Asked by LaQuesha Jewell on May 13, 2024
Verified
The check-out clerks at a large grocery store are in negotiations with management. The last remaining issue to settle is the hourly wage. In their earlier meetings, the clerks' bargaining committee has decided that although they are demanding $9.50 an hour, they will settle for nothing less than $8.75. Management's bargaining committee has decided that their highest offer will be $8.50. Union's figure of $8.75 is its _____.
A) initial demand point
B) target point
C) resistance point
D) strike point
E) settlement point
Resistance Point
In negotiation, the least favorable point at which one will accept a deal. Beyond this point, the party would prefer to walk away from negotiations.
Bargaining Committee
A group of individuals, often from a labor union, designated to negotiate terms of employment, such as wages and working conditions, with an employer.
Hourly Wage
The amount of money paid to an employee for each hour of work performed.
- Recognize bargaining strategies and outcomes during union-management negotiations.
Verified Answer
KG
KRISTIAN GUMMINGERMay 17, 2024
Final Answer :
C
Explanation :
The union's figure of $8.75 is its resistance point, which is the lowest offer they are willing to accept before considering taking other actions such as a strike. This is different from their initial demand point, which was $9.50, and their target point, which may have been somewhere in between the two. The settlement point refers to the final agreement reached between the two parties, which has not yet been determined in this situation.
Learning Objectives
- Recognize bargaining strategies and outcomes during union-management negotiations.