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Dare to Ask!




       Negotiating When it Matters

                Emily T. Amanatullah
              Assistant Professor of Management
The University of Texas at Austin, McCombs School of Business
Gender Disparities Still Exist

 Women’s advancement
  14.1% Fortune 500 Corporate Officers
  16.1% Fortune 500 Board seats
  3.6% Fortune 500 CEO’s


 Women’s financial compensation
  Wage gap = 76.6%
  7.6% of Fortune 500 top earners were women
Gender & Negotiations

 Conflicting empirical evidence for the
  effect of gender on negotiations (for
 review, Kray & Thompson, 2005)
   Situational variation is important


 Focus on distributive negotiations
   Women are less competitive than men (Walters,
   Stulmacher, & Meyer, 1998)
   Women agree to worse outcomes than men
   (Stulmacher & Walters, 1999)
Social Constraints

 Traditional gender roles
   Feminine = communality, caring, helpfulness
    (Chapman, 1975; Eagly, 1987; Eagly & Karau, 2002)
   Masculine = independence, self-reliance,
    assertiveness (Moore, 1984; Schein, 2001)

 Gender roles as social norms (Eagly, 1987)
   Descriptive norms – “how women are”
      Perceived average or typical behavior for the gender
      Expectations are anchored on the perceived average
   Injunctive norms – “how women should be”
      Standard for gender-appropriate behavior in a situation
      Violators of standard are socially sanctioned
      Prescriptive & Proscriptive components
Backlash Effect
 Managerial effectiveness (and distributive
  negotiation tactics) strongly associated with
  masculine characteristics
   Independence, Assertiveness, Self-confidence, etc.
   Inconsistency with feminine gender roles
       1: Women assumed to have less leadership
        potential than men
         Likeable but incompetent (Eagly & Karau, 2002)
         Based on descriptive function of gender norms
      2: Women who do demonstrate leadership are
       socially punished for violating gender norms
         Competent but unlikeable (Eagly et al., 1992; Heilman,
          2001, et al., 2004)
         Based on injunctive function of gender norms
Advocacy
 Advocacy Context (Bowles, Babcock & McGinn,
  2005; Wade 2001)
   Self: Negotiating on one’s own behalf
   Other: Negotiating on behalf of another

 Other-advocacy moderates
  (in)congruence of female gender role with
  value claiming negotiation tactics
   Self: Assertive tactics ≠ Female gender role
      Perceived as self-interested and agentic
   Other: Assertive tactics = Female gender role
      Women traditionally other-advocates (Wade, 2001)
      Women more comfortable wielding power for others (Miller,
       1991)
Your Data:
             Comparing Advocacy Contexts
              4
Extremely



             3.8
             3.6
             3.4
             3.2
                                                    Frequency
              3
                                                    Comfort
             2.8                                    Success
             2.6
Not at all




             2.4
             2.2
              2
                   Self-Advocacy   Other-Advocacy
Outline of Studies
 Effect on Outcomes
   Pilot Study – Salary negotiation exercise
 Psychological Mechanisms
   Behavior of Targets
      Study 1 – Conflict resolution style preference
      Study 2 – Concessionary behavior during
       negotiation mediated by fear of backlash
   Behavior of Perceivers
      Study 3 – Social Backlash
      Study 4 – Replication of Backlash
Pilot Study: Method
 56 upper-level managers (80% male)

 Simulated salary negotiation
   Manipulated advocacy in new hire role
     New hire negotiating own salary
     Substitute filling in due to scheduling conflict
   For control, hiring manager always male
   Wide zone of possible agreements from
    $108K to $133K
Pilot Study: Results

                       133
                       131
Salary ($ thousands)



                       129
                       127
                       125
                                                            Male
                       123
                                                            Female
                       121
                       119
                       117
                       115
                       113
                              Self                  Other

