If a player's heart is not in it, it's a stupid strategy to play tough, especially if you mis-read your opponent as their performance will dip and it affects the team. All the players, not just Stones will know the situation. Pricing a player out of our transfer when he has twice requested a move is not going to go down well. You have some duty towards the player after he's given you 12 months. Fair enough if City were trying to take advantage but at £40m plus that's really not the case.
I disagree that his value will be retained. In 12 months time, he will be in to the last 2 years of his contract, not a good situation for a selling club, and I think Stones's game will also be affected by this dispute. It's got to mess with your head.
Kenwright has backed himself into a corner now. It will be difficult to replace him now without themselves having to pay way over the odds, so I don't see their strategy changing. In that sense they are likely to stick to their guns, but I don't think it's that clever.