It was shown that inebriated negotiators were more likely to use tactics of intimidation, distortion of facts, distortion of one's interest, and threats to eliminate the negotiation (Schweitzer, p.50). However, it should be pointed out that when faced with sober negotiators, the inebriated negotiators had a higher rate of success. .
Furthermore, alcohol lowers cognition performance, hence, harming the perception of the negotiator. This can lead to cases where the negotiator miss subconscious cues and underlined intents sent by the other parties. In addition, alcohol harms the performance of the short-term memory, and the process of conceiving and conveying information (Schweitzer, p.51). These effects can cause a negotiator to be more pruned to make mistakes. According to the research, the occurrence of mistakes by inebriated negotiators was higher by 30 percent then among the sober negotiators. Moreover, as the cognitive functions are decreased by the alcohol, inebriated negotiators usually have problems when faced with complex situations, especially ones that involve mathematical skills. .
Another problem that alcohol might cause a negotiator is a false sense of confidence. Under the influence of alcohol, negotiators have a tendency to misread other people's reactions. Therefore, inebriated negotiators tend to be overconfident, and over-self-assured. Again, this can lead to either a grand success, or a grand failure. Usually, managers would rather avoid situations were negotiations are based solely on either of these options, as generally, a good negotiation is one were both sides feel that they either got more, or gave up more then they expected. In addition, an overconfident negotiator with an exaggerated sense of camaraderie might induce a tendency to make unnecessary and far too generous gestures.
Nonetheless, and in spite of all the hazards in alcohol consumption during business activities, managers should not cross it out all together from the way they conduct business.