Labor and management at Leo Trucking cannot seem to agree upon a contract for the truck drivers. As each side contends that they are bargaining fairly, no agreement seems to be possible. The drivers are threatening to go on strike, and management knows that such a strike would prove to be costly.
-As both sides agree that they are competing over a fixed amount of resources, each side feels that what one side wins, the other loses. Based on this information, we can say that the two sides are engaged in ________.

Question

Quizplus · Accepted Answer

Distributive bargaining is a type of negotiation where each party is trying to gain the largest share of a limited amount of resources. In this case, both labor and management are competing over a fixed amount of resources (i.e. the drivers' salaries and benefits), with each side feeling that what one side wins, the other loses. This type of bargaining often results in a win-lose situation, where one side gains at the expense of the other, making it difficult to reach a mutually beneficial agreement.

Labor and Management at Leo Trucking Cannot Seem to Agree