Asked by Jacek Buczko on Jun 14, 2024

verifed

Verified

The power that the dependent party has over the dominant party in order to maintain the exchange relationship is known as:

A) countervailing power.
B) substitutability.
C) reverse dependence.
D) visibility.
E) legitimate power.

Countervailing Power

A concept where power in a market or industry is distributed in such a way that no single entity can dominate decisions or outcomes, effectively balancing the power dynamics.

Dominant Party

A political term that describes a party which holds a majority of legislative seats or otherwise exercises a disproportionate amount of power within a political system.

Exchange Relationship

A relationship between individuals or entities based on reciprocal exchanges of benefits or resources, often analyzed within the context of organizational behavior.

  • Identify the main sources and types of power within organizations.
verifed

Verified Answer

DE
Dajohn EzellJun 18, 2024
Final Answer :
A
Explanation :
Countervailing power refers to the power held by a dependent party in a relationship to influence the behavior of the dominant party. This can be achieved through various means such as the ability to find alternative suppliers or buyers, the threat of legal action, or the ability to form alliances with other parties. It helps the dependent party to maintain balance and fairness in the relationship.