Negotiating Across Languages: Ethical Implications of the Foreign Language Effect

Abstract: In an increasingly globalized world, the phenomenon of the Foreign Language Effect (FLE) has garnered significant attention for its impact on decision-making and negotiation processes. This research examines how negotiating in a foreign language influences unethical behavior using experimental data derived from ultimatum bargaining games and face to face negotiations. Our findings reveal that participants negotiating in a foreign language exhibit higher tendencies toward self-interest behaviors, including exaggerated lying and lower offers, compared to their native-language counterparts. Additionally, language influenced the use of conflict-avoidance strategies, which were more prevalent among native language negotiators and fully mediated the relationship between language and offers, resulting in better offers when participants negotiated in their native language. By exploring the intersection of language, ethics, and negotiation strategies, this research contributes novel insights to the fields of behavioral psychology and organizational management. Practical implications for multilingual negotiation scenarios and ethical decision-making are discussed.

Keywords: Ethics; Language; Negotiation