The Effect of Screen Size and E-Communication Richness on Negotiation Performance

Abstract

Using an empirical study, this paper investigated how each screen size and different presentation modes (video or text-only) can trigger meaningful differences when interacting with a partner in a negotiation. In a simulated multi-issue negotiation between a buyer and a seller, participants were instructed to communicate through either a large (laptop) or small (mobile phone) screen in either a video conversation or a text-based communication. The findings revealed that (a) negotiators communicating through a large screen performed better than negotiators interacting via small screen; (b) negotiators communicating through video conversation performed better than negotiators interacting via text-based communication; (c) negotiators communicating through video conversation formed higher levels of trust and satisfaction than negotiators interacting via text-based communication; and (d) negotiators communicating through video conversations over large screens achieved the highest joint outcome. Implications for the use of technology during negotiations is discussed, with attention given to the need to preserve more naturalistic cues through larger screens and the use of video conversations for best effect.