Skip to main content
Disciplines
Automotive Business IT + Informatics Construction + Real Estate Electrical Engineering + Electronics Energy + Sustainability Insurance + Risk Finance + Banking Management + Leadership Marketing + Sales Mechanical Engineering + Materials
Events
DE
EN
Books
Journals
Topic Page
Marketing
Start single access now
Access for companies
EXTENDED SEARCH
Log in
Top
Published in:
Evolutionary Psychology and Information Systems Theorizing Read chapter Read first chapter

2010 | OriginalPaper | Chapter

11. The Interaction of Communication Medium and Management Control Systems in the Processes and Outcomes of Transfer Price Negotiations

Authors : Penelope Sue Greenberg, Ralph H. Greenberg, Sakthi Mahenthiran

Published in: Evolutionary Psychology and Information Systems Research

Publisher: Springer US

Log in

Activate our intelligent search to find suitable subject content or patents.

search-config
loading …

Abstract

Because organizations rely heavily on computer-mediated communication (CMC), it is important to understand the impact of interactions between CMC and the management control system on decision-making behavior and on organizational performance. Management control systems are composed of techniques used by managers to motivate employees to achieve the organization’s strategic goals. Because CMC has been shown to impact behavior, CMC has the potential to either support or subvert the goals of the organization. This chapter shows, through the results of two laboratory experiments, that negotiating behavior using CMC leads to lower profits in a transfer pricing scenario. More importantly, this chapter then demonstrates that if organizations are aware of these consequences and design their management control systems using a fundamental concept from evolutionary psychology theory, they can mitigate some of the negative consequences.

Dont have a licence yet? Then find out more about our products and how to get one now:

Springer Professional "Wirtschaft+Technik"

Online-Abonnement

Mit Springer Professional "Wirtschaft+Technik" erhalten Sie Zugriff auf:

  • über 102.000 Bücher
  • über 537 Zeitschriften

aus folgenden Fachgebieten:

  • Automobil + Motoren
  • Bauwesen + Immobilien
  • Business IT + Informatik
  • Elektrotechnik + Elektronik
  • Energie + Nachhaltigkeit
  • Finance + Banking
  • Management + Führung
  • Marketing + Vertrieb
  • Maschinenbau + Werkstoffe
  • Versicherung + Risiko

Jetzt Wissensvorsprung sichern!

inform now

Springer Professional "Technik"

Online-Abonnement

Mit Springer Professional "Technik" erhalten Sie Zugriff auf:

  • über 67.000 Bücher
  • über 390 Zeitschriften

aus folgenden Fachgebieten:

  • Automobil + Motoren
  • Bauwesen + Immobilien
  • Business IT + Informatik
  • Elektrotechnik + Elektronik
  • Energie + Nachhaltigkeit
  • Maschinenbau + Werkstoffe




 

Jetzt Wissensvorsprung sichern!

inform now

Springer Professional "Wirtschaft"

Online-Abonnement

Mit Springer Professional "Wirtschaft" erhalten Sie Zugriff auf:

  • über 67.000 Bücher
  • über 340 Zeitschriften

aus folgenden Fachgebieten:

  • Bauwesen + Immobilien
  • Business IT + Informatik
  • Finance + Banking
  • Management + Führung
  • Marketing + Vertrieb
  • Versicherung + Risiko




Jetzt Wissensvorsprung sichern!

