Mutual interaction of conflict management strategies from a game theory perspective and an empirical evidence from auditors

Conflict is a process in which there is interaction between the parties. Therefore, the conflict management strategies of the parties should be evaluated together. In this study, it is aimed to analyze the conflict management strategies of the parties involved in the conflict together using game theory analysis tools, to reveal the most appropriate strategy combinations within the scope of the developed model, and to measure the theoretical findings obtained with the model with an empirical research that was applied to auditors. In this context, by taking into account the concept of interaction, the conflict management strategies of the parties were matched with each other, and a new model called "Bilateral Dual Concern Model" was developed. These strategies were classified according to their competitive or cooperative nature. The mutual interaction of the conflict management strategies which are selected within the scope of the model was analyzed with the basic game forms of game theory. The analysis in the context of the Prisoners' Dilemma game supports the theoretical conclusions regarding the existence of the Nash equilibrium in which the parties adopt the competition and cooperation strategies together and the sustainability of the cooperation equilibrium. The analysis in the scope of the game of Chicken supports the theoretical conclusions that there is an equilibrium in which at least one party does not adopt a competitive attitude and that the competition is not sustainable. The analysis in the scope of the Stag hunt game supports the theoretical results that the equilibrium in which both parties choose the cooperation strategies and that the cooperative attitude is sustainable.