Conflict management in entrepreneurship: strategies, communication, and leadership

Abstract

This paper delves into the critical importance of conflict management in the entrepreneurial landscape, particularly in the face of war and heightened uncertainty. It offers a comprehensive analysis of the distinct stages of a conflict’s lifecycle, categorized based on the intensity of the conflict. A comparative analysis of these stages is presented, considering the essence of the conflict at each stage, its visibility, and potential outcomes. This analysis reveals the context-specific nature of conflict resolution dynamics, emphasizing the significant influence of the context, individuals involved, and available resources. The paper identifies the prerequisites for effective conflict management in entrepreneurial ventures and outlines the primary barriers that hinder such management, including the perception of mutually exclusive interests, differing interpretations of the conflict’s essence, and the institutionalization of the conflict. The paper defines distinct patterns in how participants behave during conflicts. By recognizing the direction of each party’s actions, a more tailored approach to conflict resolution can be developed. Conflict resolution strategies guide individuals towards a solution, extending beyond mere actions. These strategies encompass two key aspects of conflict management: overall strategy and its effectiveness factors The paper discusses five core conflict management strategies based on the Thomas-Kilmann Conflict Management Model. It concludes that the most suitable approach depends on the specific situation, the individuals involved, and the issue at hand. Additionally, the paper explores conflict management strategies based on Glasl’s model, assigning specific conflict resolution strategies to the stages in Friedrich Glasl’s model of conflict escalation. Apart from various strategies, the paper categorizes tactics as “soft” or “hard” based on their impact on the opponent. The application of tactics ranges from gentle persuasion to heavy coercion. Some tactics are direct, clearly stating the desired outcome, while others are indirect, subtly influencing the other party. In conclusion, the paper underscores the instrumental role of successful conflict management in guiding confrontations towards positive outcomes. This is achieved by addressing immediate behaviors, underlying issues, and fostering an environment conducive to constructive dialogue.