Linguistic Multi-criteria Negotiation Support: A Novel Approach for Evaluating Negotiation Offers

This paper presents a novel framework for negotiation support using linguistic information. It employs the Linguistic Ideal-Based Method (LIBM) to evaluate and rank negotiation offers, linking linguistic terms to a numerical scale and using the Generalized Distance Measure (GDM2) to process ordinal data. By incorporating an ideal linguistic value, LIBM prevents rank reversal when offers are added or removed. Unlike conventional numerical approaches, which may distort subjective preferences, or fuzzy-based methods, which are cognitively demanding, LIBM reduces cognitive burden. It also aligns with users’ linguistic reasoning, making it accessible to negotiators with limited numerical skills. LIBM was compared with the Direct Rating (DR) method, highlighting its strengths and limitations. It was also analyzed alongside alternative linguistic approaches, including Measuring Attractiveness near Reference Situations (MARS) and fuzzy methods, demonstrating advantages in cognitive ease and practical usefulness. LIBM underpins the Linguistic Multi-Criteria Negotiation Support (LMNS) model, using a structured, multi-phase approach to enable transparent evaluation and decision guidance. An illustrative example shows LMNS’s effectiveness in simplifying evaluation, reducing cognitive effort, and ensuring practical relevance across negotiation contexts. These features position LMNS as a cognitively grounded, user-friendly tool that supports both symmetric and asymmetric scenarios, providing a robust alternative to numerical and fuzzy approaches.