task to determine what the right response will be to displayed emotion, as it will
be depend on the unique situation. Although it is difficult, it is not impossible to come up
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with some advice on how to make a strategic response to display of emotion in a
negotiation. As it has been discussed positive and negative emotions have very different
impacts on the negotiation and the role they play differs between the integrative and the
distributive negotiation. Negative emotions from the counterpart can have negative
effects on the negotiation, especially in the integrative negotiation. It will now be
discussed how a strategic response to negative emotions can diminish these negative
impacts on the negotiation.
8.7.2 Responding to Negative Emotions
As discussed earlier positive emotions in the negotiation will have a more positive impact
on the negotiation than negative emotions. So regardless of which tactics are employed to
deal with a negative counterpart, the negotiators must overcome the negative emotions, in
order to reach the best possible outcome of the negotiation.
The specific tactics that are suggested in the negotiation literature on how to deal with
negative emotions are: “allowing the other party to vent their emotion, taking a break in
the process in order to cool down, shifting the interest towards non-emotional interestbased discussion, or going “into” the negative emotion in order for the other party to
recognize the unproductive consequences and shift their behavior”. (Kopelman, p.13,
2007)
These tactics and their relation to emotional intelligence will be discussed.
8.7.2.1 Venting the other party’s emotions
The idea with letting the other party vent their emotions is to allow them to speak out
about their frustration or anger. This serves several purposes. First of all it is a good way
of determining the underlying issues behind the other party’s negative emotions.
Secondly letting an upset negotiator speak out will be likely to ‘clear the air’, allowing
them to calm down and continue the negotiation in a more productive manner (Kopelman
et al, 2007).
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To carry out this tactic successfully the negotiator will need to be strong in many of the
abilities related to emotional intelligence.
Having an understanding of the other party’s emotions and being a good listener will help
the process of letting the other party vent their emotions. If the negotiator displays good
listening skills the other party will feel that they are being heard and the tactic will be
more likely to be successful, as this will both clear the air and make it easier to pick up
the underlying interest of the other party.
It is also important that the negotiator is able to regulate his emotions and stay calm in the
situation. If the negotiator starts to get affected by the emotional outburst of his
counterpart he may well ‘catch’ the negative emotion and this will most likely lead to a
spiral of negative emotions. It is important that the negotiator do not take the possible
critique personally if he is to avoid catching the negative emotions. People with high selfconfidence will most likely be better at not taking it personal than people with low selfconfidence that are prone to taking such attacks personally. It will therefore be a
dangerous tactic for people with low self-confidence to employ. However even people
with low self confidence can learn, not to take emotional outbursts in the dyadic
negotiation less personally. A useful tactic that many negotiators are taught is to pretend
that the other party is not yelling at them, but at the wall behind them (Kopelman et al,
2007).
Further more it will also help the negotiator to carry out this tactic successfully if the
negotiator is naturally sympathetic, because he will more likely, to let the negotiator that
have vented his negative emotions safe face, which is important for the further
relationship between the two parties.
Although letting the negative negotiator vend his frustration can be a useful way of
dealing with a negative counterpart. It is not the best way to handle the situation. This is
because even if it is done well it might focus the attention too much on the obstacles in
the negotiation, instead of looking at the positive things that can create a good outcome
for both parties. (Kopelman et al, 2007)
Some researchers suggest taking short breaks from the negotiation to allow the
negotiators to reflect on the situation and calm down (referred from Kopelman et al,
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2007). It is not only the cooling of period that will have an effect, but also the signal it
sends to take a break from the negotiations that may calm down both parties. This may
like venting emotion, help to handle negative emotions in the negotiation. However it
does not solve the problem it only makes sure that the negative emotions don’t escalate
and become too dominant in the negotiation process. In order to truly deal with the
negative emotions of the counterpart it is necessary to understand the underlying reason
having caused the negative emotions and deal with them. (Kopelman, 2007)
8.7.2.2 Shifting the interest towards non-emotional interest-based discussion
The first step in trying to understand the underlying reasons behind the emotional display
from the counter part is, to separate the person from the problem and the emotion from
the issue. (Kopelman, 2007) This is important if the negotiator is to show respect for the
other party’s emotional display, without having to make concessions. This creates the
opportunity for creating the attractive win-win situation.
