(Bronn, 2015). A good reputation can give an
organization a competitive advantage (Bronn, 2015).
This is because a good reputation is valuable, rare,
and cannot be replaced (Bronn, 2015). Other
researchers argue that corporate reputation is defined
as a stakeholder's overall assessment of a company's
performance over time (Kircova, 2018). It reflects
multiple stakeholders’ perceptions about the
organization's effectiveness (Kircova, 2018).
Companies with a high reputation create a
competitive advantage and are more likely to
influence customers' behaviors and attitudes
(Kircova, 2018).
According to Smitha, brand associations affect
the corporate image and is the company's reputation.
A positive brand image can boost consumer
confidence in a company, affect decision making, and
build loyalty. Companies take great care in managing
their brand image because it is a source of value
(Smitha, Smith & Wang 2010). In general, there is an
agreement that its stakeholders determine corporate
reputation and that it is an intangible asset that creates
a competitive advantage and is of high value to an
organization. Since it is seen as an asset, damaging
the organization with negative reviews might
severely damage the organization.
2.2 Stakeholder Tracking and
Analysis: The RepTrak System for
Measuring Corporate Reputation
The RepTrak System describes the importance of
using a prototype system that was developed to
measure corporate reputation. It is an analytical tool
used to track stakeholders’ perceptions of companies
(Fombrun, 2015). A seven-dimensional framework is
described, derived from prior literature that highlights
how stakeholders should be managed (Fombrun,
2015). It can be used as a basis to verify which
dimensions are touched upon in online reviews that
are gathered from the public web. The seven
dimensions are described in the subsequent
paragraphes.
First, Products and Services refer to the perception
that reputation is likely to be affected by the products
that an organization offers. A company is usually
positively perceived if it offers high-quality products
and services (Fombrun, 2015). According to Smith
& Wang, a company’s brand name not only indicates
the type and quality of products and services offered
but also symbolizes the character of the company
(Smith, Smith & Wang, 2010). Consumer perception
of a brand can make or break a company (Smith,
2010). A positive brand image can boost consumer
confidence in a company, affect decision making, and
build loyalty. Online reviews about a product or
service are likely to be put online by customers
(Smith, 2010). In this particular study, customers
were not investigated. Even though customers are not
investigated, it is verified whether employees include
opinions about the focal organization’s products and
services in online reviews.
Second, Innovation indicates that an innovative
organization adds to a positive company reputation
and strives to do new things within the organization
(Fombrun, 2015). According to Courtright, there are
two basic views on innovation. From an
organization’s point of view, innovation concerns its
ability to create new and better products and services
(Courtright & Smudde, 2009). From a market’s point
of view, innovation is about how it introduces new
and better things into the socio-economic systems in
which organizations take part. By stating this is meant
that innovation can involve employees in the process
and could be a topic, they write about in online
reviews. The study from Courtright & Smudde
suggests that employees receive multiple messages
within and outside the organization and that good
corporate communication can prevent negativity
exiting the company, even if this is not necessarily
about innovation (Courtright, 2009).
Third, Workplace suggests that most stakeholders
like and respect companies that maintain healthy
workplaces and do good for their employees, which
is also visible outside the organization (Fombrun,
2015). According to Nolan, an employer brand image
refers to the package of functional, economic, and
psychological benefits provided by employment, and
identified with the employing company (Nolan,
2013). It refers to a person’s beliefs about what it
would be like to work for a corporation (Nolan,
2013). Fombrun suggests that most stakeholders like
and respect companies that maintain good workplaces
(Fombrun, 2015). Both studies indicate that the
workplace can impact the brand’s image and can be
affected if viewed negatively. Besides, Nolan states
that satisfied employees are more likely to commit to
long-term involvement and act as ambassadors of the
company and give an employer a favorable rating
(Nolan, 2013). While being aware of this, it is
especially crucial when analyzing online reviews
gathered for this research.
Fourth, Governance is considered a key part of
reputation management in terms of being transparent
and ethical; organizations with corporate governance
tend to build more trust with stakeholders (Fombrun,
2015). According to Davis, corporate governance can
be defined as the structures, processes, and