We all are deeply influenced by the society that we are surrounded by and the social relationships that follow it which makes us all unique individuals. We all respond differently to life’s circumstances far different from others. This is image of our personal identity that allows us to encounter our life experiences in a way that is different from others. It allows to all having different views of the world and this play a big role in social identity theory. Social Identity Theory was developed by Tajfel and Turner in 1979. The theory was originally developed to understand the psychological basis of intergroup discrimination. Tajfel attempted to identify the minimal conditions that would lead members of one group to discriminate in favor of the in-group to which they belonged and against another out-group. In the Social Identity Theory, a person has not one, “personal self”, but rather several selves that correspond to widening circles of group membership. Different social contexts may trigger an individual to think, feel and act on basis of his personal, family or national “level of self” (Turner 1979). Apart from the “level of self”, an individual has multiple “social identities”. The motivations and environmental variables that shape social relationships have always been a core issue in social psychology. Thus, there are several theories that offer alternative models to the Social Identity Theory, beginning with the social exchange theory, which posits that the desire to exchange resources is central in explaining in-group dynamics. This theory argues that judgments about the value of resources gained or lost through group membership shape both satisfaction and behavioural choices among groups. Similarly, the realistic group conflict theory suggests that the patterns of cooperation and competition in groups can be explained through an understanding of the patterns of resource interdependence among groups (John, Kramer & Tyler, 1999,
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