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WHAT IS YOUR REPUTATION CAPITAL?

THE NEXT TIME YOU LISTEN TO, read, or watch the news about a brand in crisis, notice how its image inevitably finds its way into the narrative. It’s not surprising, since we typically process news about a scandal through a filter that’s based on our previous perceptions of the organization, product, or individual. Past actions build expectations for how the brand will carry itself in the future.

If a brand has had issues or been at the center of a previous scandal, phrases like “no stranger to controversy” or “this isn’t the first time Brand X has caused an uproar among its customers” might very well be part of the story. Conversely, when a trusted brand is in trouble, phrases like “loyal customers,” “coveted ...

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