Ethics Defined… Ethics Morals Prudent Practical Legal Social standards for what is right/wrong Morals Individual beliefs for what is right/wrong Prudent Efficacy of tactic on outcome and relationship Practical What can happen Legal

Types of Ethical Standards End-result Duty- bound Social contract Personal-istic

Type of Ethics Rightness is defined by… Basis of actions End Results -effect/consequences it has -utility of ends --Actions are aimed to promote (collective) happiness, --Actions that promote more happiness are more right Duty -obligations to apply universal standards in all situations -intentions of actor rather than effects --Actions that promote virtue rather than pleasure --behaviour should be based on principles/rules Social Contract --Customs or norms of a community --Community defines morality which defines right & wrong --Duty binds individual to community --What is best for community is ultimate standard Personal-isitc One’s conscience -stand up for what one believes -no absolute formulas for living

Ethics in Negotiation Truth telling tactics When to tell the truth, how much of the truth to tell? Communication vs action What is truth? Based on social contract vs. personal conscience How are deviations from truth decided Examples of tactics Bluffing, exaggeration, concealing/manipulating info Negotiation involves depending on each other for information Priorities, interests, preferences

Categories of Ethically Ambiguous Tactics Questionnaire Category Example √ Competitive Bargaining Not disclosing BATNA Inflated opening offer √ Emotional Manipulation Fake emotions like anger, fear, disappointment, elation, satisfaction ** Misrepresenting/Deception Distorting information/events when describing to others Misrepresenting opponent’s network Corrupting opponent’s reputation with peers Inappropriate Information gathering Bribery, inflation, spying Bluffing Insincere threats/promises

Misrepresenting Interests/Deception On common value items where both parties seek the same outcome Omission--fail to disclose info benefitting others Commission – lying about common value issue Later make concession Omission > Comission

Tolerance for Ethically Ambiguous Tactics Predicts intention to use Predicts actual use Frequency of use Hiding bottom line > exaggerating opening offer> stalling for time, misrepresenting information > making empty promises Hiding bottom line improved negotiator performance All others did not predict performance

Why use deception Power (leverage) of having information View of negotiation as exchanging accurate & truthful information / facts / arguments – and whoever has the better argument etc wins Deceptive tactics used when other side is uninformed and when stakes are high Maximize own outcome (competitive) Perceive other’s motive as being competitive Cultural predisposition to focus on own outcome

Individual Differences Demographic Personality Moral Development Stage Intentions & Motives to Use Deception Use of Deception Context Past Experience Incentives Relationship to Opponent Relative Power b/w Negotiators Mode of communication Agent status Group & Org Norms Cultural Norms Consequences Effectiveness of Tactic Self Evaluation Feedback from Other Party, Constituency & Audience

How to detect deception? Intimidate the other to tell the truth Portray futility of deceptive tactic Help other reduce discomfort for deceiving Lie to suggest you have uncovered deception Encourage other to share information Minimize the importance of consequences of deception Point out contradictions and ask for explanations Alter information dramatically so that other can correct you

How to detect deception? (cont’d) Try to get other to admit to a small lie and push for admitting to larger lie Reveal dishonesty on your part Point out behaviors that suggest other party is deceiving Indicate concern for other party’s welfare Appeal to other’s desire for a good reputation Directly ask other to tell the truth Remain silent to get other to talk…

How to deal with deception Ask probing questions Phrase questions in different ways Force the other party to lie/back off Test the other party Call the tactic Ignore the Tactic Discuss what you see and offer to help the other party shift to more honest bheaviors Respond in Kind