How do you get a dog to respect you?

[Wiffles]

Ok, so we live in a house where you have to pass through an alley to get to the house. The neighbor keeps his dog leashed where it can kinda just lunge at you, but not quite. Ive had some close calls with that dog when i was walking too close to their boundary. Its a smallish-medium sized dog, slim build. No particular breed. Really fierce, thinks its owns the block. When i pass by, it snarls and growls at me angrily. Sometimes lunges at me, but leash prevents it. Neighbor isnt very fond of it as never brings it indoors.

Its not a particularly intimidating dog, but it has an attitude problem. Ive tried giving it food so i can be on its good side. It angrily eats the food and keeps snarling at me once it finishes the food. So much for trying to appeal to its inner gratitude. Thing is I want to know how I can get its respect. Should I offer it more tasty treats or utterly destroying its self esteem with pepper spray or a whack with an umbrella the next time it lunges. What do you guys think x_x