ABSTRACT
This chapter describes the nature of reputation by using six simple aspects: relational construct, exception attributed, perception comparison, unintended consequences, track record and emotional appeal. Talk of reputation is most commonly associated with damage. A reputation attaches itself to a person, place or organisation and can be damaged accidentally. Reputation is a term that is over-used by journalists, and often incorrectly used within organisations themselves. Reputation is not synonymous with brand, goodwill or even image. Reputation by exception must also be seen against the background of stereotypes. For example, banks are seen as risk averse, cautious and prudent organisations, a safe haven for people money. A reckless bank should be conspicuous by its behaviour as exceptional. The quality of reputation is determined by people behaviour, good or bad, within the context of market or local environment. A significant part of the Intellectual Capital of a firm, reputation has enormous value in attracting new customers, employees and investors.