All human beings have a need to be appreciated and understood by others, it is likely that
this also applies in a negotiation context. It is therefore important that the negotiator
‘express appreciation for the core concern underlying the expressed emotions in order to
get at each party’s underlying interest’.( Fisher and Shario, 2005)(referred Kopelman et
al, p. 16, 2007)
The key thing in understanding the underlying reasons of the other party’s emotional
display is to address the concern behind the emotional display and not the emotional
display in it self. If the negotiator feels appreciated this it will make him feel more
positive and therefore have a positive impact on the negotiation. (Kopelman et al, 2007)
Fisher and Shapiro have done an investigation on the topic of, understanding the
underlying concerns of emotional display. It indicates four concerns that are important to
appreciate because they stimulate positive emotion. They are; affiliation, autonomy,
status and role. “Fisher and Shapiro suggested that if affiliation is properly built,
autonomy respected, status acknowledged, and fulfilling role is chosen, then positive
emotion will be stimulated and better agreements negotiated”. (Referred from Kopelman
et al, p.17 Kopelman, 2007)
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The ability to understand the underlying reasons behind the emotions displayed by the
counterpart will arguably be positively related to the emotional intelligence of the
negotiator. One the four abilities that make up emotional intelligence in the construct by
Mayer and Salovey is the ability to understand and analyze emotion. Negotiators scoring
high in this ability will as stated not only be able to understand the emotion but also to
analyze it. By a good analysis of the emotion, the high EI negotiator should be able to
understand the underlying reason behind display of emotions.
So to conclude on this understanding the underlying reasons for emotional display from
the counterpart will help to repair the relationship between the two parties and it can also
help in finding the issues that are important for the other party. This can be used to find
common ground and possibly create a solution, which may increase the joint outcome of
the negotiation and create a win-win situation.
8.7.2.3 The Breakthrough Approach
An alternative approach to dealing with negative emotions was suggested by Ury in
1993(referred from Kopelman et al, 2007). The approach is similar to letting the other
party vent their emotions only more extreme. His approach is to deal with a counterpart
displaying negative emotions, is to encourage their display of negative emotions in the
negotiation. This may seem like strange tactic given that negative emotions are
unproductive for the negotiation, but the tactic has been proven to work, if employed
skillfully. The idea is that by encouraging the display of negative emotions the negotiator
will become so negative, that he sees how unproductive his behavior is for the
negotiation outcome. This should motivate him to change his behavior, because the
counterpart also will be interested in a productive negotiation. This is a risky tactic,
because it enhances the effects of negative emotion in the short run. If the other party
doesn’t change his behavior this tactic will only make the situation worse.
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The high EI negotiators ability to regulate emotion in self and other will be important for
employing this tactic. Regulation of the other party’s emotion may help in controlling the
process of changing the counterpart’s emotions without hurting the relationship.
The regulation of own emotions will also be important. The explanation for this is that
emotions can be contagious, this means that the negotiator may catch these negative
emotions, if he is not able regulate his own emotions. This has the same explanation as,
the part on letting the other party vent emotions. Likewise I will make the same
proposition regarding the relationship between self-confidence and the ability to
successfully use the break-through approach, as was made for the relationship between
self-confidence and venting of emotion.
Different ways in which the negotiator can respond strategically to negative emotions has
now been discussed. The attention will now be turned to explore how the negotiator can
respond strategically to display of positive emotions. This is not as difficult as dealing
with negative emotions and the consequences are not as severe but there are still some
relevant issues to discuss. Like the previous section the coming section will be build in
the findings of Kopelman and colleagues (Kopelman et al, 2007).
