An Investigation of Gender Related Differences in Negotiations

By Fattaneh Cauley

Abstract

The last decade has seen unprecedented increases in educational and professional opportunities for woman. At many universities, enrollment of woman has surpassed that of men. Given the large number of highly educated women who will be entering the labor force, the 21st Century is likely to be associated with increased feminization of both management and labor.

If, as it is often asserted, women are more collaborative and less confrontational than men, then increased participation of women in management and labor can have important implications for the process and outcome of business negotiations. Gender based differences in process and outcome of negotiations, to a large extent, has been ignored as a factor in economic experiments. This study rigorously investigates the relationship between gender and the process and outcome of a negotiation. Specifically, we investigate in a controlled bargaining experiment (i.e., an ultimatum game with power) if there are gender related differences in:

    1. The use of power
    2. The likelihood of disagreement and
    3. The allocation of the surplus.

Co-author James Dworkin