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There are always two kinds of people. Some are comfortable with the competitive environment
while others are comfortable with the cooperative environment. Both competition and
cooperation has some good as well as some bad effects on the working environment of an
organization. But cooperation is more useful for an organization.

Let us see how competition affects an organization -

       


1) Competition drives us to advance. Everyone wants to stay one step ahead of
others. It pushes us to develop something bigger and better.

2) In an organization, competition helps an individual to improve himself. Competition


makes an individual self independent, more responsible, sharp minded, more confident
about himself, etc. because he/she has to implement new ideas of his own daily in order
to be ahead of his competitors.

3) In the corporate world, competition drives a company to either sell its products at
a price lower than the prices set by its competitors or to increase its products¶
quality. Competition also helps a company to innovate by innovating new
products with the help of latest technology.


      
1) Competition affects the interpersonal skills of an individual adversely because
he/she always think about himself/herself and hence he/she is unable to get the
proper help from his/her colleagues at the required time.

2) Competition forces an individual not to share the important information among


his/her colleagues which affects the entire organization adversely.

3) Competition brings in its train unethical practices by attempts of firms to snatch away
business and market share.
_ow let us see how cooperation affects an organization -


 
1) Cooperation leads to a win-win situation whereas in competition, there is or can be only
one winner and ³all others are considered as losers´.

£ In case of competition, there can be only one winner at the end and others are
considered as losers. Therefore it may demotivate others as their hard work has not
been paid whereas in case of cooperation, everyone tries to help each other so that
they could contribute equally towards the growth of the organization that could lead
to win-win situation for everyone.

2) Competition brings out the beast in us whereas cooperation brings out the best in us.

£ In case of competition, we become so selfish and sometimes if we are unable to


succeed we try to pull others legs in order to not allowing them to get ahead of us.

3) Competition may lower standards because it increases anxiety, and prevents us


from sharing useful information.

£ If there is competition in an organization then everyone would think about himself


and hence there is lack of information sharing by the individuals within the
organization which affects the organization adversely.

4) In competition heavy advertising boosts up costs of marketing and the burden is


ultimately reflected on the price charged to the consumer. The intrinsic value of the
material is much less as compared to the cost of advertisement.

Therefore we can see that competition can be beneficial as well as dangerous for an
organization whereas cooperation is always helpful for an organization. Hence, competition
should be replaced with cooperation in an organization.

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