8.7.3 Responding to Positive Emotional Displays
As discussed earlier, positive emotions can have several positive effects on the
negotiation. It can lead to a better relationship between the two parties, more cooperative
tactics and generally more positive negotiation experience for both parties, increasing the
chances of future negotiations between the parties. However positive emotions do not
always have a positive impact on the negotiation. It may therefore be necessary to make a
strategic response to the display of positive emotions in order to reach the best possible
outcome.
There has been made research to suggest that when negotiators with a good relationship
negotiate, the parties may be too concerned with dividing the outcome of the negotiation
equally between them. They may therefore not focus enough on bringing other issues into
the negotiation, which could increase the mutual outcome of the negotiation. (Kopelman,
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2007) Further more if the negotiators are too concerned with maintaining a positive
atmosphere in the negotiation they may concede to early and miss opportunities that may
arise.
Although there are a few caveats to positive emotions in the negotiation, it is still an
advantage to maintain a positive mood in the negotiation. This is especially true for the
integrative negotiation. Kopelman therefore suggest strategic responses to the display of
positive emotions that will maintain the positive atmosphere of the negotiation.
Kopelman comes up with the following suggestions:
(a) reciprocating the positive emotion with the goal of building the relationship,
acknowledging common, communicating trust, and building assurance that a win-win
situation can be found; and (b) accompany this relational reciprocity with diagnostic
questions that ensure the positive emotional display is leveraged towards value creation,
rather than heuristic thinking and avoidance of task-conflict.(Kopelman et al, p.22, 2007)
It would seem reasonable to assume that the ability to accurately express emotion will be
positively related to the negotiators ability to make a good reciprocation of positive
emotion. High EI is therefore likely to be beneficial in the strategic response to display of
positive emotion. It is however uncertain how effective this strategy will be in the
negotiation. First of all it seems that it would mostly be beneficial in the integrative
negotiation as one of the main goals of the strategic response to displayed emotion, is to
build a relationship with the other party. Secondly there has not been empirical research
on how this strategy will effect the negotiation. The suggestions therefore have to be
taken very cautiously.
9. Discussion on findings of the thesis
Some possible ways emotions can be used strategically in the negotiation and how high
EI negotiators are likely to excel in these strategies have been explored. The findings
from this exploration will now be used, to try and come up with some answers on why EI
was found to be positively related to creating value in the integrative negotiation. It was
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also found that the high EI negotiators were unable to claim the value they had created. A
discussion of this finding will also be undertaken.
9.1 Discussion on Creating vs. Claiming Value Paradox
That the negotiators with high EI were able to create more value than the negotiators with
low EI is no surprise, as there are several capabilities of the high EI negotiators that help
them in this process. The first one discussed was that they are good at finding the needs
and objectives of the other party because they are able to understand the other parties
underlying interests. It was also discussed how self-confident negotiators, may be more
confident in cooperating with the other party and taking the new possibilities that may
arrive in the negotiation. A discussion was also made regarding the strategic display of
emotion, where it was found that negotiators with high EI may be good at regulating the
emotions in the negotiation, in the desired way. In the integrative negotiations the desired
emotional state of the negotiators would be if both parties had a positive mood. It was
also found that mood induction was positively related to understanding emotion. The
high EI negotiator will therefore be good at creating positive emotion in the negotiation.
This positive emotion is likely to lead to a better integrative negotiation. Considering all
of these findings it seems most likely that, the reason joint value in the integrative
negotiation was found to be positively related to EI, is a combination of their ability to
understand the other party’s real interest and their ability to induce positive mood in the
negotiation.
