How Good Corporate Reputations Create Corporate Value

Corporate Boards, CEOs, CFOs, consultants, investors and academics are all interested in the question of - if and how corporate reputations create financial value for companies. To date, much of the research that tests the claim that a good corporate reputation directly creates such value has produced conflicting findings. This paper illustrates how a good corporate reputation can enhance the market value of a company. This discussion also suggests that it is premature to try to put an accurate financial value on a company's brand / reputation.