What term is used when one party yields a benefit in hopes that the other will yield an equal benefit?

The term used when one party yields a benefit with the expectation that the other party will reciprocate with an equal benefit is known as a concession. In the context of negotiations, a concession occurs when a party makes a strategic decision to give up something of value in order to foster goodwill and encourage a similar action from the other side. This dynamic is often integral to creating a workable agreement and can help in building trust among negotiating parties.

Concessions are a critical element in negotiations as they typically lead to a more balanced exchange of value. When one side makes a concession, it signals a willingness to cooperate and can prompt the other side to respond in kind, which may pave the way for achieving common goals or reaching an agreement.

In contrast, the other terms, while related, describe broader or different concepts. Compromise refers to a mutual settlement where both parties make concessions and find a middle ground, negotiation encompasses the entire process of discussing terms and coming to an agreement, and collaboration involves working together more closely to achieve shared objectives rather than yielding specific benefits to one another. Each of these concepts plays a role in negotiation strategies but doesn't specifically encapsulate the act of yielding a benefit in hopes of reciprocal action like a concession does.