What might occur as a result of unresolved inter-organizational conflict?

Unresolved inter-organizational conflict often leads to a breakdown in relationships and a deterioration of trust between organizations. This misalignment can result in a loss of business partnerships, as organizations may find it difficult to collaborate effectively when conflicts persist. The strained interactions could lead to withdrawal or termination of partnerships, as parties seek to avoid the negative repercussions associated with ongoing conflict.

In contrast, increased collaboration, enhanced innovation, and improved stakeholder trust typically stem from effective conflict resolution and positive relationship management. When conflicts are managed properly, organizations can work together more effectively, drive innovation through diverse perspectives, and maintain or enhance trust among stakeholders. Thus, the impact of unresolved conflicts is clearly detrimental, specifically resulting in a loss of valuable business partnerships.