What are the positive and negative implications for electronic negotiation? Does information technology

help or hinder the ability of negotiators to "expand the pie" of resources in a negotiation?

What will be an ideal response?

The likelihood of reaching a mutually profitable outcome (and avoiding impasse) is a function of the richness of the
communication. Thus, negotiators who communicate face -to-face are more likely to reach deals and avoid impasse
than are e -negotiators. The biggest threat to effective negotiation in non-face -to-face settings is the loss of rapport
and the tendency for people to be less conscious of social norms. Negotiators who communicate electronically
report less desire for future relationships with the counterparty, less confidence in their performance, and less
overall satisfaction. If a negotiator has a strong bargaining position, face -to-face interaction is ideal; if a negotiator
has a weak bargaining position, impoverished media can provide an important buffer. Regarding "expanding the
pie," there are mixed results, with some investigations finding that face -to-face negotiation results in better joint
profits; other studies indicate that there are no differences.