It would also have been expected that the negotiator with high EI would be able to claim
more value by the strategically displaying emotions in order to gain concessions from the
other party. This did not occur. The literature review on the topic of gaining concession
by the means of strategically displaying emotions found mixed results. Some found that
the display of positive emotion got concession from the other party, where as there was
also suggestions that the display of negative emotions would get concessions from the
other party. It is most likely that the high EI negotiators would have displayed positive
emotions in the negotiation as it was an integrative negotiation. I make this assumption
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given that the high EI negotiators will be aware of the positive effects of positive
emotions, in the negotiation and on their ability to regulate and express emotion. It could
therefore seem likely that the display of positive emotion did not obtain concessions from
the counterpart in the negotiation. The author of the study on the tension between
claiming and creating also comes with up with other possible explanations. A possible
explanation the authors come up with is that the high EI negotiator may act too
sympathetically towards the low EI negotiators by, being too willing to help them to get
what they want. I would further suggest that the high EI negotiators may spend most of
their time and energy concentrating on the relationship between the two parties. They
may therefore neglect the outcome of the negotiation in terms of instrumental value.
Another theory they come with is that the emotionally intelligent negotiators trust their
negotiation partners too much, therefore giving them too much information, which might
be exploited by the less emotional intelligent negotiator.
From this discussion it can be concluded that many of the abilities of the high negotiators
can facilitate in explaining why they are able to create more joint value than low EI
negotiators, in the integrative negotiation. This is promising for explaining how
individual difference may effect he integrative negotiation as the empirical findings and
theoretical arguments match.
It is however more difficult to explain why high negotiators were unable to claim value,
although several suggestion are made.
The question now arises what implication such findings may have on management. Some
possible implication for management will therefore be discussed.
9.2 Implication for Management
From the exploration made in this thesis it has been found that high EI individuals are
better integrative negotiators than people with lower emotional intelligence. This is
especially true if the relationship with the other party is of importance. This is because
emotional intelligence can be used to build a good relationship with the other party and
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thereby increases the chance of a constructive future business relationship with the other
party.
The emotional intelligence has to be considered among other factors such as cognitive
ability, experience and specialist knowledge, when assessing an individual’s negotiation
ability. This means the individuals with the highest emotional intelligence will not
necessarily be the best negotiators. However all other things being equal, with several
negotiators to choose from, the negotiator with the highest EI should be chosen to
negotiate. In reality all other things will very rarely be equal, but it is worth considering
emotional intelligence along with other abilities when choosing an employee to carry out
a negotiation or when hiring employees that will have to negotiate a lot in their jobs. How
highly emotional intelligence should be valued in the individual, will be dependent on the
content and context of the negotiation they have to carry out. High EI should be valued
most in integrative negotiation there the future relationship with the other party is
important.
If managers choose to test their employees emotional intelligence to find out whom will
be most suited for negotiation purposes, I would suggest that the Salovey and Mayer test
is employed as it is most reliable of the emotional intelligence test available. If this is
done there may be some ethical considerations that have to be made, as some employees
may consider their emotional intelligence as personal information and may therefore not
like to be tested or that their manager is aware of such information about them.
An evaluation of the method used in this thesis will now be made, before the thesis is
concluded.
9.3 Evaluation and Perspective of Findings
There are several limitations to the findings of this paper. The first limitation is that no
empirical investigation has been made. Instead the existing literature regarding emotional
intelligence and emotions in the negotiation has been explored to answer my research
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question. The thesis could have benefited from making an empirical study on the direct
effect of emotional intelligence on the negotiation process, as the current research on this
area is extremely limited. However this is beyond the scope of this thesis, but it could be
interesting for future investigations to empirically investigate how individuals with high
EI negotiates and how successful they are at employing different strategies within the
negotiation. Another limiting factor on the findings of this thesis is that the topic of
strategic use of emotions in the negotiation is still relatively unexplored, so there is still a
limited amount if findings on the topic. It also means that most of the findings that do
exist have not been replicated by other scholars in the field or further critically analyzed
in other ways. The reliability and validity is therefore not as strong as it could have been
if more research had been done on the topic. The same is the case for the emotional
intelligence. It is also a relatively new concept that still needs more validation before it
will become fully accepted as unique form of intelligence, which will significantly
enhance our understanding of the individual’s ability to negotiate.
