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As a matter of fact this is incorrect. There is a ton of research to suggest that whoever makes the first step and proposes and initial scenario, comes out with
by deyan 17y ago
As a matter of fact this is incorrect. There is a ton of research to suggest that whoever makes the first step and proposes and initial scenario, comes out with a better outcome. That is because the first number thrown out frames the discussion. Of course, it doesn't have to be a number, it could be a negotiation for something else, but the rule and research apply just as well.
- patio11 17y agoThere is some research by behavioral economists about price anchoring. Like most research in behavioral economics, it is very useful at predicting the behavior of college students in novel circumstances. Many of the rest of us will have considered our likely market value prior to arriving at the salary negotiation, perhaps via extensive research or receiving competing offers, and thus not be unduly influenced by the first number we hear. ("$20,000? Holy cow! That's more money than I've ever had in my whole life! I'll take it!" -- not what I said in response to what my professor thought I would consider a very tempting offer.)