Corporate reputation is a relatively new area of research

Corporate reputation is a relatively new area of research, but it falls into the category of the most important intangible assets when analyzing a company’s value and asset management strategy. The Value of Corporate Reputation as an Intangible Asset Just as we measure company profits and sales ratios, corporate reputation is how do you measure your company’s most valuable intangible asset? Strengths: Corporate reputation is increasingly becoming a company value driver. Company assets are often considered tangible assets that provide services or have value to the company that owns them, such as equipment, cash, raw materials or real estate. A company’s intangible assets are assets that are owned by the company and provide value to it, but cannot be physically touched. As long as a company’s reputation is maintained and not damaged, it is a long-term asset for the company. Proper investment in a company’s reputation requires resources in areas such as leadership, quality control, products and services, employee relations, risk management and social responsibility. A strong brand reputation brings great value to the company. The intangible assets of your company’s reputation are just as valuable, if not more. A positive reputation can have an even more direct impact on the bottom line because it also increases average lifetime value and market share. A company’s reputation is the overall opinion of primary and secondary stakeholders about a company’s past, its current position and the predictability of its future. A good reputation has a ripple effect that increases the value of your company and ultimately reproduces itself. Your company’s reputation must be carefully managed like any other valuable asset. A positive business reputation improves results in the short and long term. Intangible assets are often classified as long-term assets because they provide value for at least several years.