Strategy use in Contract Negotiations
Contract negotiations use a form of collaborative and competitive bargaining. These processes have been enhanced since studies have proven that not all conflicts have a negative correlation upon organizations. A distributive or competitive bargaining situation in contract talks are considered a win/lose strategy where the attainment of goals are in direct opposition of the other party. (Goering, 1997) A good example of direct opposition in contract negotiations would be layoffs or outsourcing labor. An integrative or cooperative bargaining tactic in contract negotiations is where the goals or objectives are not mutually exclusive to one party. The goals of each party do not contradict nor hold offense to that of the opposing group. It has been researched and proven that collaborative negotiation tactics, (Integrative) go hand in hand with positive conflict resolution, whereas competitive negotiation tactics (Distributive) tend to side with destructive conflicts.