Does contingent reward reduce negotiation anchoring?

Abstract

This article examines the role of contingent reward in reducing negotiation anchoring. A case study approach was adopted in the investigation undertaken. Five residencies were offered for sale and university students were assigned the task of negotiating the sales price of one of the houses. The results showed that where no asking price was given the settlement price was consistently lower than for those of incongruously high asking price. It is felt that these results are less biased than previous studies as a system of rewards was offered as the study was a step towards a real life setting.

Citation

Diaz, J., Zhao, R. and Black, R. (1999), "Does contingent reward reduce negotiation anchoring?", Journal of Property Investment & Finance, Vol. 17 No. 4, pp. 374-379. https://doi.org/10.1108/14635789910271764