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Causal attribution for interfirm contract violation: a comparative study of Chinese and American commercial
Ray Friedman1, Wu Liu, Chao C Chen
1Owen Graduate School of Management, Vanderbilt University, Nashville, TN 37203, USA. ray.friedman@vanderbilt.edu
Abstract:
In this study, the authors examined differences between Chinese and American commercial arbitrators. They predicted and found that Chinese arbitrators make higher awards for interfirm contract violations than Americans. This difference is partially explained by differences in attributions. Prior theory suggests, and the authors found, that the Chinese tend to have more internal attributions for events when observing group actions. When evidence provided to arbitrators is mixed (evidence is provided for both internal and external attributions), Chinese-American differences in awards become even stronger.
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