Effects of Friendship in Transactions in an Emerging Market: Empirical Evidence from Brazil

Authors

Wesley Mendes-Da-Silva, Mackenzie Presbyterian University
Thaís Fernanda Salves de Brito, Mackenzie Presbyterian University
Rubens Famá, Pontificial Catholic University
Jonathan T. Liljegren, Brigham Young University - ProvoFollow

Keywords

behavioral finance, social relationships, bargaining behavior

Abstract

This paper considers the inclusion of human behavioral aspects and implications of cognitive psychology and anthropology in decisions relating to the emerging field of behavioral finance. The formulated hypotheses were tested using 400 questionnaires, answered by students enrolled in MBA programs. The principal results suggest that individuals involved in transactions among friends or among strangers assume different behaviors—friends agree about the price attributed to an asset, while strangers show the propensity to bargain.

Original Publication Citation

Effects of Friendship in Transactions in an Emerging Market: Empirical Evidence from Brazil - Mendes-Da-Silva, De Brito, Fama, Liljegren. (assisted with translation) Available at SSRN: http://ssrn.com/abstract=1084249

BYU ScholarsArchive Citation

Mendes-Da-Silva, Wesley; Fernanda Salves de Brito, Thaís; Famá, Rubens; and Liljegren, Jonathan T., "Effects of Friendship in Transactions in an Emerging Market: Empirical Evidence from Brazil" (2008). Faculty Publications. 8519.
https://scholarsarchive.byu.edu/facpub/8519

Document Type

Peer-Reviewed Article

Publication Date

2008

Publisher

The Icfai University Journal of Behavioral Finance

Language

English

College

Marriott School of Business

Department

Accountancy

University Standing at Time of Publication

Associate Professor

Copyright Use Information

https://lib.byu.edu/about/copyright/