The social identity approach comprising of the social identity theory and its extension – the self-categorization theory is one of the most popular theories in social psychology. This paper uses the self-categorization theory (mainly) to understand individuals’ motives to belong and to be distinct from the (multiple) groups they may be part of. It is concluded that self-categorization theory, though largely believed to be explaining only the need for inclusiveness, does in fact, explain much about the need for distinctiveness in individuals.