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Management article
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Reference no. C0201B
Published by: Harvard Business Publishing
Published in: "Harvard Management Communication Letter", 2002

Abstract

Can corporate rankings give you a real understanding of what a company is like on the inside? Corporate reputation is the consensus of perceptions about how a firm will behave in any given situation, based on what people know about it, including financial performance. But reputation is not about likeability--messages must have real content backed by real performance. This article covers how to use stock price as an indicator of reputation and cautions companies always to remember their core ideology by reinforcing and rewarding behavior that supports the core.

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Abstract

Can corporate rankings give you a real understanding of what a company is like on the inside? Corporate reputation is the consensus of perceptions about how a firm will behave in any given situation, based on what people know about it, including financial performance. But reputation is not about likeability--messages must have real content backed by real performance. This article covers how to use stock price as an indicator of reputation and cautions companies always to remember their core ideology by reinforcing and rewarding behavior that supports the core.

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