The Power That Builds Agreement

Negotiation power is not about one person having an advantage over another. It is not about “toughness,” charisma, or a firm tone of voice. In reality, power stems solely from the incentives and sanctions that both parties possess—what they gain from reaching an agreement and what happens if they fail to achieve one.

“Those incentives (benefits) and sanctions (consequences of no agreement) create the distribution of power, and that distribution defines the negotiation arena—the space in which an agreement can be made. Its boundaries are not determined by the negotiator’s personality or tactics, but by the market, available alternatives, and the situation both parties are in,” says Waldemar Nogaś, negotiation expert at Scotwork. “This is where the well-known saying applies: ‘With great power comes great responsibility.’ In negotiations, it is the responsibility for how we use incentives and sanctions, because improper use can destroy a relationship much faster than it leads to an agreement,” he adds.

Power in practice

The easiest way to understand negotiation power is through a simple everyday example. Imagine buying a shirt. If the customer says, “I’ll pay 150 PLN instead of 200,” the salesperson gains no new value. No wonder the reply is a polite refusal. But if the customer says, “If you give me a discount, I’ll buy three shirts,” an incentive immediately appears that shifts the balance of power. The seller receives real added value and is therefore more willing to make concessions. This is the essence of negotiation power: not pressure, but motivation and consequences.

Awareness — the source of real power

Negotiation power is something you have. You need to recognize your own power. That’s why preparation is crucial, along with the ability to answer questions such as:
– What incentives can I offer?
– What sanctions—consequences of no agreement—exist on my side?
– What incentives and sanctions does the other party have?
– How does the market influence our options?

This analysis helps identify and understand how wide the negotiation arena is. And most importantly—the arena is never one-sided. Both parties have power. Sometimes visible, sometimes hidden, sometimes unconscious, but always present.

“A big mistake in negotiations is entering the conversation without awareness of the actual power distribution. If I know what incentives I have and what the consequences of no agreement might be, I have power. But loyalty, the relationship, and the potential for long-term cooperation also hold power. And importantly—power is built before the first proposal is made,” emphasizes Waldemar Nogaś.

Negotiation maturity

Conscious management of power is, above all, flexibility. Even the best strategy loses value if it’s too rigid in a changing situation. And the situation always changes—because power is dynamic. Its distribution can shift with time, new information, competitor actions, a move made by the other party, or changing business priorities. That is why a mature negotiator doesn’t “play on advantage.” They carefully observe how the arena evolves and adjust their behavior to maintain dialogue and protect their goals.

“In effective negotiations, balance between determination and openness is key. True power lies in the ability to maintain trust, even when using sanctions. That trust often determines success,” notes Waldemar Nogaś.

Balance, trust, and respect — the essence of negotiation

In an old fable, a mouse accidentally runs across the face of a sleeping lion. It wakes him and—unsurprisingly—puts him in a foul mood. The lion catches the mouse in his paw. He is bigger, stronger, and clearly holds the advantage. Yet he decides to let her go. A few days later, he falls into a hunter’s trap. Strong ropes tie him tightly, and no amount of muscle strength can help. Then the mouse appears—small, agile, unremarkable. She gnaws through the ropes and frees the lion.

“This story reminds us of two fundamental truths of negotiation. First, power is never one-sided—even the smallest participant can influence the outcome. Second, how power is used is just as important as having it—restraint and wisdom often produce better results than domination,” the expert points out. “Power is only a starting point. Conscious management of it is what turns negotiation into a tool for creating value,” he adds.