Decisive Mechanism of the Consensual Salary Model

  • Zhihong Li
Part of the SpringerBriefs in Business book series (BRIEFSBUSINESS)


The consensus salary model is founded on the idea that is consensual either to the individual, or to the enterprise or to the society by absorbing the effective part of the existent salary system for the modern enterprise. The prerequisite consensual to one party must not damage the benefits of the other party and it is a modified one through Pareto improvement. Also, it may be influenced by the micro and macro decisive mechanism from the individual, the enterprise and the society. The micro decisive mechanism consists of human capital investment decision, encouragement, propulsion, dynamic adaptation, post evaluation, cost control and income distribution inside the enterprise. The macro decisive one includes supply and demand in the labor forces market, governmental regulations and market-oriented pay negotiation (see Fig. 7.1).


Labor Force Income Distribution Trade Union Governmental Regulation Human Capital Investment 
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Copyright information

© The Author(s) 2013

Authors and Affiliations

  1. 1.Business SchoolJianghan UniversityWuhanPeople’s Republic of China

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