The higher the stakes, the more likely a negotiation is conducted by two teams rather than two individuals. Just think about corporate mergers and acquisitions, lawmaking in government, or international trade agreements. All these types of negotiations require varied expertise with multiple people on both sides of the table.

Yet, most research on negotiations often focuses on individual negotiators rather than teams, which makes it difficult to extrapolate these insights to team-on-team negotiations. Perhaps the most profound difference between the settings is that two teams tend to be more competitive than two solo negotiators.

There are several reasons why two teams are more competitive in their negotiation approach. For starters, teams prioritize the needs of their in-group members over those of the out-group. Second, teams provide a shield of anonymity for individual team members, emboldening them to use more aggressive tactics. Third, interactions between teams make “us vs. them” boundaries salient, which then activates beliefs that the other side is deceitful and competitive.

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