Sabrina Marx Latent Negotiations in Business-to-Business Relationships

About this book

The growing volatility of B2B markets, increasing regulatory complexity, and shifting power dynamics have made negotiations more complex and conflict-ridden than ever. While formal negotiation processes have been steadily professionalized, much of negotiation success is shaped long before the parties meet at the table.

Studies indicate that up to 80% of outcomes depend on what happens in advance—through informal exchanges, relationship building, or early agenda setting. Despite this, such off-table interactions have received little systematic attention in business contexts, even though they have long been established as tactical tools in politics and diplomacy.

This dissertation addresses this gap by introducing latent negotiations—informal interaction episodes in which negotiation-relevant issues are addressed without being framed as formal negotiations. They are used to gather information, build relationships, shape agendas, and secure preliminary agreements, thereby creating favorable conditions before official talks begin. It also identifies decisive contextual elements such as timing, communication channels, and the choice of negotiation partners. Furthermore, it highlights striking cultural differences: whereas Western and Latin American negotiators use the pre-negotiation phase primarily to build trust, negotiators from East Asia and the Middle East/South Asia adopt more strategic approaches aimed at influencing outcomes early on.

By integrating ethical evaluations, cognitive mechanisms, and cross-cultural perspectives, this dissertation develops a comprehensive framework for latent negotiations. It not only introduces a new conceptual lens on informal exchange processes but also provides practical guidance for business negotiators seeking to navigate increasingly complex, high-stakes environments with greater effectiveness.