PR 605 Lecture 70: Distributive Vs integrative bargaining
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Distributive bargaining: get as much of the pie as you can. Integrative bargaining: expand the pie so both parties are satisfied: motivation: Distributive bargaining: low (sharing information allows the other party to take advantage) Integrative bargaining: high (sharing information allows each party to find a way to satisfy their interest: duration of relationship: You can use integrative strategies early on and can later use distributive strategies. When you consider intraorganizational behavior, integrative bargaining is the preferred method because it builds more long-term relationships. Integrative bargaining bonds negotiators and lets them leave the table thinking they have achieved a victorious outcome. Distributive bargaining, though, ends with one party being the loser. Distributive bargaining builds animosity and strengthens divisions between people when they have to continuously work together. When multiple bargaining episodes occur, the party that is losing who feels positive about the outcome of negotiation will more than likely cooperatively bargain in negotiations moving forward.