understanding corporate reputation

Reputation is a double-edged sword:

A good reputation creates value for all stakeholders
It also exposes the company to greater reputational risk
It is important to note that reputation is what it is perceived and believed by the significant others to be. The significant others include all stakeholders such as shareholders, customers, employees, and regulators. A company’s reputation comprises of many category-specific reputations:

Product quality
Corporate governance
Customer service
Labour relations
Intellectual capital
Financial performance
Environmental awareness

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