                                     Advocacy Context
Outline of Studies
 Effect on Outcomes
   Pilot Study – Salary negotiation exercise
 Psychological Mechanisms
   Behavior of Targets
      Study 1 – Conflict resolution style preference
      Study 2 – Concessionary behavior during
       negotiation mediated by fear of backlash
   Behavior of Perceivers
      Study 3 – Social Backlash
      Study 4 – Replication of Backlash
Study 1: Method
 115 Executive MBAs (74% male)
 Thomas-Kilmann Conflict Mode Instrument
   The innovation
      Focusing the questions on conflicts in which respondents
       were Self- vs. Other-advocacy
   Distributive Index = Competing – Accommodating


 Recent large-sample study found women
  score lower on competing than men at all
  organizational levels (Thomas et al. 2006)
   Does other-advocacy moderate this effect?
Study 1: Results

                     3

                     2
Distributive Index

                     1

                     0
                                               Male
                     -1                        Female

                     -2

                     -3

                     -4
                            Self       Other
                           Advocacy Context
Your Data:
                                           Negotiation Self-Efficacy
                                    75
Confidence in Negotiation Ability



                                    70

                                    65

                                    60

                                    55
                                                                                                Self-Advocacy
                                    50                                                          Other-Advocacy
                                    45

                                    40

                                    35

                                    30
                                         Distributive Self-Efficacy Integrative Self-Efficacy
Study 2: Method
 59 subjects (53% male)
 Computerized negotiation experiment
   Same counterpart for each subject
      Computer-simulated male counterpart
      Hiring manager always same male
   Gender made salient with digital photos
      Presented counterparts with side by side photos
 Dependent variable
   Concessionary behavior
 Mediating variable
   Fear of anticipated backlash
      2-item measure (r = .91)
      “How much do you think you can reasonably ask for without
       causing the hiring manager…
          …to perceive you to be a pushy person?”
          …to punish you for being too demanding?”
      Lower score indicates greater fear of backlash
Study 2: Results
                               Anticipated Backlash
                       52000
Anticipated Backlash


                       50000

                       48000

                       46000                             Male
                       44000                             Female

                       42000

                       40000

                       38000
                                   Self          Other

                                    Advocacy Context
Study 2: Results
                         Concessionary Behavior
                       52000
Round 1 Counteroffer

                       50000

                       48000

                       46000                         Male
                       44000                         Female

                       42000

                       40000

                       38000
                               Self          Other

                                Advocacy Context
Study 2: Results
                          Mediation

                                Anticipated
                                 Backlash
                                                     Backlash only: β = .75***
            β = .45*                                 Combined model: β = .66***



                                                     Counteroffer
 Gender * Role
                        Gender*Role only: β = .45*    (Round 1)
                        Combined model: β = .16


Note: * p < .05; *** p < .001
Study 2: Concessionary Behavior

50000
48000
46000
                                          Male - Self
44000                                     Male - Other
42000                                     Female - Self
                                          Female - Other
40000
38000
36000
           1    2       3       4     5
               Round of Negotiation
Outline of Studies
 Effect on Outcomes
   Pilot Study – Salary negotiation exercise
 Psychological Mechanisms
   Behavior of Targets
      Study 1 – Conflict resolution style preference
      Study 2 – Concessionary behavior during
       negotiation mediated by fear of backlash
   Behavior of Perceivers
      Study 3 – Social Backlash
      Study 4 – Replication of Backlash
Study 3: Method
 52 MBA students
 Salary negotiation exercise
   During class focused on value claiming tactics
   Students encouraged to be aggressive
 No differences in salary across
  gender/role
   But did self-advocating women suffer backlash at
    the cost of financial gain?
 Asked counterparts how
  negative/positive of an impression they
  formed of their partner after the
  negotiation (scale from 1 to 7)
Study 3: Results
                        6
Impression Formed by


                       5.5
     Counterpart


                        5

                                                     Male
                       4.5
                                                     Female
                        4

                       3.5

                        3
                               Self          Other

                                Advocacy Context
Study 4: Method
 226 undergraduate subjects (50% male)

 2 x 2 x 2 Factorial Design
   Gender of Target: Male or Female
   Behavior of Target: Assertive or Non-assertive
   Advocacy Context: Self or Other


 Dependent Variable
   Measured Social Backlash
Study 4: Results

                     5
                    4.8
Social Acceptance



                    4.6
                    4.4
                    4.2
                                                                    Male
                     4
                                                                    Female
                    3.8
                    3.6
                    3.4
                    3.2
                     3

