Divergent views: the reason we negotiate at all
If both sides wanted exactly the same thing, there would be nothing to negotiate. Differences in view are not an obstacle to the deal. They are where the deal comes from.
Caveat Emptor2 min read
Key takeaways
- Negotiation exists because two parties need each other but see the deal differently.
- Positions are what each side asks for; interests are why. Opposing positions often hide compatible interests.
- When the two sides value the same terms differently, there is room to trade.
A buyer wants a lower price. A supplier wants a higher one. It is tempting to see that gap as the problem a negotiation has to fix. It is more useful to see it as the reason negotiation exists. If both sides agreed on every term, they would simply sign. If they had nothing in common and did not need each other, they would walk away. Negotiation lives in between: two parties who depend on each other but see the deal differently.
Where views diverge
Divergence is rarely only about price. Buyer and supplier usually see a whole set of terms through different eyes.
- Price and payment: the buyer wants to protect budget and cash flow; the supplier wants margin and to be paid promptly.
- Quality and specification: the buyer wants certainty that the requirement is met; the supplier wants a specification it can deliver efficiently.
- Delivery and lead times: the buyer wants stock when it is needed; the supplier wants to plan production and transport economically.
- Risk: each side would prefer the other to carry the cost of delays, price rises or failure.
- Contract length: one side may want flexibility while the other wants commitment.
Positions and interests
What each side says it wants is its position. Why it wants it is its interest. A supplier insisting on short payment terms may really be worried about cash flow. A buyer insisting on a discount may really need to stay within this year's budget.
Positions often look incompatible. Interests frequently are not. Once the interest is on the table, other ways to meet it appear: earlier payment in return for a lower price, or a longer contract in return for a price freeze.
The gap between two positions is where a negotiation starts, not where it ends.
Making differences work for you
The most useful differences are in how each side values the same terms. If paying sooner costs the buyer little but matters a great deal to the supplier, it is worth trading for something the buyer values more, such as price or service levels. Skilled negotiators look for these differences on purpose rather than treating every term as a tug of war.
- Before the meeting, list where you expect views to differ and what each side is likely to care about most.
- Ask questions that uncover the other side's interests, not just their positions.
- Rank your own priorities so you know what you can give and what you must hold.
- Know your walk-away point: what you will do if no agreement is reached.
Divergent views are a sign that there is something worth negotiating. Handled well, they are where both sides find value neither could create alone.