Perception, Cognition, and Emotion

Question 1

what are the psychological programming that creates and destroys value?

Answer 1

1. cognitive bias
2. framing
3. perceptual error

Question 2

how does the perceptual error occur?

Answer 2

the shortcut process our brain takes when processing information

Question 3

What are the four perceptual errors?

Answer 3

1. Stereotyping: allocate attributes solely to a person based on their association with a group
2. Halo effect: generalizes everything about a person based on a few attributes
3. selective perception: singles out information that support their prior belief
4. projection: the need to protect one’s self concept and assign characteristics that they have within themselves

Question 4

What is framing?

Answer 4

framing is a mental schema that allows individuals to interpret and respond to the given information. how do we construct the social world around us

Question 5

what are the types of framing?

Answer 5

outcome frame: chasing a specific outcome = distributive
aspiration frame: satisfy broader needs = integrative
process frame = procedural emphasis
identity frame: social group identity (religion, ethnicity, etc.)

Question 6

what are the four factors that affect framing negotiation?

Answer 6

1. stock issues: issues raised every time we negotiate (restructure this)
2. making the best possible case: modify the argument
3. shift and transitions: structured formula
4. making agenda items

Question 7

Cognitive biases define

Answer 7

making systematic errors when processing information. collective errors = cognitive bias

Question 8

what is the sunk cost fallacy?

Answer 8

continuation of irrational decision-making simply because you have already invested time and money in to the negotiation

highly related to loss aversion

Question 9

what is an irrational escalation of commitment

Answer 9

occurs due to cognitive effort and social commitment –> unwillingness to admit mistakes which then results in the sunk cost fallacy

Question 10

Mythical fixed-pie beliefs define

Answer 10

the tendency to assume that there is always a fixed pie that needs to be claimed

Question 11

availability of information define

Answer 11

when information is presented in an attention-getting way it becomes easier to recall

charts, graphs

We also heavily rely on information that is most recent to us

Question 12

Overconfidence bias

Answer 12

the tendency to negotiators to belief their ability to be correct is greater than the actually is

the weaker the ability the more likely they will overestimate themselves

Question 13

The law of numbers of N=1

Answer 13

the tendency of people to draw conclusions from a small sample size

Smaller the sample size = greater the effect

Question 14

Winner’s curse

Answer 14

the tendency of negotiators to feel dissatisfied after the negotiation if the win came too easy

Question 15

endowment effect

Answer 15

the tendency to overvalue something if you own it

higher the ownership = the greater the evaluation

Question 16

Reactive de-evaluation

Answer 16

to dismiss someone’s concession simply because you do not like the or they are in the opposite

reduces willingness to respond

Question 17

what are the different types of emotions people go through?

Answer 17

affect = long-term broad range of emotions
affective traits: relative stability in feeling emotions. positive affectivity is linked to performance and extraversion

emotions: short-term feelings directed at something or someone

mood: long-term feelings without a specific cause or contextual stimulus