                          Self           Other   Self       Other
                                 Assertive        Non-Assertive
Gendered Attributions
 Double bind: Warmth vs. Competence
   Likable & incompetent OR competent & unlikable
 Greater nuance in injunctive norms
   Prescriptive
      How men/women “should be”
         Men – “Competent”
         Women – “Warm”
   Proscriptive
      How men/women “ought not be”
         Men – “Weak”
         Women – “Dominant”
      Arguably greater sanctions for these violations
Follow-up Study: Attributions
 532 students
 Watched video of a negotiation
    Hiring manager was static
    Manipulated Sex, Behavior, Advocacy of Target
 Measured
    Likelihood to backlash against target
       Social backlash
       Leader backlash
    Gendered attributions
       Prescriptions – positive masc/fem attributes
       Proscriptions – negative masc/fem attributes
(For brevity, results from Female Targets only)
Attribution Study: Results
Negative Masculine Attributions   5.00


                                  4.50
     (Dominant/Arrogant)



                                  4.00


                                  3.50                               Self-Advocate
                                                                     Other-Advocate
                                  3.00


                                  2.50


                                  2.00
                                         Assertive   Non-Assertive
Attribution Study: Results
                                 3.80

                                 3.60
Negative Feminine Attributions



                                 3.40

                                 3.20
        (Weak/Naive)




                                 3.00
                                                                        Self-Advocate
                                 2.80                                   Other-Advocate

                                 2.60

                                 2.40

                                 2.20

                                 2.00
                                            Assertive   Non-Assertive
Negotiating for a group
 Us-advocacy
   What is more salient?
      Self-interested motives – Inconsistency →
       backlash present
      Other-interested motives – Consistency →
       backlash absent
 Can a woman avoid social sanctions
  AND reap financial value IF negotiating
  for a group to which she belongs?
Us-Advocacy:
                   Your Frequency Data - again
              4
Extremely



             3.8
             3.6
             3.4
             3.2
                                                                   Frequency
              3
                                                                   Comfort
             2.8                                                   Success
             2.6
Not at all




             2.4
             2.2
              2
                    Self-Advocacy   Other-Advocacy   Us-Advocacy
Follow-up Studies: Us-Advocacy
 Negotiation vignette
   Financial hardships leaves annual bonuses smaller than
    usual
   Subordinate requests larger bonus
   Manipulated target gender & advocacy (self vs. group)


 Post-vignette questionnaire
   Social backlash: N = 344 (259 MBA + 85 Undergraduate)
      Impression formed about target
   Financial backlash: N = 185 Undergraduate
      Likelihood to increase bonus
      Likelihood to decrease bonus
Results: Social Appraisal
                    3.90


                    3.70
Social Acceptance


                    3.50


                    3.30
                                                           Male
                                                           Female
                    3.10


                    2.90


                    2.70


                    2.50

                             Self-advocacy   Us-advocacy
Results: No Reward Differences
                               3.4
Likelihood to INCREASE Bonus

                               3.2



                                3



                               2.8
                                                                   Male
                                                                   Female
                               2.6



                               2.4



                               2.2



                                2
                                     Self-advocacy   Us-advocacy
Results: Penalty Levied!
                             2.9


                             2.7
Likelihood to REDUCE Bonus




                             2.5


                             2.3
                                                                   Male
                                                                   Female
                             2.1


                             1.9


                             1.7


                             1.5
                                     Self-advocacy   Us-advocacy
Summary of Findings
 Self-advocating women
   Fear social backlash for behaving assertively
      And do incur backlash when behaving assertively!
           Seen as overly dominant/arrogant
           Others less likely to want to interact with them
   Negotiate less assertively
   Agree to monetarily worse outcomes
 Other-advocating women
     Do not fear social backlash for assertiveness
     Negotiate assertively
     Agree to monetarily better outcomes (for others)
     BUT…can incur backlash if not assertive enough!
        Seen as weak/naïve/gullible
        Others do not want them as leaders
Take-aways & Remedies
 Individual-level
   Blaming vs. Empowering the Victim
   Framing of the negotiation
      Reframe self-oriented negotiations as other-
       advocacy
      Or as us-advocacy!
 Organizational-level
   Implementation of compensation systems not
    dependent on employee self-promotion
      Objective criteria
      Peer evaluations
The Female Advantage
 Women tend to take a more co-operative
  approach to negotiations than men.
   Share information.
   Take flexible positions.
   Seek to understand both parties’ goals: Listen!

