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Describe the differences between distributive bargaining and integrative bargaining.

Question

Describe the differences between distributive bargaining and integrative bargaining.

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Solution

Sure, let's break it down:

  1. Distributive Bargaining: This is a type of negotiation strategy where each party tries to get as much benefit as they can. It's like a pie, and everyone is trying to get the biggest slice. The more one person gets, the less the other person gets. This is often called a 'win-lose' situation because one person's gain is the other person's loss. For example, haggling at a flea market over the price of a lamp could be considered distributive bargaining. The buyer wants the lowest price, the seller wants the highest, and whatever price they agree on, one person will always feel like they could have gotten a better deal.

  2. Integrative Bargaining: This is a negotiation strategy where all parties try to find solutions that result in everyone getting a fair share of the 'pie'. It's not about getting the biggest slice, but making sure everyone gets enough of what they want. This is often called a 'win-win' situation because the goal is to ensure that everyone is satisfied with the outcome. For example, if two kids want to play with the same toy, they might decide to play together or take turns, so they both get to enjoy the toy.

So, the main difference between distributive bargaining and integrative bargaining is the approach and the outcome. Distributive bargaining is about 'winning' and getting the most, while integrative bargaining is about collaborating and finding a solution that benefits everyone.

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