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Article
Publication date: 4 September 2023

Simona Arduini, Martina Manzo and Tommaso Beck

This study aims to analyze how sustainability, through an efficient knowledge management (KM) system, can serve as a driving force with respect to corporate culture and…

Abstract

Purpose

This study aims to analyze how sustainability, through an efficient knowledge management (KM) system, can serve as a driving force with respect to corporate culture and reputation. The research questions that guided this study are mainly the following: Are KM and sustainability related? Can culture strengthen the link between KM and sustainability? Can the link between KM and sustainability be affected by reputation?

Design/methodology/approach

The methodological approach adopted corresponds to qualitative research of analysis on the reference literature in the international field, also supported by empirical analysis.

Findings

In this study, the authors show that there is no explicit correlation between sustainability and KM. This relationship, in fact, is not underlined in nonfinancial reporting because it is absent or because it is not considered relevant. Too often sustainability is reduced to a mere relational and reputational tool, ignoring the fact it must be considered a consequence and not the main goal to improve companies’ culture.

Research limitations/implications

The sample studied by the authors refers to the top 40 companies listed on the Italian market, not allowing to generalize the findings across the international context.

Practical implications

The practical implications that could result from making explicit the relationship between sustainability and KM are multiple: the substantial benefits of the reputational aspect, an increase in the economic value related to sustainability; to ensure the going concern of the company and implement its ability to produce and share value in the long term.

Social implications

The social benefits of a stronger relationship between sustainability and KM are related to the possibility to improve the wealth of all the stakeholders.

Originality/value

This paper analyzes the links between sustainability and KM to understand the influence of these factors on corporate culture and reputation.

Details

Journal of Knowledge Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1367-3270

Keywords

Article
Publication date: 5 January 2023

Célia Santos, Arnaldo Coelho and Alzira Marques

When a company practices greenwashing, it violates consumers' expectations by deliberately deceiving them about their environmental practices or the benefits of their…

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Abstract

Purpose

When a company practices greenwashing, it violates consumers' expectations by deliberately deceiving them about their environmental practices or the benefits of their products/services. This study investigated the effects of greenwashing on corporate reputation and brand hate. Furthermore, this study explored the mediating effects of perceived environmental performance and green perceived risk.

Design/methodology/approach

A survey design using cross-sectional primary data from 420 Portuguese consumers who identified and recognized brands engaged in greenwashing was employed. The proposed hypotheses were tested using structural equation modeling techniques.

Findings

This study's findings show that consumer perceptions of greenwashing may damage brands. The results show that greenwashing has a negative effect on corporate reputation through perceived environmental performance and green perceived risk. Additionally, greenwashing has a positive direct effect on brand hate and a negative effect on green perceived risk. Therefore, reducing greenwashing practices can improve consumers' perceptions of corporate environmental performance, buffer green perceived risk, and ultimately enhance corporate reputation. This can lead to positive relationships with customers.

Originality/value

Based on signaling and expectancy violation theories, this study develops a new framework highlighting the detrimental effects of greenwashing on brands. The combination of these theories provides the right framework to understand how greenwashing may lead to extreme feelings like brand hate and negative perceptions of corporate reputation, thus advancing the current research that lacks studies on the association between these constructs.

Details

Asia-Pacific Journal of Business Administration, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1757-4323

Keywords

Open Access
Article
Publication date: 1 June 2023

Emilio Calvo-Iriarte, María Victoria Esteban-González and Arturo Rodríguez-Castellanos

The gap that this research attempts to fill is to analyse the explanatory factor “industry” when assessing the reputation of a corporate group. In other words, this research…

Abstract

Purpose

The gap that this research attempts to fill is to analyse the explanatory factor “industry” when assessing the reputation of a corporate group. In other words, this research attempts to demonstrate the impact of the “industrial halo” on the assessment of corporate reputation, given that, to date, the academic literature has not considered industry as an explanatory variable in the assessment of the reputation of private companies.

Design/methodology/approach

A sample of 43 Spanish companies was used to analyse the relationship between the reputation of firms as measured by the Merco Empresas index, and the industries to which they belong, after controlling for company performance, size, turnover, public recognition of their leadership, and corporate responsibility. This involved conducting a cross-sectional analysis of the relationship between the variables for each year in the time period from 2005 to 2016. The available data were taken from the firms' annual financial reports and websites, as well as from the Merco.

Findings

The paper shows the existence of industrial halos that account for the corporate reputation of businesses in Spain. It is also shown that industrial halos are not permanent over time, and that they tend to occur in years of crisis.

Research limitations/implications

It would have been desirable for this study to have had sufficient data to include other industries, but this was not possible. As for possible extensions, in addition to expanding the period considered, other analytical techniques, such as panel data models, could be applied to allow comparison with the results obtained here.

