Want To Make More Money in 2011? One Way Is…

Everyone I know wants to earn more money this year. Do you? In fact that is not something new for this year only is it? If the answer is yes we may have a way for you to start earning more.

We all know the easiest way to earn more is to sell more. But sometimes that is not an opton, there are sales jobs with capped commissions, there are times that you may have old customers leave, die, or move…things out of your control. There is something you can do to still make more. Temple University and George Mason have uncovered the most effective way to negotiate a higher salary.

Michelle Marks at Mason and Crystal Harold at Temple University were the authors of the study which will be published in the Journal of Organizational Behavior.

A sample of newly hired employees in various industry settings participated in the study, which showed that those who chose to negotiate increased their starting salaries by an average of $5,000.

“In today’s economic climate, raising your annual salary is highly uncertain,” Marks says. “However, our study results highlight the significance of effective salary negotiation and why it’s important to be upfront with the issues, enabling both parties to consider creative ways to find win-win solutions.”

There were 5 different negoiating strategies that were used.   They were

1.accommodating

2. avoiding

3. collaborating

4. competing 

5. compromising

The people who negotiated using the collaborating and competing strategies —openly discussing issues and perspectives — had the best results. In contrast, those who used the avoiding, accommodating and compromising approaches were less successful in negotiating higher salaries.

Marks warns. “While more aggressive negotiation strategies succeeded in raising one’s starting salaries, people who used them felt less satisfied with their outcome than did those who used more collaborative approaches,” Marks says. “Those who were overly accommodating ended up feeling the least satisfied and that the process was unfair.”

The last thing that the study found…..

The study found that men and women were equally likely to negotiate, but that women were less effective at raising their salaries when compared to men. They were no more inclined to use a particular strategy than men. “We were surprised to find no differences with respect to how men and women negotiated,” Harold says

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