Antecedents and performance consequences of unethical negotiation behavior in sales

Unethical behavior remains a persistent challenge in organizations, raising concerns for both theory and practice. Despite extensive research, the antecedents of unethical behavior are not fully understood, and its impact on performance remains ambiguous. This study tests a multi-level framework integrating contextual, organizational, and individual factors as drivers of unethical negotiation behavior. Using survey data from 310 UK sales professionals, we find that self-deception, creativity and risk-taking, perceived organizational politics, and sales force obsolescence increase unethical negotiation behavior, while learning orientation reduces it. Contrary to assumptions, unethical negotiation behavior does not enhance financial performance but reduces behavioral performance and value creation competence. We also identify product differentiation as a boundary condition, showing that the negative consequences of unethical negotiation behavior are more pronounced for undifferentiated products. By integrating multiple antecedents and examining their consequences, this study advances the ethical decision-making paradigm and offers practical insights for mitigating unethical negotiation behavior.