IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v14y2022i11p6735-d828764.html
   My bibliography  Save this article

Conditions Influencing Salary of the Automotive Industry in Mexico City—A Linguistic Fuzzy-Set Approach

Author

Listed:
  • Carmen Lozano

    (Dirección de Investigación, Universidad La Salle México, Mexico City 06140, Mexico)

  • Cesaire Chiatchoua

    (Escuela Superior de Economía, Instituto Politécnico Nacional, Mexico City 11340, Mexico)

Abstract

Decision making in wages is generally a hard task. The aim of this work is to identify government conditions, personal conditions of the businessperson, and organizational circumstances that affect wage levels in the automotive industry in Mexico City using a linguistic fuzzy-set approach. We conducted a questionnaire, consisting of 23 observation variables with a five-point Likert scale. Independent variables were measured from 1 (“not important”) to 5 (“very important”). Based on the literature review and results of interviews, a total of 169 questionnaires were sent to participants using Google Forms. The results of the linguistic fuzzy-set approach identify three main conditions influencing the salary levels in the automotive industry in Mexico City, including unskilled manpower, the neoliberal economic model, and political and trade reforms. On the other hand, organizational conditions are not considered relevant in determining wage levels. Based on the findings, some recommendations have been proposed to help government, firm leaders, and businesspeople design appropriate personnel policies to achieve better salary satisfaction for employees in the future. This work shows a model based on the fuzzy-set approach that is a potential tool to overcome the difficulties posed by a complex environment.

