Final answer:
The ideal first step in dispute settlement is conciliation, where a third party helps facilitate a resolution in a collaborative manner, unlike arbitration or litigation which are more adversarial.
Step-by-step explanation:
The first step in the settlement of a dispute should ideally be conciliation. This approach involves a third party who helps the disputing parties to reach a settlement by facilitating communication and proposing potential solutions without having the authority to impose a decision. Conciliation is typically more collaborative and less adversarial than other forms of dispute resolution such as arbitration or litigation, making it a favorable starting point. Coercing the other party or initiating litigation are generally considered last resorts after other methods have failed, while placating the injured party might be part of the resolution process, but it is not a structured approach to dispute settlement.