Practical and social implications

The results of this study have some practical implications. Firstly, firms that publish corporate reputation rankings should be aware of the distortion that the industrial halo can produce, especially in times of uncertainty, and seek to correct for it in their measurements. And secondly, corporate groups themselves should assume that the reputation of the industry affects their individual reputation, and consequently, they should see the other companies in the industry not only as competitors but also as “reputational allies”. They should therefore make collective efforts to improve in this respect, especially in the face of reputational crises.

Originality/value

This paper provides a better understanding of the relationship between the reputation of a company and the industry to which it belongs, and of its permanence over time. This relationship has been little studied in the Spanish market to date.

研究目的

本研究擬分析當企業集團的信譽被評估時的解釋性因素-行業,以填補現時的研究缺口。具體來說,研究人員鑒於學術文獻至今仍未於評估私營企業的信譽時、把行業當作是一個解釋變量來看待,故擬進行研究、以顯示行業光環在評估企業信譽時所產生的影響。

研究設計/方法/理念

研究使用的樣本為43間西班牙公司。研究人員分析以Merco Empresas 指數來測量的公司信譽與公司所屬行業之間的關係。有關的分析調控了公司的業績、規模、營業額、企業責任、以及企業領導能力的公眾認可程度所帶來的影響。研究人員對有關變量間的關係進行橫向分析 分析於2005年至2016年期間年度性地進行。現有數據取自有關公司的年度財務報表和其網站,也有取自Merco的。

研究結果

研究結果表明了可解釋西班牙企業信譽的行業光環是存在的。研究結果亦顯示、行業光環不是永恆的,而且,行業光環往往會在營運極其困難的年度內出現。

研究的原創性/價值

本文讓我們更深入瞭解公司信譽與公司所屬行業之間的關係,以及其在時間上的永恆性。就這相關的關係而言,探討西班牙市場的研究至今為數不多。

Details

European Journal of Management and Business Economics, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2444-8451

Keywords

Open Access
Article
Publication date: 19 September 2023

Sharmina Afrin and Md. Mominur Rahman

The purpose of the paper is to investigate the association between corporate social responsibility (CSR) and investment efficiency (INE) in Bangladeshi pharmaceutical companies…

Abstract

Purpose

The purpose of the paper is to investigate the association between corporate social responsibility (CSR) and investment efficiency (INE) in Bangladeshi pharmaceutical companies and to explore the moderating role of corporate reputation in this relationship.

Design/methodology/approach

The paper employs a two-step method, with stage 1 involving the development of a theoretical model using the literature's strategic framework and stage 2 using structural equation modelling (SEM) to investigate the relationships between variables. The data set used in the analysis includes 296 responses from senior executives/managers and subordinates at Bangladeshi pharmaceutical firms.

Findings

The study finds that CSR activities that focus on customers, employees and the community significantly affect INE, as well as the extended stakeholders, and that company reputation moderates this relationship. The effect of CSR on INE differs between well-established companies and business firms with favourable reputations.

Practical implications

The paper contributes to understanding the relationship between CSR and INE in a developing country context and highlights the importance of corporate reputation in this relationship. The findings suggest that companies can enhance their INE through CSR initiatives and that a positive reputation can strengthen this relationship further.

Originality/value

The study adds to the limited literature on CSR and INE in developing countries and provides new insights into the moderating role of corporate reputation in this relationship.

Details

PSU Research Review, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2399-1747

Keywords

Article
Publication date: 27 February 2024

Ganesh Rao Nagiah and Norazah Mohd Suki

This study aims to examine the impact of environmental sustainability, social sustainability and corporate reputation on the business performance of energy companies operating in…

Abstract

Purpose

This study aims to examine the impact of environmental sustainability, social sustainability and corporate reputation on the business performance of energy companies operating in an emerging market.

Design/methodology/approach

A self-administered questionnaire was distributed to 400 managers in top and middle-level positions in energy companies located in Kuala Lumpur, Malaysia were collected through an online survey. These managers had a strong understanding of the operational aspects of the companies and possessed good knowledge of the company’s performance. The collected data were analyzed using multiple regression analysis to assess the hypothesized relationships.

Findings

The findings reveal significant influences of corporate reputation, environmental sustainability and social sustainability on the business performance of energy companies operating in an emerging market. Notably, corporate reputation emerges as the primary predictor, underscoring the significance of emphasizing the fundamental aspects of companies such as superior products or services, effective management practices and investment quality. A strong reputation is essential for attracting investors, customers and other stakeholders by meeting their expectations for high-quality products or services. It serves as a crucial factor in establishing trust and credibility, which are vital for sustained success in the market.

