'But I Thought We Were All on the Same Page' - Homogeneity Perceptions and Egocentric Bias in Negotiation Teams and Their Consequences for Intrateam Information Elaboration and Interteam Integrative Bargaining

Abstract

A frequent problem in negotiation teams is that members insufficiently elaborate and integrate different interests within the team. Building on theory and findings of diversity research, the present research proposes that perceived homogeneity within negotiation teams can explain their problem with interest elaboration and integration. Illuminating the path from perceived homogeneity to reduced information elaboration, the current research assumes homogeneity perceptions to induce a similarity mindset. This sensitivity to similarities increases individuals’ egocentric bias and thus their projection of own mental contents to other individuals. Therefore negotiation team members with homogeneity perceptions should assume their team colleagues to share their own interests and thus consider information exchange about team members’ interests as being less important. The resulting low information elaboration is expected to impair outcome quality in a subsequent representative negotiation as single team members cannot represent their whole team’s interests appropriately. Three studies provide first evidence for these predictions.