inform now
previous chapter Using Evolutionary Psychology to Extend Our Understanding of Fit and Human Drives in Information Systems (IS) Utilization Decisions and Performance
next chapter A Research Model for Online Social Behavior Based on an Evolutionary, Social Psychological, and Technological Approach
Literature
Ackelsberg R, Yukl G (1979) Negotiated transfer pricing and conflict resolution in organizations. Decis Sci 10(July):387–398CrossRef
Arunachalam V, Dilla W (1994) Computer-mediated communication and structured interaction in transfer pricing negotiation. J Inf Syst 6(2):149–170
Baltes BB, Dickson MW, Sherman MP, Bauer CC, LaGanke JS (2002) Computer-mediated communication and group decision making: a meta-analysis. Organ Behav Hum Decis Process 87(1):156–179CrossRef
Barkhi R, Jacob VS, Pirkul H (2004) The influence of communication mode and incentive structure on GDSS process and outcomes. Decis Support Syst 37:287–305CrossRef
Carnevale PDJ, Isen AM (1986) The influence of positive affect and visual access on the discovery of integrative solutions in bilateral negotiation. Organ Behav Hum Decis Process 37:1–13CrossRef
Chalos P, Haka S (1990) Transfer pricing under bilateral bargaining. Account Rev 65:624–641
Daly BA (1993) The influence of face-to-face versus computer-mediated communication channels on collective induction. Account Manag Inf Technol 3(1):1–22CrossRef
DeJong DV, Forsythe R, Kim J-O, Uecker WC (1989) A laboratory investigation of alternative transfer pricing mechanisms, accounting. Organ Soc 14:41–64CrossRef
Ferrin DL, Dirks KT (2003) The use of rewards to increase and decrease trust: mediating processes and differential effects. Organ Sci 14(1):18–31CrossRef
Fjermestad J (2004) An analysis of communication mode in group support systems research. Decis Support Syst 37:239–263CrossRef
Fjermestad J, Hiltz SR (1998/1999) An assessment of group support systems experimental research: methodology and results. J Manag Inf Syst 15(3):7–149
Grabski SV (1985) Transfer pricing in complex organizations: a review and integration of recent empirical and analytical research. J Account Lit 4:33–75
Greenberg RH, Greenberg PS, Mahenthiran S (2008/2009) Virtual transfer price negotiations: unintended interactions with incentive systems. J Comput Inf Syst 49(2):18–25
Hirshleifer J (1956) On the economics of transfer pricing. J Bus 29:172–184CrossRef
Huang W, Zhang PZ (2004) An empirical investigation of the effects of GSS and group process on group outcome in small group decision-makings. J Comput Inf Syst 45(1):23–29
Kock N (2004) The psychobiological model: towards a new theory of computer-mediated communication based on Darwinian evolution. Organ Sci 15(3):327–348CrossRef
Kock N (2005) Media richness or media naturalness? The evolution of our biological communication apparatus and its influence on our behavior towards e-communication Tools. IEEE Trans Prof Commun 48(2):117–130CrossRef
Kock N (2009) Information systems theorizing based on evolutionary psychology: an interdisciplinary review and theory integration framework. MIS Q 33(2):395–418
Mahenthiran S, Greenberg PS Greenberg RH (1993) The impact of computer-mediated communication on the processes and outcomes of negotiated transfer pricing. Account Manag Inf Technol 3(4):229–248CrossRef
Ravenscroft S, Haka S (1996) Incentive plans and opportunities for information sharing. Behav Res Account 8:114–121
Ronen J, McKinney G (1970) Transfer pricing for divisional autonomy. J Account Res 8:99–112CrossRef
Solomons D (1965) Divisional performance: measurement and control. Richard D. Irwin, Inc., Homewood
Spicer BH (1988) Towards an organizational theory of the transfer pricing process. Account Organ Soc 13:303–322CrossRef
Stuhlmacher AF, Citera M (2005) Hostile behavior and profit in virtual negotiation: a meta-analysis. J Bus Psychol 20(1):69–93CrossRef
Tripp TM, Sondak H (1992) An evaluation of dependent variables in experimental negotiation studies: impasse rates and Pareto efficiency. Organ Behav Hum Decis Process 51:273–295CrossRef
Watson DJH, Baumler JV (1975) Transfer pricing: a behavioral context. Account Rev 50:466–474
Metadata
Title
The Interaction of Communication Medium and Management Control Systems in the Processes and Outcomes of Transfer Price Negotiations
Authors
Penelope Sue Greenberg
Ralph H. Greenberg
Sakthi Mahenthiran
Copyright Year
2010
Publisher
Springer US
Book
Evolutionary Psychology and Information Systems Research

Print ISBN: 978-1-4419-6138-9

Electronic ISBN: 978-1-4419-6139-6

Copyright Year: 2010

DOI
https://doi.org/10.1007/978-1-4419-6139-6_11