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This study examined how framing and compensation structure affect negotiated transfer prices between divisions. The researchers manipulated framing by asking one group to consider profits earned from transfers and another group profits foregone. They also varied compensation structure as either highly dependent or less dependent on division profits. They found that (1) sellers negotiated higher prices when goals were framed as profits foregone rather than earned, and when compensation was highly dependent o

Author

Ikke Agustin

Language

EN