The Construction of Reputation in a Negotiation

Carl-Erik Torgersen
University of Innsbruck – Faculty of Social and Economic Sciences

Cheryl Rivers
Queensland University of Technology – School of International Business

June 1, 2005

IACM 18th Annual Conference

Abstract:

Although reputation is claimed to be a potential source of power in a negotiation, it is one of the most under researched aspects of the bargaining process. This paper extends current understanding of reputation in negotiation by presenting a model that explains the construction process of reputation in the negotiation context. We review extant research before presenting our model of reputation. The model shows the influence of both the actions of the negotiator before and during the negotiation to create a reputation that is formed by the perceptions of the other party and potentially transmitted to a network. A discussion of future research is presented.

The Construction of Reputation in a Negotiation

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