In my experience, power imbalances in negotiations require a blend of strategic insight and poised leadership. I begin by conducting thorough research, uncovering the other party’s pain points and objectives; this allows me to identify opportunities where their needs intersect with mine. Remaining unshaken, I exude confidence and control, making it clear that power is not solely defined by position but by the value we both bring to the table. I then present creative, tailored solutions that reframe the conversation from a zero-sum game to a true partnership. This strategic recalibration not only levels the playing field but elevates the entire negotiation.

It depends where the power imbalance is coming from - hierarchical or big fish vs little fish organisations. Competence and depth of knowledge can usually help level the playing field with a big shot. A few good questions about the realities of the situation, and many big shots run out of content. Now we can talk. You are the expert, they are the authority. You need both for a good deal. If it is a big company and you are small, why are they talking to you in the first place? Probably because you push the applications of their goods and services, that you have unique insights into what is happening in their market, perhaps because you have technology they do not. Find out what they need from the deal & make sure you obtain enough in return

Ever noticed how chess grandmasters sometimes sacrifice their queen to win the game? That's exactly how I approach negotiations with larger players. Instead of competing on traditional terms, I deliberately "sacrifice" conventional bargaining positions to change the game entirely. When facing a dominant market player, I proposed becoming their R&D testbed; offering real time feedback and case studies in exchange for preferential terms. We positioned our smaller size as an agility advantage, where implementing changes wouldn't require navigating corporate red tape. Remember: In negotiations, the party with less apparent power often has more freedom to innovate. The trick is making your constraints work for you, not against you.

Knowledge is power…especially when navigating a negotiation with a power imbalance. I often start by learning as much as I can about the other party—what’s their history and current goals, what are their needs versus wants, and what are their limitations or constraints. With that knowledge I consider where my client can add value or help with those limitations. This is a good starting point for the negotiation. As the discussion develops I can also seize opportunities to educate the other party—what we can offer that’s different and innovative to ensure the other party will be inclined and interested in sealing the deal.

Identify that which is crucial to acheive, filter that list by what is attainable and consult with an experienced attorney to gain perspective. If you have the leverage and want the deal, concede sparingly. If you are on the other side of the leverage coin be prepared to provide compelling and well researched reasons supporting the terms you identify as crucial and attainable. In negotiating these terms you will quickly determine if your opponent wants the deal. If this tell is revealed, you will see concessions will follow. You may not get 100% of your ask list but if 50% gets you to "yes" you will accomplish 2 things, 1 is getting the deal but 2 and more importantly is that you will distinguish yourself as impressive.

1. Research the other party's needs and constraints to find common ground. 2. Compare your benchmarks with those of the other party. 3. Strategically share information and control the conversation maintaing the equilibrium of respect and logic both. 4. Parties with more power or resources typically have stronger bargaining positions and more to lose from in compromise. They may be able to dictate terms in their favor. Skilled negotiators know how to effectively counter more powerful parties.

Power dynamics are a part of contract negotiations quite often. The best way to balance it out is having a principled approach, based on a well prepared strategy to leverage the power available, in order to to drive the process towards the intended outcome.

Understand the other party’s needs, motivations, and potential constraints as well as your own. Being informed gives you leverage and allows you to address key points that matter to both sides. Have a clear idea of your non-negotiables and what you're willing to compromise on. Knowing your priorities will help you stay focused and resilient under pressure. Frame the negotiation around shared goals. By highlighting how your proposals can meet both parties' interests, you create a more collaborative atmosphere, potentially shifting power dynamics to be more equal.

I agree on most suggestions. And I add … check other options, other parties that might want to work with you and let your counterpart know about it. Competition fosters a better stance when you are being cornered.

Power imbalances are never the way you think they are. You usually have more power than you think. Otherwise they wouldn't talking to you in the first place. You just have to realize they want something from you they couldn't (or is really costly to) get on their own. So, stay engaged and curious during the negotiation process. You'll find what they're afraid to lose. When you do, don't act like a psychopath. Show empathy, recognize their point of view and their problems, and paint then the picture where their problem is solved by collaborating with you. Be nice. Power have more than one face. In this case, it can be the face of a curious person. You.