Suggested Citation

  • Carmen Lozano & Cesaire Chiatchoua, 2022. "Conditions Influencing Salary of the Automotive Industry in Mexico City—A Linguistic Fuzzy-Set Approach," Sustainability, MDPI, vol. 14(11), pages 1-22, May.
    • Handle: RePEc:gam:jsusta:v:14:y:2022:i:11:p:6735-:d:828764
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/14/11/6735/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/14/11/6735/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. R. E. Bellman & L. A. Zadeh, 1970. "Decision-Making in a Fuzzy Environment," Management Science, INFORMS, vol. 17(4), pages 141-164, December.
    2. Fernando Martins & M. Druant, 2009. "How are Firms’ Wages and Prices Linked: Survey Evidence in Europe," Working Papers w200918, Banco de Portugal, Economics and Research Department.
    3. Paul L. Joskow & Nancy L. Rose & Catherine Wolfram, 1996. "Political Constraints on Executive Compensation: Evidence from the Electric Utility Industry," RAND Journal of Economics, The RAND Corporation, vol. 27(1), pages 165-182, Spring.
    4. William F Ford & Travis Minor & Mark F Owens, 2012. "State Minimum Wage Differences: Economic Factors or Political Inclinations?," Business Economics, Palgrave Macmillan;National Association for Business Economics, vol. 47(1), pages 57-67, January.
    5. Gary S. Becker, 1964. "Human Capital: A Theoretical and Empirical Analysis with Special Reference to Education, First Edition," NBER Books, National Bureau of Economic Research, Inc, number beck-5, March.
    6. John W. Lopresti & Kevin J. Mumford, 2016. "Who Benefits from a Minimum Wage Increase?," ILR Review, Cornell University, ILR School, vol. 69(5), pages 1171-1190, October.
    7. Noria, Gabriela López, 2015. "The effect of trade and FDI on inter-industry wage differentials: The case of Mexico," The North American Journal of Economics and Finance, Elsevier, vol. 34(C), pages 381-397.
    8. Mazurek, Jirí & Pérez Rico, Cristina & Fernández, Carlos & Magnot, Jean-Pierre & Magnot, Tristan, 2021. "The 5-Item Likert Scale and Percentage Scale Correspondence with Implications for the Use of Models with (Fuzzy) Linguistic Variables || Análisis en componentes principales de los estados financieros," Revista de Métodos Cuantitativos para la Economía y la Empresa = Journal of Quantitative Methods for Economics and Business Administration, Universidad Pablo de Olavide, Department of Quantitative Methods for Economics and Business Administration, vol. 31(1), pages 3-16, June.
    9. Ana María Iregui & Ligia Alba Melo & María Teresa Ramírez, 2010. "Incrementos y rigideces de los salarios en Colombia: Un estudio a partir de una encuesta," Revista de Economía del Rosario, Universidad del Rosario, November.
    10. Michelle Lalla & Gisella Facchinetti & Giovanni Mastroleo, 2005. "Ordinal scales and fuzzy set systems to measure agreement: An application to the evaluation of teaching activity," Quality & Quantity: International Journal of Methodology, Springer, vol. 38(5), pages 577-601, January.
    11. Dean,Adam, 2016. "From Conflict to Coalition," Cambridge Books, Cambridge University Press, number 9781107168800.
    12. Jiri Mazurek & Cristina Perez Rico & Carlos Fernandez & Jean-Pierre Magnot & Tristan Magnot, 2021. "The 5-Item Likert Scale and Percentage Scale Correspondence with Implications for the Use of Models with (Fuzzy) Linguistic Variables," Post-Print hal-03194889, HAL.
    13. Bernard Fingleton, 2003. "Increasing returns: evidence from local wage rates in Great Britain," Oxford Economic Papers, Oxford University Press, vol. 55(4), pages 716-739, October.
    14. Duran Peralta, Julián, 2005. "Determinantes del salario de reserva en el mercado laboral de Cali en el ano 2004 (2005)," Documentos de Trabajo 4112, Universidad del Valle, CIDSE.
    15. Juan Antonio Morente-Molinera & Francisco Javier Cabrerizo & Sergio Alonso & Ignacio Javier Pérez & Enrique Herrera-Viedma, 2020. "Assisting Users in Decisions Using Fuzzy Ontologies: Application in the Wine Market," Mathematics, MDPI, vol. 8(10), pages 1-18, October.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Ana Iregui & Ligia Melo & María Ramírez, 2012. "Wage Adjustment Practices and the Link between Price and Wages: Survey Evidence from Colombian Firms," Lecturas de Economía, Universidad de Antioquia, Departamento de Economía, issue 76, pages 17-53.
    2. Donata Marasini & Piero Quatto & Enrico Ripamonti, 2016. "Intuitionistic fuzzy sets in questionnaire analysis," Quality & Quantity: International Journal of Methodology, Springer, vol. 50(2), pages 767-790, March.
    3. Prof. Dr. Adem KALCA & Resc. Assist. Atakan DURMAZ, 2012. "Diaspora As The Instrument Of Humane Capital," International Journal of Business and Social Research, LAR Center Press, vol. 2(5), pages 94-104, October.
    4. Marina Dabić & Jane Maley & Leo-Paul Dana & Ivan Novak & Massimiliano M. Pellegrini & Andrea Caputo, 2020. "Pathways of SME internationalization: a bibliometric and systematic review," Small Business Economics, Springer, vol. 55(3), pages 705-725, October.
    5. Aurelijus Dabusinskas & István Kónya & Stephen Millard, 2015. "How does labour market structure affect the response of economies to shocks?," CERS-IE WORKING PAPERS 1516, Institute of Economics, Centre for Economic and Regional Studies.
    6. Nurul Mohammad Zayed & Friday Ogbu Edeh & Khan Mohammad Anwarul Islam & Vitalii Nitsenko & Olena Polova & Olha Khaietska, 2022. "Utilization of Knowledge Management as Business Resilience Strategy for Microentrepreneurs in Post-COVID-19 Economy," Sustainability, MDPI, vol. 14(23), pages 1-16, November.
    7. Vuciterna, Rina & Thomsen, Michael & Popp, Jennie & Musliu, Arben, 2017. "Efficiency and Competitiveness of Kosovo Raspberry Producers," 2017 Annual Meeting, February 4-7, 2017, Mobile, Alabama 252770, Southern Agricultural Economics Association.
    8. Berna Tektas Sivrikaya & Ferhan Cebi & Hasan Hüseyin Turan & Nihat Kasap & Dursun Delen, 2017. "A fuzzy long-term investment planning model for a GenCo in a hybrid electricity market considering climate change impacts," Information Systems Frontiers, Springer, vol. 19(5), pages 975-991, October.
    9. Collan, Mikael, 2008. "New Method for Real Option Valuation Using Fuzzy Numbers," Working Papers 466, IAMSR, Åbo Akademi.
    10. Sagarika Dey & Priyanka Devi, 2019. "Impact of TVET on Labour Market Outcomes and Women’s Empowerment in Rural Areas: A Case Study from Cachar District, Assam," Indian Journal of Human Development, , vol. 13(3), pages 357-371, December.
    11. David Amirault & Paul Fenton & Thérèse Laflèche, 2013. "Asking About Wages: Results from the Bank of Canada’s Wage Setting Survey of Canadian Companies," Discussion Papers 13-1, Bank of Canada.
    12. Kim, Jong Soon & Whang, Kyu-Seung, 1998. "A tolerance approach to the fuzzy goal programming problems with unbalanced triangular membership function," European Journal of Operational Research, Elsevier, vol. 107(3), pages 614-624, June.
    13. Berna Tektaş & Hasan Hüseyin Turan & Nihat Kasap & Ferhan Çebi & Dursun Delen, 2022. "A Fuzzy Prescriptive Analytics Approach to Power Generation Capacity Planning," Energies, MDPI, vol. 15(9), pages 1-26, April.
    14. Chen, Lisa Y. & Wang, Tien-Chin, 2009. "Optimizing partners' choice in IS/IT outsourcing projects: The strategic decision of fuzzy VIKOR," International Journal of Production Economics, Elsevier, vol. 120(1), pages 233-242, July.
    15. André de Abreu Saraiva Monteiro Alves & Fernando Manuel Pereira de Oliveira Carvalho, 2022. "How Dynamic Managerial Capabilities, Entrepreneurial Orientation, and Operational Capabilities Impact Microenterprises’ Global Performance," Sustainability, MDPI, vol. 15(1), pages 1-23, December.
    16. Víctor G. Alfaro-García & Anna M. Gil-Lafuente & Gerardo G. Alfaro Calderón, 2017. "A fuzzy approach to a municipality grouping model towards creation of synergies," Computational and Mathematical Organization Theory, Springer, vol. 23(3), pages 391-408, September.
    17. Michel Beine & Marco Delogu & Lionel Ragot, 2020. "The role of fees in foreign education: evidence from Italy [Determinants of international student migration]," Journal of Economic Geography, Oxford University Press, vol. 20(2), pages 571-600.
    18. Aghayi, Nazila & Maleki, Bentolhoda, 2016. "Efficiency measurement of DMUs with undesirable outputs under uncertainty based on the directional distance function: Application on bank industry," Energy, Elsevier, vol. 112(C), pages 376-387.
    19. Wenyao Niu & Yuan Rong & Liying Yu & Lu Huang, 2022. "A Novel Hybrid Group Decision Making Approach Based on EDAS and Regret Theory under a Fermatean Cubic Fuzzy Environment," Mathematics, MDPI, vol. 10(17), pages 1-30, August.
    20. Brainerd, Elizabeth, 2001. "Economic reform and mortality in the former Soviet Union: A study of the suicide epidemic in the 1990s," European Economic Review, Elsevier, vol. 45(4-6), pages 1007-1019, May.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:14:y:2022:i:11:p:6735-:d:828764. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.