As mentioned in the delimitation section the thesis is limited to the dyadic negotiation,
within one culture. This is a good starting point for the understanding of how emotional
intelligence can be used tactically in the negotiation but there still many areas that are left
unexplored. The results of this thesis will not be transferable to other forms of social
interaction, as they are contextual related to the negotiation situation.
10.
Conclusion
In the thesis it was found that the validity of emotional intelligence as concept of
importance in predicting performance is still questionable. Having reviewed the literature
it seems that the main reasons for this is the newness of the concept. Emotional
intelligence therefore lacks, thorough testing in a broader context. There is however
enough convincing evidence to suggest that the concept has enough validity and potential
to explain individual differences in negotiation ability and how the abilities can be used
strategically in the negotiation.
It was found that individuals with high emotional intelligence were able to increase the
joint outcome of the integrative negotiation, but were unable to claim this value. The
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investigation that produced these findings was conducted as a one time ‘lab experiment’
involving students. The external validity of the findings may therefore be questionable,
but they do severe as interesting starting point for exploring the effect of emotional
intelligence in the negotiation.
In this theses it was explored how the emotional intelligence may be used strategically in
the negotiation. One of abilities emotionally intelligent people has, is the ability to
understand others. It is argued that this ability can be used strategically in the negotiation.
It is especially important in the integrative negotiation, where it can be used to find the
other party’s real needs and interest. If the real needs and interest of the other party can
be found it is likely to lead to an increase in the joint value of the negotiation and
therefore create a better outcome for both parties.
In recent years researchers have explored how emotions can be used strategically in the
negotiation. This research has been reviewed for its implications on the negotiation, due
to its strong connection to emotional intelligence. It is argued that emotional intelligence
will enhance the negotiators ability to use emotions strategically in the negotiation. This
is because the negotiator is strongly dependent on emotional abilities when using
emotions strategically in the negotiation. One way it is possible to use emotions
strategically in the negotiation is through the strategic display of emotions. To apply such
a strategy requires that the negotiators can regulate their own and the other party’s
emotions, to some extend. It is argued by some scholars that such emotional regulation
will be very difficult not to say impossible. However there is also research to suggest that
emotional control to the degree needed for such strategies is possible. It was found that
the strategic display of positive emotion was especially successful. In the integrative
negotiation it increased cooperation and helped to build a good relationship with other
party. It is therefore likely that the strategic display of positive in the integrative
negotiation will lead to a higher joint outcome of the negotiation and increase the chance
of a future relationship between the two parties.
In the distributive negotiation, there was some evidence that suggest that, the display of
positive emotions lead to larger concessions by the opposition. There was however also
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literature that suggested that negotiator would stand firm against counterpart that
displayed positive emotion and be less likely to make concession.
The display of negative emotions was found mostly to have a negative impact on the
integrative negotiation. It was however dependent on the type of negative emotion
displayed. It was found that the display of appeasement and supplication had opposite
effects in terms of concessions made by the counterpart and the impression they got of
the negotiator making the emotional display.
In regard to the distributive negotiations, there was some disagreement on the effect of
negative display of emotions. Some argued that the display of negative emotions will
cause the opposition to make larger concessions and lower demands. Other findings show
that the counterpart is likely to make smaller and fewer concessions to a negotiator
displaying negative emotions.
It seems that positive emotions were more desirable than negative emotions in the
integrative negotiation. To promote the positive emotions in the integrative negotiation,
negotiators can arguably respond strategically to the display of emotions in the
negotiation. The negotiators ability to this is arguably positively related to the negotiators
emotional intelligence. Several suggested strategies for doing this seem plausible, but
there is lack of empirical evidence to support these suggestions. This makes the validity
of the suggestions questionable and makes it difficult to evaluate how effective the
strategies may be.
To sum up, emotional intelligence was found be to positively related to the individual’s
negotiation ability. It was found to be most important in the integrative negotiation where
it increased both the mutual outcome of the negotiation and improved the relationship
between the two parties. This proposition is made partly because the high EI negotiators
were able to use their emotional abilities in strategies related to strategic display of
emotion and strategic response to displayed emotion.
11.
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