Reputation capital is the

quantitative Quantitative may refer to: * Quantitative research, scientific investigation of quantitative properties * Quantitative analysis (disambiguation) * Quantitative verse, a metrical system in poetry * Statistics, also known as quantitative analysis ...

measure of some entity's reputational value in some context – a

community A community is a social unit (a group of living things) with commonality such as place, norms, religion, values, customs, or identity. Communities may share a sense of place situated in a given geographical area (e.g. a country, village, tow ...

marketplace A marketplace or market place is a location where people regularly gather for the purchase and sale of provisions, livestock, and other goods. In different parts of the world, a marketplace may be described as a '' souk'' (from the Arabic), ' ...

. In the world of

Web 2.0 Web 2.0 (also known as participative (or participatory) web and social web) refers to websites that emphasize user-generated content, ease of use, participatory culture and interoperability (i.e., compatibility with other products, systems, and ...

, what is increasingly valuable is trying to measure the effects of

collaboration Collaboration (from Latin ''com-'' "with" + ''laborare'' "to labor", "to work") is the process of two or more people, entities or organizations working together to complete a task or achieve a goal. Collaboration is similar to cooperation. Most ...

and contribution to community. Reputation capital is often seen as a form of non-

cash In economics, cash is money in the physical form of currency, such as banknotes and coins. In bookkeeping and financial accounting, cash is current assets comprising currency or currency equivalents that can be accessed immediately or near-imm ...

remuneration Remuneration is the pay or other financial compensation provided in exchange for an employee's ''services performed'' (not to be confused with giving (away), or donating, or the act of providing to). A number of complementary benefits in additio ...

for their efforts, and generally generates

respect Respect, also called esteem, is a positive feeling or action shown towards someone or something considered important or held in high esteem or regard. It conveys a sense of admiration for good or valuable qualities. It is also the process of ...

within the community or marketplace where the capital is generated.

Examples

eBay eBay Inc. ( ) is an American multinational e-commerce company based in San Jose, California, that facilitates consumer-to-consumer and business-to-consumer sales through its website. eBay was founded by Pierre Omidyar in 1995 and became a ...

has a seller rating that attempts to represent

trustworthiness Trust is the willingness of one party (the trustor) to become vulnerable to another party (the trustee) on the presumption that the trustee will act in ways that benefit the trustor. In addition, the trustor does not have control over the acti ...

of a seller. A negative rating of 1% can decrease the selling price of an item by 4%. *

Google Google LLC () is an American multinational technology company focusing on search engine technology, online advertising, cloud computing, computer software, quantum computing, e-commerce, artificial intelligence, and consumer electronics. ...

PageRank PageRank (PR) is an algorithm used by Google Search to rank web pages in their search engine results. It is named after both the term "web page" and co-founder Larry Page. PageRank is a way of measuring the importance of website pages. According ...

is a measure of popularity of a site, and for individual

blog A blog (a truncation of "weblog") is a discussion or informational website published on the World Wide Web consisting of discrete, often informal diary-style text entries (posts). Posts are typically displayed in reverse chronological order ...

s, gives a rating of this, and as a result, of the bloggers themselves. *

Technorati Technorati was a search engine and a publisher advertising platform that served as an advertising solution for the thousands of websites in its network. Technorati launched its ad network in 2008, and at one time was one of the largest ad network ...

has an authority rating based on incoming links to blogs that it has found in its

Blogosphere The blogosphere is made up of all blogs and their interconnections. The term implies that blogs exist together as a connected community (or as a collection of connected communities) or as a social networking service in which everyday authors can p ...

* This has been more coarsely defined as A, B, or C-list blogger rating. *

Slashdot ''Slashdot'' (sometimes abbreviated as ''/.'') is a social news website that originally advertised itself as "News for Nerds. Stuff that Matters". It features news stories concerning science, technology, and politics that are submitted and evalu ...

and

reddit Reddit (; stylized in all lowercase as reddit) is an American social news aggregation, content rating, and discussion website. Registered users (commonly referred to as "Redditors") submit content to the site such as links, text posts, images ...

karma Karma (; sa, कर्म}, ; pi, kamma, italic=yes) in Sanskrit means an action, work, or deed, and its effect or consequences. In Indian religions, the term more specifically refers to a principle of cause and effect, often descriptivel ...

mechanisms

Definition

For a business, reputation capital is the sum of the value of all corporate

intangible asset An intangible asset is an asset that lacks physical substance. Examples are patents, copyright, franchises, goodwill, trademarks, and trade names, as well as software. This is in contrast to physical assets (machinery, buildings, etc.) and finan ...

s, which include: business processes,

patent A patent is a type of intellectual property that gives its owner the legal right to exclude others from making, using, or selling an invention for a limited period of time in exchange for publishing an enabling disclosure of the invention."A p ...

trademark A trademark (also written trade mark or trade-mark) is a type of intellectual property consisting of a recognizable sign, design, or expression that identifies products or services from a particular source and distinguishes them from others ...

s; reputations for

ethics Ethics or moral philosophy is a branch of philosophy that "involves systematizing, defending, and recommending concepts of right and wrong behavior".''Internet Encyclopedia of Philosophy'' The field of ethics, along with aesthetics, concerns m ...

and

integrity Integrity is the practice of being honest and showing a consistent and uncompromising adherence to strong moral and ethical principles and values. In ethics, integrity is regarded as the honesty and truthfulness or accuracy of one's actions. Inte ...

;

quality Quality may refer to: Concepts *Quality (business), the ''non-inferiority'' or ''superiority'' of something *Quality (philosophy), an attribute or a property *Quality (physics), in response theory *Energy quality, used in various science discipli ...

safety Safety is the state of being "safe", the condition of being protected from harm or other danger. Safety can also refer to risk management, the control of recognized hazards in order to achieve an acceptable level of risk. Meanings There are ...

sustainability Specific definitions of sustainability are difficult to agree on and have varied in the literature and over time. The concept of sustainability can be used to guide decisions at the global, national, and individual levels (e.g. sustainable livi ...

security Security is protection from, or resilience against, potential harm (or other unwanted coercive change) caused by others, by restraining the freedom of others to act. Beneficiaries (technically referents) of security may be of persons and social ...

, and resilience.Intangible Asset Finance Society
/ref>

Delivering functional and social expectations of the public on the one hand and manage to build a unique identity on the other hand creates trust and this trust builds the informal framework of a company. This framework provides "return in cooperation" and produces Reputation Capital. A positive reputation will secure a company or organisation long-term competitive advantages. The higher the Reputation Capital, the less the costs for supervising and exercising control.

Reputation capital is a corporate asset that can be managed, accumulated and traded in for trust, legitimisation of a position of

power Power most often refers to: * Power (physics), meaning "rate of doing work" ** Engine power, the power put out by an engine ** Electric power * Power (social and political), the ability to influence people or events ** Abusive power Power may a ...

and social recognition, a premium price for goods and services offered, a stronger willingness among

shareholder A shareholder (in the United States often referred to as stockholder) of a corporation is an individual or legal entity (such as another corporation, a body politic, a trust or partnership) that is registered by the corporation as the legal own ...

s to hold on to shares in times of crisis, or a stronger readiness to invest in the company's

stock In finance, stock (also capital stock) consists of all the shares by which ownership of a corporation or company is divided.Longman Business English Dictionary: "stock - ''especially AmE'' one of the shares into which ownership of a company ...

References

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Examples

Definition

See also

References

Further reading