The topic of lying as it relates to negotiation is important because, for many people, there is no such thing as lying when it comes to negotiating.  It has been said that the whole notion of negotiation is built on ethical quicksand: To succeed, you must deceive.  Is this true? Apparently, a lot of people think so. For instance, one study found that 28 percent of negotiators lied about a common interest issue during negotiations, while another study found that 100 percent of negotiators either failed to reveal a problem or actively lied about it during negotiations if they were not directly asked about the issue.
Is it possible for someone to maintain high ethical standards and, at the same time, deal with the daily need to negotiate with bosses, peers, staff, people from other organizations, friends, and even relatives? We can probably agree that bald-faced lies during negotiation are wrong. At least most ethicists would probably agree. The universal dilemma surrounds the little lies-the omissions, evasions, and concealments that are often necessary to best an opponent.
During negotiations, when is a lie a lie? Is exaggerating benefits, downplaying negatives, ignoring flaws, or saying "I don't know" when in reality you do know considered lying? Is declaring that "this is my final offer and it's nonnegotiable" (even when you are posturing) a lie? Is pretending to bend over backward to make meaningful concessions lying? Rather than being unethical practices, the use of these "lies" is considered by many as indicators that a negotiator is strong, smart, and savvy. When are evasiveness and deception out of bounds? Is it naive to be completely honest and bare your soul during negotiations? Or are the rules of negotiations unique: Is any tactic that will improve your chance of winning acceptable?