Campus conflicts, particularly school bullying, have garnered significant global attention, necessitating the exploration of effective resolution mechanisms. Peer mediation has emerged as a promising alternative dispute resolution (ADR) method, demonstrating success in various contexts, including labor disputes and community conflicts. This study examines the feasibility and implementation of peer mediation in China and Malaysia by analyzing its institutional foundation, cultural influences, and legal positioning. The research highlights the impact of Confucian ethics and hierarchical teacher-student relationships on peer mediation in China, as well as the role of Islamic collectivism and multicultural diversity in Malaysia. Additionally, the study contrasts these regional practices with the well-established peer mediation models in the United States, emphasizing procedural justice, mediator selection, and the ethical-legal balance required for effective mediation. The findings suggest that while peer mediation has the potential to reduce campus conflicts and foster a culture of peaceful dispute resolution, its success in China and Malaysia hinges on developing structured legal frameworks, enhancing mediator training, and adapting mediation principles to local sociocultural dynamics. The study provides theoretical insights and policy recommendations to support the institutionalization of peer mediation in educational settings.