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Power and deception in ultimatum bargaining

Author

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  • Koning, Lukas
  • Steinel, Wolfgang
  • Beest, Ilja van
  • Dijk, Eric van
Abstract
In two experiments we investigated the relation between power and deception in ultimatum bargaining. Results showed that recipients of an ultimatum used deception to obtain better offers and that more recipients did so in a low power position. Further analyses showed that the recipient's use of deception was mediated by concerns about receiving a low offer. For allocators, being in a low power position did not increase the use of deception. Instead, allocators increased their offer when they were in a low power position. The results are discussed in terms of an instrumental approach to deception. This approach incorporates the notion that bargainers (a) will use deception as a means to reach their goals in bargaining but (b) may refrain from using deception when they have alternative means to reach their goals.

Suggested Citation

  • Koning, Lukas & Steinel, Wolfgang & Beest, Ilja van & Dijk, Eric van, 2011. "Power and deception in ultimatum bargaining," Organizational Behavior and Human Decision Processes, Elsevier, vol. 115(1), pages 35-42, May.
    • Handle: RePEc:eee:jobhdp:v:115:y:2011:i:1:p:35-42
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    References listed on IDEAS

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    2. Güth, Werner & Kocher, Martin G., 2014. "More than thirty years of ultimatum bargaining experiments: Motives, variations, and a survey of the recent literature," Journal of Economic Behavior & Organization, Elsevier, vol. 108(C), pages 396-409.
    3. Minson, Julia A. & VanEpps, Eric M. & Yip, Jeremy A. & Schweitzer, Maurice E., 2018. "Eliciting the truth, the whole truth, and nothing but the truth: The effect of question phrasing on deception," Organizational Behavior and Human Decision Processes, Elsevier, vol. 147(C), pages 76-93.
    4. Levine, Emma E. & Schweitzer, Maurice E., 2015. "Prosocial lies: When deception breeds trust," Organizational Behavior and Human Decision Processes, Elsevier, vol. 126(C), pages 88-106.
    5. Katja Woelfl & Lutz Kaufmann & Craig R. Carter, 2023. "In the eye of the beholder: A configurational exploration of perceived deceptive supplier behavior in negotiations," Journal of Supply Chain Management, Institute for Supply Management, vol. 59(2), pages 33-61, April.
    6. Di Cagno, Daniela & Güth, Werner & Lohse, Tim & Marazzi, Francesca & Spadoni, Lorenzo, 2024. "Who cares when Value (Mis)reporting may be found out? An Acquiring-a-Company experiment with value messages and information leaks," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 108(C).
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    8. Rogers, Todd & Zeckhauser, Richard & Gino, Francesco & Schweitzer, Maurice & Norton, Mike, 2014. "Artful Paltering: The Risks and Rewards of Using Truthful Statements to Mislead Others," Working Paper Series rwp14-045, Harvard University, John F. Kennedy School of Government.
    9. Ferreira, Mark, 2017. "When knowledge is not power: Asymmetric information, probabilistic deceit detection and threats in ultimatum bargainingAuthor-Name: Chavanne, David," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 69(C), pages 4-17.
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    11. Ricky S. Wong & Susan Howard, 2017. "Blinded by Power: Untangling Mixed Results Regarding Power and Efficiency in Negotiation," Group Decision and Negotiation, Springer, vol. 26(2), pages 215-245, March.

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