Smoothshade and use smooth groups.
You should be good then.
I don't like smoothshade, it makes it look fat, inflated, deformed, and the reflections are white and crappy looking. I'd rather see the individual polygons. Besides, it's kinda the blockland thing to use flatshade. I've only seen 1 smoothshaded model (Someone's Bazooka) and it looked like crap.
And what do you mean by smooth groups? I've never heard of those.