… and Why It’s Risky in Negotiations
Two cars. One road. Both speeding toward each other. Who swerves first…? Who “blinks”?
Welcome to the Game of Chicken — a game of escalation, brinkmanship, and bluffing.
Almost every negotiator can tell a tale about it:
- One side threatens to walk away unless their demands are met (”take it or leave it”).
- Both parties push harder, waiting for the other to yield.
- Stakes rise. Deadlines loom. Neither wants to be the one to “give in.”
And sometimes?… They crash.
Chicken is about who’s more committed to not giving in — or at least appears to be. But in B2B negotiations, playing Chicken is dangerous, both for the initiator and for the counterparty. You risk long-term relationships for short-term wins, possibly creating reputational damage that outlasts the deal. You might back yourself into a corner with no room to maneuver. And if you allow the game to be played, you educate the other party as to what is acceptable, setting a precedent.
So what’s the smarter play?
✅ Know when to project resolve — and when to signal flexibility.
✅ Prepare your alternatives — so you’re not bluffing with nothing behind you.
✅ Read the other side’s constraints carefully. Are they really playing Chicken — or just holding firm?
To play Chicken, be sure there are few alternatives available to the other side. To counter Chicken, having a good BATNA gives you a way out.
This is part two of our series on game theory — or rather: game practice — in B2B negotiation. Missed part one? Catch up on “The Prisoner’s Dilemma”. Next up: the Stag Hunt — and the trust it takes to pursue shared value.
#Negotiation #GameTheory #Strategy #B2B #CreatingSharedSuccess