 Women are more likely than men to act as if
  a negotiation has win/win potential.
   Don’t suffer from the “mythical fixed-pie bias.”
   This is especially good for repeated interactions.

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Dare to Ask: Negotiating When it Matters, Texas Enterprise Speaker Series, March 28, 2012

  • 1. Dare to Ask! Negotiating When it Matters Emily T. Amanatullah Assistant Professor of Management The University of Texas at Austin, McCombs School of Business
  • 2. Gender Disparities Still Exist  Women’s advancement  14.1% Fortune 500 Corporate Officers  16.1% Fortune 500 Board seats  3.6% Fortune 500 CEO’s  Women’s financial compensation  Wage gap = 76.6%  7.6% of Fortune 500 top earners were women
  • 3. Gender & Negotiations  Conflicting empirical evidence for the effect of gender on negotiations (for review, Kray & Thompson, 2005)  Situational variation is important  Focus on distributive negotiations  Women are less competitive than men (Walters, Stulmacher, & Meyer, 1998)  Women agree to worse outcomes than men (Stulmacher & Walters, 1999)
  • 4. Social Constraints  Traditional gender roles  Feminine = communality, caring, helpfulness (Chapman, 1975; Eagly, 1987; Eagly & Karau, 2002)  Masculine = independence, self-reliance, assertiveness (Moore, 1984; Schein, 2001)  Gender roles as social norms (Eagly, 1987)  Descriptive norms – “how women are”  Perceived average or typical behavior for the gender  Expectations are anchored on the perceived average  Injunctive norms – “how women should be”  Standard for gender-appropriate behavior in a situation  Violators of standard are socially sanctioned  Prescriptive & Proscriptive components
  • 5. Backlash Effect  Managerial effectiveness (and distributive negotiation tactics) strongly associated with masculine characteristics  Independence, Assertiveness, Self-confidence, etc.  Inconsistency with feminine gender roles  1: Women assumed to have less leadership potential than men  Likeable but incompetent (Eagly & Karau, 2002)  Based on descriptive function of gender norms  2: Women who do demonstrate leadership are socially punished for violating gender norms  Competent but unlikeable (Eagly et al., 1992; Heilman, 2001, et al., 2004)  Based on injunctive function of gender norms
  • 6. Advocacy  Advocacy Context (Bowles, Babcock & McGinn, 2005; Wade 2001)  Self: Negotiating on one’s own behalf  Other: Negotiating on behalf of another  Other-advocacy moderates (in)congruence of female gender role with value claiming negotiation tactics  Self: Assertive tactics ≠ Female gender role  Perceived as self-interested and agentic  Other: Assertive tactics = Female gender role  Women traditionally other-advocates (Wade, 2001)  Women more comfortable wielding power for others (Miller, 1991)
  • 7. Your Data: Comparing Advocacy Contexts 4 Extremely 3.8 3.6 3.4 3.2 Frequency 3 Comfort 2.8 Success 2.6 Not at all 2.4 2.2 2 Self-Advocacy Other-Advocacy
  • 8. Outline of Studies  Effect on Outcomes  Pilot Study – Salary negotiation exercise  Psychological Mechanisms  Behavior of Targets  Study 1 – Conflict resolution style preference  Study 2 – Concessionary behavior during negotiation mediated by fear of backlash  Behavior of Perceivers  Study 3 – Social Backlash  Study 4 – Replication of Backlash
  • 9. Pilot Study: Method  56 upper-level managers (80% male)  Simulated salary negotiation  Manipulated advocacy in new hire role  New hire negotiating own salary  Substitute filling in due to scheduling conflict  For control, hiring manager always male  Wide zone of possible agreements from $108K to $133K
  • 10. Pilot Study: Results 133 131 Salary ($ thousands) 129 127 125 Male 123 Female 121 119 117 115 113 Self Other Advocacy Context
