Which term describes the act of resolving differences where both sides concede?

Which term describes the act of resolving differences where both sides concede?

• A. Compromise
• B. Mediation
• C. Arbitration
• D. Negotiation

Answer: (A)

Mutual concessions to reach an agreement describe a compromise. When people compromise, each side gives up something to find a middle ground that works for both, allowing progress even when complete agreement isn’t possible. This distinguishes compromise from mediation, where a neutral facilitator helps discussion but doesn’t require the parties to give up elements of their positions; arbitration, where a third party makes a binding decision for the dispute; and negotiation, the overall bargaining process that may or may not involve concessions from both sides. For example, two teammates disagree on a project deadline and scope; by agreeing to a slightly later deadline and accepting part of the requested features, they adjust their positions to move forward together.

Mutual concessions to reach an agreement describe a compromise. When people compromise, each side gives up something to find a middle ground that works for both, allowing progress even when complete agreement isn’t possible. This distinguishes compromise from mediation, where a neutral facilitator helps discussion but doesn’t require the parties to give up elements of their positions; arbitration, where a third party makes a binding decision for the dispute; and negotiation, the overall bargaining process that may or may not involve concessions from both sides. For example, two teammates disagree on a project deadline and scope; by agreeing to a slightly later deadline and accepting part of the requested features, they adjust their positions to move forward together.