Strategic Commitment Designerv1.0.0

A SaaS company wants to deter a large client from switching to a competitor. They design a multi-year contract with escalating discounts and a penalty for early termination, making the client's best response to stay.

A union must compel management to agree to wage increases before contract expiration. They set a strike deadline and pre-commit funds to a strike fund, making the strike credible.

An agricultural cooperative wants to prevent a price war. They announce a public price floor and sign contracts with buyers that include a most-favored-nation clause, ensuring no undercutting.

A government wants to credibly commit to a carbon tax to encourage green investment. They pass legislation that automatically triggers if emission targets are missed, making backtracking politically costly.

A startup founder wants to compel a large company to acquire them at a fair price. They burn bridges by publicly refusing other offers and investing in that specific technology, signaling no fallback.

Offer a contract where the discount increases each year the client stays, and includes a penalty for early exit. This locks in long-term relationships for subscription-based businesses.

A commitment that the seller will offer the buyer the lowest price given to any other buyer. This deters price discrimination and prevents price wars, often used in B2B and commodities.

Third-party service that pools funds from unions or groups to pre-commit to strike payouts. This makes strike threats credible and reduces individual risk.