  • 11. Outline of Studies  Effect on Outcomes  Pilot Study – Salary negotiation exercise  Psychological Mechanisms  Behavior of Targets  Study 1 – Conflict resolution style preference  Study 2 – Concessionary behavior during negotiation mediated by fear of backlash  Behavior of Perceivers  Study 3 – Social Backlash  Study 4 – Replication of Backlash
  • 12. Study 1: Method  115 Executive MBAs (74% male)  Thomas-Kilmann Conflict Mode Instrument  The innovation  Focusing the questions on conflicts in which respondents were Self- vs. Other-advocacy  Distributive Index = Competing – Accommodating  Recent large-sample study found women score lower on competing than men at all organizational levels (Thomas et al. 2006)  Does other-advocacy moderate this effect?
  • 13. Study 1: Results 3 2 Distributive Index 1 0 Male -1 Female -2 -3 -4 Self Other Advocacy Context
  • 14. Your Data: Negotiation Self-Efficacy 75 Confidence in Negotiation Ability 70 65 60 55 Self-Advocacy 50 Other-Advocacy 45 40 35 30 Distributive Self-Efficacy Integrative Self-Efficacy
  • 15. Study 2: Method  59 subjects (53% male)  Computerized negotiation experiment  Same counterpart for each subject  Computer-simulated male counterpart  Hiring manager always same male  Gender made salient with digital photos  Presented counterparts with side by side photos  Dependent variable  Concessionary behavior  Mediating variable  Fear of anticipated backlash  2-item measure (r = .91)  “How much do you think you can reasonably ask for without causing the hiring manager…  …to perceive you to be a pushy person?”  …to punish you for being too demanding?”  Lower score indicates greater fear of backlash
  • 16. Study 2: Results Anticipated Backlash 52000 Anticipated Backlash 50000 48000 46000 Male 44000 Female 42000 40000 38000 Self Other Advocacy Context
  • 17. Study 2: Results Concessionary Behavior 52000 Round 1 Counteroffer 50000 48000 46000 Male 44000 Female 42000 40000 38000 Self Other Advocacy Context
  • 18. Study 2: Results Mediation Anticipated Backlash Backlash only: β = .75*** β = .45* Combined model: β = .66*** Counteroffer Gender * Role Gender*Role only: β = .45* (Round 1) Combined model: β = .16 Note: * p < .05; *** p < .001
  • 19. Study 2: Concessionary Behavior 50000 48000 46000 Male - Self 44000 Male - Other 42000 Female - Self Female - Other 40000 38000 36000 1 2 3 4 5 Round of Negotiation
  • 20. Outline of Studies  Effect on Outcomes  Pilot Study – Salary negotiation exercise  Psychological Mechanisms  Behavior of Targets  Study 1 – Conflict resolution style preference  Study 2 – Concessionary behavior during negotiation mediated by fear of backlash  Behavior of Perceivers  Study 3 – Social Backlash  Study 4 – Replication of Backlash
  • 21. Study 3: Method  52 MBA students  Salary negotiation exercise  During class focused on value claiming tactics  Students encouraged to be aggressive  No differences in salary across gender/role  But did self-advocating women suffer backlash at the cost of financial gain?  Asked counterparts how negative/positive of an impression they formed of their partner after the negotiation (scale from 1 to 7)
  • 22. Study 3: Results 6 Impression Formed by 5.5 Counterpart 5 Male 4.5 Female 4 3.5 3 Self Other Advocacy Context
  • 23. Study 4: Method  226 undergraduate subjects (50% male)  2 x 2 x 2 Factorial Design  Gender of Target: Male or Female  Behavior of Target: Assertive or Non-assertive  Advocacy Context: Self or Other  Dependent Variable  Measured Social Backlash
  • 24. Study 4: Results 5 4.8 Social Acceptance 4.6 4.4 4.2 Male 4 Female 3.8 3.6 3.4 3.2 3 Self Other Self Other Assertive Non-Assertive
