NOW AVAILABLE The draft of my book on Organizational Intelligence is now available on LeanPub http://leanpub.com/orgintelligence. Please support this development by subscribing and commenting. Thanks.

Wednesday, July 5, 2006

Collective Bargaining

Collective bargaining used to refer mainly to wage negotiations in which the workforce negotiated collectively rather than individually - typically delegated to special representatives such as trade union officials.

Collective bargaining has always involved a pattern of collective mutual trust known as solidarity, often enforced by formal discipline or social pressure.

A new form of collective bargaining is emerging in China, known as team buying or tuangou, where gangs of customers arrive at a shop and demand high discounts. [source: Economist via Confused of Calcutta]

I wonder how these gangs enforce solidarity? Suppose the gang leader demands a 20% discount, and the shop offers a 10% discount. What if some of the shoppers are happy to accept this? Is there a collective decision process? If a few shoppers accept the deal that the majority has rejected, would this be regarded as a breach of trust?

Technorati Tags:

No comments:

Post a Comment