Explain the confusion when Iago and Othello see men approaching Othello’s home. What do we learn about the men’s characters in this conflict?

Can you be more specific with an act or a scene?

act 1 scene 2

I assume you are referring to when Barbantio and his men come to accuse Othello of stealing Barbantio's daughter. I also take it that you mean Othello's and Iago's character. Certainly Iago is playing the two faced liar. He set up this little conflict and yet he draws his sword in defence of Othello. We see what an evil chameleon Iago can be. Othello is his stoic self. He is assured that the Duke will take his side. It is Othello's unwavering sense of fate that is fertile ground for the seeds of doubt that Iago has begun to plant in Othello's mind.