Using data from Fortune magazine's survey of corporate reputations, an analysis was performed to determine whether there was a significant correlation between financial performance and a firm's reputation as a socially responsible institution. Results indicate a conundrum where management must produce financial results for stakeholders, but that too aggressive a course of action in that process can reduce later perceptions of reputation and lead to diminished autonomy for management initiatives.
corporate reputation, risk, return
The files in this collection are protected by copyright law. No commercial reproduction or distribution of these files is permitted without the written permission of Southern Methodist University, Cox Business School. These files may be freely used for educational purposes, provided they are not altered in any way, and Southern Methodist University is cited. For more information, contact firstname.lastname@example.org.
Hammond, Sue Annis and Slocum, Jr., John W., "The Impact of Prior Firm Financial Performance on Subsequent Corporate Reputation" (1994). Working Papers. 172.