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Chapter 3 of 7

Styles, Mindsets, and Principled Negotiation

A negotiator's overall approach can be classified along two key dimensions: whether the negotiation is distributive or integrative, and whether the negotiator's style is competitive or cooperative. Distributive negotiation, sometimes called win-lose, treats the situation like a fixed pie where one party's gain is the other's loss, as in haggling over a single price. Integrative negotiation seeks instead to expand the pie by finding mutual gains through creative solutions and trading on different priorities. Cooperative or collaborative styles tend to focus on mutual gains, share information openly, and invest in building relationships, while competitive or adversarial styles focus on maximizing one's own outcome and rely on pressure tactics and information withholding. Research generally shows that cooperative styles produce better long-term outcomes.

The most influential framework for cooperative negotiation is principled negotiation, developed by Fisher and Ury in their book Getting to Yes, which rests on four pillars: separate the people from the problem, focus on interests rather than positions, generate options for mutual gain, and insist on objective criteria. The distinction between positions and interests is fundamental: positions are what people say they want (such as a request for an $80,000 salary), while interests are the underlying needs and desires behind those positions (such as financial security, recognition, or work-life balance). Focusing on interests opens the door to creative solutions that satisfy everyone's deeper concerns. To put this into practice, you need to uncover the other party's interests through asking why and why-not questions, engaging in active listening, exploring what matters most to them, observing what they resist or concede easily, and posing hypothetical questions such as "what if we..." Building rapport encourages openness and is itself worth investing in, since rapport builds trust, reduces hostility, and increases the likelihood of cooperative behavior.

The Thomas-Kilmann model offers a useful taxonomy of five negotiation styles based on assertiveness and cooperativeness: competing (high assertiveness, low cooperativeness), collaborating (high both), compromising (moderate both), avoiding (low both), and accommodating (low assertiveness, high cooperativeness). The best style depends on the situation: competing is appropriate when stakes are high, the issue is critical, you have a strong BATNA, or the relationship is not important; collaboration is ideal when relationships matter, both parties have multiple interests, and creative solutions are possible. Chris Voss, in Never Split the Difference, classifies negotiators into three types that build on this framework: analysts, who are methodical and data-driven and hate surprises; accommodators, who are relationship-focused and want to be liked; and assertives, who are direct, time-conscious, and want to be heard. Identifying which type you are facing helps you adapt your approach. The mindset of expanding the pie underlies all cooperative approaches: it means creating additional value beyond what initially appears available by identifying different priorities, adding issues to the negotiation, using logrolling (trading concessions on issues of different importance), and finding creative solutions that benefit both parties.

Ethical considerations sit at the heart of any negotiation worth conducting well. Ethical negotiation involves honesty, fairness, and respect for the other party; it means not using deceptive tactics such as lying about alternatives or inventing fake deadlines, honoring commitments, disclosing material information when required, and treating the other party with dignity. There is an important distinction between hard bargaining, which can include aggressive anchoring, high aspirations, and patience and is fully ethical, and unethical tactics such as lying about facts, making false threats, misrepresenting your BATNA, or bait-and-switch maneuvers. Trust enables information sharing, reduces transaction costs, and leads to better outcomes, and it is built through consistency, honesty, reliability, and following through on commitments; breaking trust is easy, while rebuilding it is extremely difficult. When you suspect the other party is deceiving you, ask questions to verify claims, request documentation, use contingency contracts (agreements in which terms depend on future events, letting the outcome determine who was right), address the issue directly but diplomatically, and be prepared to walk away; focus on verifiable facts rather than accusations made without evidence.

All chapters
  1. 1Foundations of Negotiation
  2. 2Preparation, Leverage, and Power
  3. 3Styles, Mindsets, and Principled Negotiation
  4. 4Tactics, Anchoring, and Psychological Tools
  5. 5Communication, Body Language, and Emotional Dynamics
  6. 6Salary and Business Deal Negotiations
  7. 7Complex Negotiations, Dispute Resolution, and Process

Drill it

Reading is not remembering. These come from the Negotiation Skills deck:

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What is negotiation?

Negotiation is a process of communication between two or more parties aimed at reaching an agreement on matters of mutual interest where there are differing pre...

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What is BATNA?

BATNA stands for Best Alternative To a Negotiated Agreement. It is the most favorable course of action you can take if negotiations fail. A strong BATNA gives y...

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Why is knowing your BATNA important?

Knowing your BATNA sets your walk-away point and prevents you from accepting deals worse than your alternative. It gives you confidence, reduces desperation, an...

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How do you strengthen your BATNA?

Strengthen your BATNA by: developing multiple alternatives before negotiating, researching other options, improving your position independently, and making your...