Practical implications

Energy companies should proactively integrate corporate reputation into their operational strategies to enhance business performance. Furthermore, they should develop and execute comprehensive environmental and social sustainability initiatives within their organizations. By doing so, they can effectively enhance both financial and non-financial performance while fostering a culture of employee engagement aimed at further enhancing productivity.

Originality/value

This study stands out as a unique and significant contribution to theory by using the triple bottom line framework as the underlying theory and integrating corporate reputation into the proposed framework. It represents a novel approach, particularly within the context of energy companies operating in an emerging market. This research serves as a valuable complement to prior studies primarily conducted in developed (Western) economies, expanding the knowledge base in this field.

Details

International Journal of Energy Sector Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1750-6220

Keywords

Article
Publication date: 3 January 2024

Zain Ul Abideen and Han Fuling

This study highlights the influence of non-financial sustainability reporting and firm reputation (FR) on the China Stock Exchange. The study is based on the components of…

Abstract

Purpose

This study highlights the influence of non-financial sustainability reporting and firm reputation (FR) on the China Stock Exchange. The study is based on the components of sustainability reporting that influence FR.

Design/methodology/approach

A simple ordinary least squares (OLS) regression model is initially run to test the hypotheses. Advanced econometric methods are used to detect the presence of heteroskedasticity. The study utilizes fixed-effect, two-stage least squares (2SLS) and two-step generalized method of moments (GMM) regression models to address endogeneity issues.

Findings

Findings suggest that NFSR has a negative influence on FR. Conversely, environmental, social and governance (ESG) sustainability reporting exhibited positive associations with a FR in fixed-effect, 2SLS and GMM results.

Research limitations/implications

This study has limitations, and data collection is restricted to the period from January 2018 to June 2023, limiting the scope of findings due to data constraints. Brand equity measurement is considered only one aspect of a company's activities, and other methods can also be considered for measuring brand equity. Another limitation is a standardized method for measuring NFSR. While this study used the Arianpoor and Salehi (2021) model to measure sustainability reporting in the Chinese market, future research could explore different methods.

Practical implications

The findings of this study have important practical implications for corporate management, highlighting reputation challenges and the strategic importance of sustainability. Managers are encouraged to use NFSR strategically to enhance their reputation and corporate strategy.

Social implications

The social implications highlight ownership and regulatory structures, promoting enhanced sustainability reporting in China's business culture. This insight informs policymakers, businesses and stakeholders regarding the importance of sustainability reporting, guiding decisions on corporate reputation and sustainability regulations.

Originality/value

The research indicates the importance of context-specific sustainability reporting for enhancing reputation. It provides insights into sustainability's impact on a company's reputation, promoting responsible practices for a sustainable global economy. To the best of the authors' knowledge, this is the first research that utilizes the NFSR frameworks and a sample of firms in China to discuss sustainability reporting with different guidelines.

Details

International Journal of Emerging Markets, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1746-8809

Keywords

Article
Publication date: 31 October 2023

Grzegorz Zasuwa and Grzegorz Wesołowski

This study examines how potentially irresponsible banking operations affect organisational reputation. A moderated mediation model is applied to explain how major aspects of…

Abstract

Purpose

This study examines how potentially irresponsible banking operations affect organisational reputation. A moderated mediation model is applied to explain how major aspects of social irresponsibility affect the relationship between consumer awareness of allegedly irresponsible operations, blame and bank reputation. The empirical context is the Swiss franc mortgage crisis that affected the banking industry in most Central and Eastern European countries.

Design/methodology/approach

The research study uses data collected from a large survey (N = 1,000) conducted among Polish bank consumers, including those with mortgage loans in Swiss francs. To test the proposed model, the authors use Hayes' process macro.

Findings

The findings show that blame fully mediates the effects of corporate social irresponsibility (CSI) awareness on organisational reputation. Three facets of social irresponsibility moderate this relationship. Specifically, the perceived harm and intentionality of corporate culprits cause people to be more likely to blame a bank for the difficulties posed by indebted consumers. At the same time, the perceived complicity of consumers in misselling a mortgage reduces the level of blame and its subsequent adverse effects on bank reputation.

Originality/value

Although a strong reputation is crucial in the financial industry, few studies have attempted to address reputational risk from a consumer perspective. This study helps to understand how potentially irresponsible selling of a financial product can adversely affect a bank's reputation.

Details

International Journal of Bank Marketing, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0265-2323

Keywords

Article
Publication date: 15 December 2023

Cemil Kuzey, Ali Uyar, Nejla Ould Daoud Ellili and Abdullah S. Karaman

This study aims to examine the potential threshold effect in the association between corporate social responsibility (CSR) performance and social reputation.

Abstract

Purpose

This study aims to examine the potential threshold effect in the association between corporate social responsibility (CSR) performance and social reputation.

