For whom would litigation be most advantagous and least advantagous in resolving a dispute and why?

As opposed to other forms of dispute reolution such as mediation and arbitration who would benefit the most from litigation and who would be disadvantaged by it and could you please provide some reasoning?

Litigation is most advantageous for those who are trying to set policy by it.

For instance, an insurance company may want to establish a public perception that it will take cases to trial unless litigants against it settle for low amount the company wants to offer.

That perception will encourage litigants to settle for the low amounts, thus saving it money over the long haul, even if it does lose a few cases along the way.

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