  • 25. Gendered Attributions  Double bind: Warmth vs. Competence  Likable & incompetent OR competent & unlikable  Greater nuance in injunctive norms  Prescriptive  How men/women “should be”  Men – “Competent”  Women – “Warm”  Proscriptive  How men/women “ought not be”  Men – “Weak”  Women – “Dominant”  Arguably greater sanctions for these violations
  • 26. Follow-up Study: Attributions  532 students  Watched video of a negotiation  Hiring manager was static  Manipulated Sex, Behavior, Advocacy of Target  Measured  Likelihood to backlash against target  Social backlash  Leader backlash  Gendered attributions  Prescriptions – positive masc/fem attributes  Proscriptions – negative masc/fem attributes (For brevity, results from Female Targets only)
  • 27. Attribution Study: Results Negative Masculine Attributions 5.00 4.50 (Dominant/Arrogant) 4.00 3.50 Self-Advocate Other-Advocate 3.00 2.50 2.00 Assertive Non-Assertive
  • 28. Attribution Study: Results 3.80 3.60 Negative Feminine Attributions 3.40 3.20 (Weak/Naive) 3.00 Self-Advocate 2.80 Other-Advocate 2.60 2.40 2.20 2.00 Assertive Non-Assertive
  • 29. Negotiating for a group  Us-advocacy  What is more salient?  Self-interested motives – Inconsistency → backlash present  Other-interested motives – Consistency → backlash absent  Can a woman avoid social sanctions AND reap financial value IF negotiating for a group to which she belongs?
  • 30. Us-Advocacy: Your Frequency Data - again 4 Extremely 3.8 3.6 3.4 3.2 Frequency 3 Comfort 2.8 Success 2.6 Not at all 2.4 2.2 2 Self-Advocacy Other-Advocacy Us-Advocacy
  • 31. Follow-up Studies: Us-Advocacy  Negotiation vignette  Financial hardships leaves annual bonuses smaller than usual  Subordinate requests larger bonus  Manipulated target gender & advocacy (self vs. group)  Post-vignette questionnaire  Social backlash: N = 344 (259 MBA + 85 Undergraduate)  Impression formed about target  Financial backlash: N = 185 Undergraduate  Likelihood to increase bonus  Likelihood to decrease bonus
  • 32. Results: Social Appraisal 3.90 3.70 Social Acceptance 3.50 3.30 Male Female 3.10 2.90 2.70 2.50 Self-advocacy Us-advocacy
  • 33. Results: No Reward Differences 3.4 Likelihood to INCREASE Bonus 3.2 3 2.8 Male Female 2.6 2.4 2.2 2 Self-advocacy Us-advocacy
  • 34. Results: Penalty Levied! 2.9 2.7 Likelihood to REDUCE Bonus 2.5 2.3 Male Female 2.1 1.9 1.7 1.5 Self-advocacy Us-advocacy
  • 35. Summary of Findings  Self-advocating women  Fear social backlash for behaving assertively  And do incur backlash when behaving assertively!  Seen as overly dominant/arrogant  Others less likely to want to interact with them  Negotiate less assertively  Agree to monetarily worse outcomes  Other-advocating women  Do not fear social backlash for assertiveness  Negotiate assertively  Agree to monetarily better outcomes (for others)  BUT…can incur backlash if not assertive enough!  Seen as weak/naïve/gullible  Others do not want them as leaders
  • 36. Take-aways & Remedies  Individual-level  Blaming vs. Empowering the Victim  Framing of the negotiation  Reframe self-oriented negotiations as other- advocacy  Or as us-advocacy!  Organizational-level  Implementation of compensation systems not dependent on employee self-promotion  Objective criteria  Peer evaluations
  • 37. The Female Advantage  Women tend to take a more co-operative approach to negotiations than men.  Share information.  Take flexible positions.  Seek to understand both parties’ goals: Listen!  Women are more likely than men to act as if a negotiation has win/win potential.  Don’t suffer from the “mythical fixed-pie bias.”  This is especially good for repeated interactions.