Design/methodology/approach

This study includes an international and cross-sector sample covering 41 countries, nine sectors and 45,395 firm-year observations. It applies a parabolic relationship, rather than linear regressions, between CSR engagement and social reputation via CSR awarding. This implies that CSR performance should increase until a certain point to gain a social reputation but then should decrease after reaching that threshold point considering limited financial resources.

Findings

The findings of country-industry-year fixed-effects logistic regressions confirm the threshold effect with an inverted U-shaped relationship between CSR and CSR awarding. More specifically, firms increase their environmental and social engagement until a certain point, and then they reduce it after reaching a social reputation. This finding is confirmed by three dimensions of the environmental pillar (i.e. resource use, emissions and eco-innovation) as well as four dimensions of the social pillar (i.e. workforce, human rights, community and product responsibility). The findings are robust to alternative samples, alternative methodology and endogeneity concerns.

Practical implications

The findings of this study have implications for firms about the better allocation of available funds between CSR and operations. The findings could be particularly useful for CSR teams/committees of the firms who formulate CSR policies and how to mobilize firm resources for better social enhancement via environmental and social reputation.

Originality/value

This study examines deeper the nature of the association between CSR engagement and social reputation and considers the possibility of an inverted U-shaped relationship between them. The determination of a threshold effect suggests that CSR engagement increases social reputation, but once it reaches a certain point, social reputation will decrease owing to financial resource constraints.

Details

Corporate Governance: The International Journal of Business in Society, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1472-0701

Keywords

Article
Publication date: 6 February 2024

Ning Xu, Di Zhang, Yutong Li and Yingjie Bai

Green technology innovation is the organic combination of green development and innovation driven. It is also a powerful guarantee for shaping sustainable competitive advantages…

Abstract

Purpose

Green technology innovation is the organic combination of green development and innovation driven. It is also a powerful guarantee for shaping sustainable competitive advantages of manufacturing enterprises. To explore what kind of executive incentive contracts can truly stimulate green technology innovation, this study aims to distinguish the equity incentive and reputation incentive, upon their contractual elements characteristics and green governance effects, and then put forward suggestions for green technology innovation accordingly.

Design/methodology/approach

This study establishes an evaluation model and uses empirical methods to test. Concretely, using data from A-share listed manufacturing companies for the period from 2007 to 2020, this study compares and analyzes the impact of equity and reputation incentive on green technology innovation and explores the relationship between internal green business behavior and external green in depth.

Findings

This study finds that reputation incentives focus on long-term and non-utilitarian orientation, which can promote green technology innovation in enterprises. While equity incentives, linked to performance indicators, have a inhibitory effect on green technology innovation. Internal and external institutional factors such as energy conservation measures, the “three wastes” management system, and environmental recognition play the regulatory role in the relationship between incentive contracts and green technology innovation.

Originality/value

Those findings validate and expand the efficient contracting hypothesis and the rent extraction hypothesis from the perspective of green technology innovation and provide useful implications for the design of green governance systems in manufacturing enterprises.

Details

Chinese Management Studies, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1750-614X

Keywords

Open Access
Article
Publication date: 3 February 2023

David Amani

The study investigated the strategic contribution of COVID-19 preventive measures in building corporate reputation in the hospitality industry when mediated with ethical branding.

Abstract

Purpose

The study investigated the strategic contribution of COVID-19 preventive measures in building corporate reputation in the hospitality industry when mediated with ethical branding.

Design/methodology/approach

The hypothesized model was developed and tested using a cross-sectional research design among 404 customers of hospitality organizations (i.e. hotels and restaurants). The collected data were analyzed quantitatively using structural equation modeling.

Findings

The results showed that COVID-19 preventive measures are important drivers in building or rebuilding corporate reputation during and after the COVID-19 pandemic. The study also showed that ethical branding acts as a mediator between COVID-19 preventive measures and corporate reputation.

Research limitations/implications

The study used a nonprobability sampling technique, i.e. convenience sampling and a cross-sectional survey research design. It is therefore necessary to be careful when generalizing the findings.

Practical implications

The study recommends that managers in hospitality organizations should ensure proper and effective compliance with COVID-19 preventive measures during service delivery. Among others, the study highlighted areas for further study to include an investigation using a longitudinal approach to observe behavioral changes toward COVID-19 preventive measures and their consequences on the overall corporate reputation of the hospitality industry. This recommendation is based on the fact that, currently, new cases and mortality rates have decreased considerably. As a result, customers in the hospitality industry have started to have different opinions about complying with COVID-19 preventive measures.

Originality/value

The study is among new endeavors to investigate drivers that can rebuild and sustain the corporate reputation of hospitality organizations during a pandemic like COVID-19.

Details

International Hospitality Review, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2516-8142

Keywords

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