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Corporate Reputation by Ana Carreras, Enrique Carreras, Ángel Alloza

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04

The Theoretical Foundations of Reputation

Scientific literature insists that the concept of corporate reputation is linked to business success. The evidence suggests that it improves financial performance, sales, the effectiveness of commercial activities, creates barriers for the competition, attracts the best candidates, ensures employee commitment, strengthens the bargaining position with suppliers, reduces operating expenses, helps to achieve better credit terms, boosts the confidence of small investors and helps to obtain and maintain operating licences, etc. The potential benefits are so numerous that it is impossible to resist the power of the message communicated by reputation.

However, as soon as the reader takes a closer look at ...

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