E-negotiation versus face-to-face negotiation what has changed – if anything?

Abstract

The focus of the present study is the relatively new and still controversial electronically mediated negotiation (hence denoted e-negotiation) as compared to the good old face-to-face negotiations. The main research question is the impact that the type of negotiation media (face-to-face versus e-negotiation) has on the features of the negotiation process (duration and tactics) and on its outcomes. It also examines the moderation effects of the sequence of the negotiation media, i.e., face-to-face negotiation, when carried out prior to, or after e-negotiation. For this purpose, 80 young students were exposed to the two types of negotiations, whilst various intervening variables were controlled by randomization. It was found that the negotiation media, as well as the negotiation sequence, barely affects the negotiation outcomes. Face-to-face negotiation was not different than e-negotiation, in terms of the final price, the number of installments for the balance and the sum of the advanced payment. However, both the negotiation media and the negotiation sequence significantly affected the main features of the negotiation process, in terms of time duration and the use of hard or soft tactics. These results are discussed and interpreted in terms of existing theories.