How Personality Traits Influence Negotiation Outcomes? A Simulation based on Large Language Models

TL;DR

This paper presents a simulation framework using Large Language Models with synthesized personality traits to study how different personalities influence negotiation outcomes, providing insights into behavioral patterns and strategic impacts.

Contribution

It introduces a novel simulation methodology combining linguistic and economic capabilities of LLM agents and offers empirical analysis of Big-Five personality traits in negotiations.

Findings

LLM agents replicate human negotiation behaviors

Personality traits significantly affect negotiation outcomes

Case study reveals behaviors like deceit and compromise

Abstract

Psychological evidence reveals the influence of personality traits on decision-making. For instance, agreeableness is generally associated with positive outcomes in negotiations, whereas neuroticism is often linked to less favorable outcomes. This paper introduces a simulation framework centered on Large Language Model (LLM) agents endowed with synthesized personality traits. The agents negotiate within bargaining domains and possess customizable personalities and objectives. The experimental results show that the behavioral tendencies of LLM-based simulations could reproduce behavioral patterns observed in human negotiations. The contribution is twofold. First, we propose a simulation methodology that investigates the alignment between the linguistic and economic capabilities of LLM agents. Secondly, we offer empirical insights into the strategic impact of Big-Five personality traits on the outcomes of bilateral negotiations. We also provide a case study based on synthesized bargaining dialogues to reveal intriguing behaviors, including deceitful and compromising behaviors.