• Media type: E-Article
  • Title: The effects of corporate reputation perceptions of the general public on shareholder value
  • Contributor: Raithel, Sascha; Schwaiger, Manfred
  • imprint: Wiley, 2015
  • Published in: Strategic Management Journal
  • Language: English
  • DOI: 10.1002/smj.2248
  • ISSN: 0143-2095; 1097-0266
  • Origination:
  • Footnote:
  • Description: <jats:p><jats:italic>Superior corporate reputations can have strategic value for firms. Of the “multiple reputations” associated with each firm, we focus on the perceptions of the general public. The public represents the most widely defined stakeholder group but has attracted the least amount of research interest to date. Drawing on data for <jats:styled-content style="fixed-case">G</jats:styled-content>erman firms, this study demonstrates that superior reputation perceptions issued by the general public increase shareholder value, as measured by future stock returns. This study provides a more nuanced understanding for this novel finding. Applying a conceptualization of reputation that balances both its affective and cognitive components, we find that reputation perceptions that are driven by nonfinancial aspects are more value relevant in the future than reputation perceptions that are driven by previous financial performance</jats:italic>. Copyright © 2014 John Wiley &amp; Sons, Ltd.</jats:p>