Differences between the Reputation versus the Status of an Organization

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Differences between the Reputation versus the Status of an Organization
Anneke Zwart, Student (University), Netherlands

The terms “reputation” and “status” are often used as synonyms, such as when we talk about the reputation or status a corporation has. But Sorenson (2014) argues that the terms should not be seen as such and outlines 3 main distinctions between "status" and "reputation".
1. Different fields of development (origin): An important distinction is that the terms have evolved out of separate fields: status stems from sociology while reputation stems from economics. As a result both definitions refer to different processes, require different approaches and conditions, and entail different managerial reactions.
2. Position versus past actions: Due to the fact that status stems from sociology, the term status always has to do with social position and contains some degree of relative social standing. This is contrasting to reputation, which is determined by prior actions (past provision of high-quality products and services)
3. Quality: The term status is associated with quality. This is partly because quality differences partly determine differences in status. But higher quality/status can both be achieved by superstitious learning, suggesting that both terms move to the same direction. Reputation is also associated with quality, but in a different way. Namely, reputation requires quality: reputation results from past provision of high quality products and services and requires -at least to some degree- consistency in this high quality.
Do other differences exist in your opinion? Then drop a reply... thanks!
Source: Sorenson, O. (2014) “Status and Reputation: Synonyms or Separate Concepts?” Strategic Organization Vol. 12 Iss. 1 pp. 62-69



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