How Woman Can Close the Pay Raise Negotiation Gap, and More – Chicago News
Let’s explore some of the most interesting stories that have emerged from Chicago business schools this week.
Are You Willing to Stretch the Truth While Negotiating? – Kellogg Insight
Research trends have found that men are more willing to lower personal ethical standards during negotiations than women when it comes to pay raise negotiation.
However, a new study from Northwestern University Kellogg School of Management‘s Maryam Kouchaki, Assistant Professor of Management and Organizations, finds that there’s a situation that throws a wrench in the works: “when women negotiate on behalf of others.”
Kouchaki and her UC Berkeley co-author Laura Kray write:
“A woman who is negotiating on behalf of someone else will lie at roughly the same rate as her male counterpart. But, if she is negotiating on her own behalf, she is much less likely to deceive. Women in advocacy roles [get] as much done as men.”
You can read more about Kouchaki’s pay raise negotiation research here.
Will EU Migrants Pay Their Fair Share of Taxes? – Chicago Booth News
The Chicago Booth Initiative on Global Markets surveyed its European Economic Experts Panel, which is comprised of “50 economists and top researchers,” about whether recent European migrants are likely to “contribute more in taxes paid than they receive in benefits and public services.”
LSE’s Daniel Sturm writes, “Being younger and typically better educated, their [the migrants’] fiscal contribution tends to be positive as suggested by recent research for the U.K.”
Goethe University Frankfurt’s Jan Pieter Krahnen agrees:
“As [the] employment rate among migrants goes up over time, and much of taxation is indirect anyway, chances are that the statement comes true.”
Director of the European IGM Panel Christian Leuz is less optimistic. “[It is] too early to tell. Labor market outcomes are often worse for [a] long time. Demographics are [a] plus. Much depends on fast integration into [the] labor market.”
You can read more from the panel’s discussion here.
Faculty and Students Team Up with Northern Illinois Food Bank – Quinlan School of Business News
Loyola University Quinlan School of Business’ Urban Social Benefit Incubator teamed up with the Northern Illinois Food Bank to develop a “new system for serving its families” to replace the precarious first-come, first-served process it currently employs.
Quinlan is proposing “an online ordering system that allows for pick-up at strategic locations in the community, such as a grocery store.”
Harry Haney, Associate Director of Quinlan’s Supply and Value Chain Center, who is helping spearhead the initiative, writes:
“It’s important to us to serve nonprofits and social enterprises to help make a difference in the community. Plus, our students are learning the real-world side of business and gaining additional educational exposure.”
You can read more about Loyola’s food bank initiative here.
To Fume Or Not to Fume: Wharton Studies Cite Benefits of Anger in Negotiation
A recent article on effective negotiation and competition tactics in the Wall Street Journal utilized the results of four studies from The Wharton School. Specifically, the article discussed the benefits of getting angry in these situations.
The article cites four Wharton studies that explored the effects of anger on motivation and outcome in negotiation and competition settings. In the negotiation studies, subjects were informed that they would participate in a meeting with another person. Half of the subjects were told the meeting would be a negotiation, and the other half were told they would just be having a conversation. In the competition study, researchers told half of the participants they would be playing a computer game with a teammate, and told the other half that they would be playing a video game against a rival player. Participants in both studies were given the option to watch either a clip of standup comedy or an upsetting harassment scene from the 1985 film Witness.
Subjects who believed they were entering into a competition or negotiation were far more likely to watch the harassment scene, whereas those who were told they were having a conversation or playing a game as a team gravitated toward watching standup. Participants who watched the upsetting video before going into a negotiation or competition (and expected their anger to be a useful tool) performed more effectively.
Multiple studies have shown that negative feelings can be an asset in negotiations—or at least that positive feelings an be an impediment. In her book Sensation: The New Science of Physical Intelligence, psychologist Thalma Lobel suggested making people as physically comfortable as possible before proposing a business deal. An act as simple as serving someone a warm cup of coffee proved to increase their positive feelings toward the other person, and consequently made them a more lax negotiator.
Though it seems anger can be an effective tool, the article cautioned readers that it can also impede the creative process by narrowing thinking. Additionally, getting mad can negatively impact coordination. But ultimately, anger, when harnessed carefully and expertly, can improve chances of victory in competitive settings.
Merage School of Business MBA Earns Praise From The Economist
The UC Irvine’s Merage School of Business received some good news after the school was ranked in latest business school rankings of The Economist. The school placed 39th in the nation, 16th among public schools, and 56th in the world. The Los Angeles metro business school also scored well in categories including 29th in Open New Career Opportunities; 17th in alumnus rating of career services; and 13th in salary increase.
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MIT Sloan Executive Startup on How To Sell Themselves
Brian Eastwood from the MIT Sloan School of Management recently discussed how TechEmergence founder Dan Faggella metabolized important lessons contained within the Negotiation for Executives program to sell his first startup, the e-commerce platform, The Science of Skill.
Columbia Offers Company Expense Advice
Columbia Business School recently published an revealed advice in which Alexander Tuff, President and Partner at Winged Keel Group, explains 13 ways business owners can better manage their expenses.
USC AI Research May Lead To Virtual Negotiators
Over the last few years, Jonathan Gratch, Director of Virtual Humans Research at University of Southern California, has been partnering with USC Marshall School of Business to integrate virtual humans into negotiation. In order to do this, it is necessary to understand humans’ gut-level responses to physical cues.
