Chapter 11: Negotiation in Virtual Organizations

Our purpose in writing this chapter is to explore the nature of negotiation in virtual organizations. Specifically, we present, several guiding principles that facilitate an understanding of some of the unique ways that the nature of virtual organizations can shape or modify negotiation processes and outcomes. First, we describe several elements of the negotiation process that are fundamental to any negotiation situation. Second, we review key principles of traditional negotiation, including context, negotiating dynamics, communications, and individual differences. We then discuss these principles from the standpoint of virtual negotiations. Finally, we conclude by making some prescriptive statements about how one might negotiate more effectively in a virtual environment.