The Short Answer

What Are Interests and Positions?

In negotiation, a position is what someone says they want. An interest is the underlying need or concern behind it. Two people can hold the same position for very different reasons, and solving the interests often satisfies both sides.

In Plain English

What They Want vs. Why They Want It

People argue about what they want. That is the position.

Ask why they want it, and you find the interest. Once you know the why, there is usually a way both people can win.

A Real-World Example

Two Managers, One Saturday

Illustrative example

Two shift managers at a retail store in Maitland, Florida both demand every Saturday off. On the surface, somebody has to lose.

The owner asks each one why. One manager’s childcare falls through only on Saturday mornings, because her sister covers the afternoons. The other works a second job on Saturday afternoons. The positions are the same. The interests fit together: one works Saturday afternoons, the other works Saturday mornings, and the store is covered all day.

From Dr. Paul’s Fabled Forest

Louie, Pedro, and the Sidewalk Corner

Doctor Owl was halfway through his Sunday waffles at Waffle Woofs when Louie Waffles and Pedro started arguing on the sidewalk outside.

“Your cart has to go,” Louie said. “I need that corner.” Pedro folded his arms. “I’m not moving. That corner is where I sell.”

Doctor Owl stepped outside with his napkin still tucked in. He asked Louie why he needed the corner. The morning line, Louie said. Customers needed a clear path to the door. Then he asked Pedro why he needed it. Pedro sold the most coins’ worth of treats after lunch.

So Pedro agreed to roll up after the breakfast crowd cleared. “I love cake and ice cream!” Pedro said happily. Nobody was quite sure he had understood, but the corner was quiet from then on.

Just one of many stories from Book 1 of Dr. Paul’s Fabled Forest Business School Series.

Dr. Paul’s Insight

Dr. Paul has watched owners pick a winner in staff fights and lose both people. Asking “why” first costs nothing.

Put It to Work

Position vs. Interest: Side by Side

Fill in the same table for your own conflict. The answer usually shows up in the last row.

Manager AManager B
Position (what they demand)Saturdays offSaturdays off
Interest (why)Childcare falls through on Saturday mornings onlySecond job on Saturday afternoons
Solution that meets bothOff Saturday mornings, works the afternoonOff Saturday afternoons, works the morning

Watch Out

Pitfalls When Working With Interests

Watch OutSplitting the difference on positions

Every other Saturday leaves both people half unhappy. Solve the interest instead.

Watch OutTaking sides before hearing both

Hear each person separately before you decide anything.

Watch OutAssuming the loudest person has the biggest need

Volume is not the same as importance. Ask both the same questions.

Watch OutSettling it in public

People defend positions harder with an audience. Talk in private.

Why It Matters

Benefits of Knowing the Difference

  • Solutions both sides are more likely to keep
  • Better working relationships
  • Fewer repeat conflicts
  • Less time refereeing

In Your Business Plan

How Interests and Positions Show Up in a Business Plan

Lenders seldom ask about staff conflict directly, but a staffing section that shows a fair process signals a stable team.

Sample plan excerpt: Management, Staffing

“Schedule conflicts are resolved in a private meeting with the manager, focused on each employee’s underlying need. Requests are documented and reviewed quarterly.”

FAQ

Questions Owners Ask About Interests and Positions

What is interest-based negotiation?
It is an approach that focuses on why each side wants something instead of what they are demanding. It was made popular by the book Getting to Yes. The goal is a solution that meets both sides’ real needs, not a compromise where both give up half.
How do you find someone’s real interest?
Ask open questions and listen. Why does this matter to you? What would happen if you did not get it? What would a good outcome look like? Then repeat back what you heard to make sure you got it right.
Does this work with partners and customers too?
Yes. The same approach works in partner disagreements, vendor negotiations, and customer complaints. A customer demanding a refund may really want the problem fixed by Friday. Finding that out can change the whole conversation.

More From the Series

Keep Building Your Business

Every book in Dr. Paul’s Fabled Forest Business School Series teaches one subject through short stories, real terms, and one-page worksheets.

Dr. Paul Borosky, DBA, MBA

Dr. Paul is a business consultant and author with 14+ years of experience and 1,000+ written business plans. He works with owner-run small businesses on plans, financial projections, and the systems that let a business run without the owner doing everything. This page is part of the glossary for Management and Leadership for Small Businesses, Book 1 of Dr. Paul’s Fabled Forest Business School Series.

This page is for general educational purposes only. It is not legal, HR, or other professional advice. Scheduling and workplace rules vary by state; consult a qualified professional.