Bargaining power refers to the ability of one party to influence the terms and conditions of a negotiation. It can arise from various factors, such as the availability of alternatives, the urgency of needs, or the perceived value of what is being offered. For example, a seller with a unique product may have more bargaining power than a buyer who has many similar options. In business, bargaining power can significantly impact contracts and agreements. Strong bargaining power allows one party to secure better prices, terms, or conditions. Conversely, weaker parties may have to accept less favorable terms, highlighting the importance of understanding one's position in any negotiation.