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 considering company value and asset management strategies. The value of corporate reputation as an intangible asset Just as we measure a company’s sales and profits, corporate reputation measures a company’s value A percentage of a company’s value can be attributed to its reputation. A company’s assets are generally considered tangible assets that provide services or 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. To invest well in a company’s reputation, resources must be focused on areas such as leadership, quality control, products and services, employee relations, risk management and social responsibility. A strong brand reputation brings more value to the company. 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 good reputation has a ripple effect, increasing the value of your business and ultimately replicating itself. 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 positive corporate reputation improves financial performance in the short and long term. Intangible corporate reputation assets are equally, if not more, valuable. Intangible assets are often classified as fixed assets because they represent value for at least several years.