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In negotiating , is a more precise opening offer always better ? It might be — but it look on the experience level of the person with whom you ’re negotiating , a late study from Germany found .
In the study , researchers showed that increase the preciseness of an initiative offer improved a person’snegotiationswith amateur , but could in reality backfire on negotiations with experts .
In most situations , precision can mold social perceptions during a negotiation , advise more assurance and competency , the researchers wrote in theirstudy , which was put out in October in the daybook Psychological Science . People lean to assume that those they ’re communicating with supply precisely the correct amount of information needed — not any more , and not any less , the research worker said . Thus , people may intuitively finger that a more exact offer reflects more cognition about the value of what is being corrupt or sell , the investigators said . [ 7 Ways to Reduce Job Stress ]
However , too much precision can anguish with experts , because they may take over that the overly accurate issue think over a lack of competence , the discipline found .
To search the effect of precision on negotiating , the researchers direct five experiments that included 1,320 experts and amateurs in real estate , jewelry , car andhuman - resourcesnegotiations .
For example , in one of the experiments , the researchers provided 230 amateurs and 223 real estate agents ( the experts ) in Germany with a detailed existent - estate listing that included scene , floor plans and other relevant entropy . The field of study player were then given an gap offer with varying degree of precision , cast from 979,000 euros or 981,000 euro in the least - exact condition up to 978,781.63 euro or 981,218.37 euros in the most - precise precondition .
When enquire to make a counteroffer and land thehighest pricethey were uncoerced to bear for the house , amateurs were almost always willing to give more when the offer was more precise . In other words , they made higher counteroffers and were unforced to pay more for the house as precision increase .
expert , however , react differently . While increased preciseness in an offer help in negotiations up to a point , researchers see a " U shape " in experts ' willingness to pay and in the amount of their counteroffers . If the offer became tooprecise , then this precision turn into a disadvantage , lowering the experts ' panorama of the note value of the habitation and thecompetence of the personwith whom they were negotiating .
Real-world implications
The finding evoke that negotiators analyze their vis-a-vis ’s expertness before making a precise offer , articulate lead - study generator David Loschelder , an assistant professor of economic psychological science at Leuphana University Lüneburg in Germany .
" Moderate precision is always dependable and very likely efficacious , " Loschelder told Live Science .
The study did have limitation , however .
For example , the proceedings in the field of study were not real ; rather , they were conducted in a science lab setting , Loschelder note . masses might have said they were willing to give X amount , but in world , the number might be dissimilar , he said .
Despite such limit , Michael Wheeler , a professor of direction pattern at Harvard Business School , who was not call for in the study , said that he was " pretty well - persuaded that if the authors can get these effects here , they are applicable to the real public . "
The powerfulness of the sketch come from its very dissimilar findings for the effects of precision on expert versus on amateurs , say Wheeler , who is also involved with Harvard Business School ’s on-line learning initiative , HBX .
" That may be very subversive in footing ofnegotiation inquiry , " bicycler differentiate Live Science , noting that most research on negotiation is performed in labs using amateur , or participants with fiddling dialogue experience . The late study could raise a " yellow caution flag " when examine other inquiry done with subjects who were entirely inexperienced negotiators , he added .
The study has hard-nosed , existent - human beings implications as well .
" One takeaway is avoid being too cagey by half , " cyclist say . " If you reckon a accurate telephone number is going to be valuable , do n’t overdo it , in particular if you ’re dealing with somebody who is have in that special industry or realm . "
Originally print onLive scientific discipline .
