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An Examination of Differences between Organizational Legitimacy and Organizational Reputation
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TL;DR: The authors empirically examined two antecedents of the financial, regulatory, and public dimensions of legitimacy and reputation in a population of US commercial banks and found that isomorphism improves legitimacy, but its effects on reputation depend on the bank's reputation.
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Abstract: Organizational legitimacy and organizational reputation have similar antecedents, social construction processes and consequences. Nonetheless, an improved understanding of relationships between legitimacy and reputation requires that differences between the two be specified and clarified. Our examination of past research indicates that legitimacy emphasizes the social acceptance resulting from adherence to social norms and expectations whereas reputation emphasizes comparisons among organizations. We empirically examine two antecedents of the financial, regulatory, and public dimensions of legitimacy and reputation in a population of US commercial banks. We find that isomorphism improves legitimacy, but its effects on reputation depend on the bank's reputation. Moreover, higher financial performance increases reputation, but does not increase the legitimacy of high performing banks.
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Citations
Swimming with dolphins: A study on legitimacy processes in the Southern California tuna industry
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- 01 Aug 2009
TL;DR: Teixeira et al. as discussed by the authors employed a multidimensional model of organizational legitimacy consisting of cognitive legitimacy (producers' and consumers' dimension), and moral legitimacy (consumers' and producers' dimension).
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Does Corporate Social Responsibility Affect to Legitimacy of the Companies? Analysis of Spain and Mexico through the Case Method
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An Evaluation of Management Perspectives of Sustainability Reporting In The Nigerian Oil Industry.
TL;DR: In this article, the authors investigated the perspectives of managers involved in sustainability reporting in the Nigerian oil industry and found that the general view emerging amongst the vast majority of the managers interviewed was that oil companies operating within the region have a key social responsibility and disclosure role to play but that it remains the role of the Nigerian Federal Government to provide the institutional framework around which the development of the region is to be hinged.
The Mediating Effects of Managerial Skills on the Relationship Between Managerial Values, Ethical Leadership, and Organizational Reputation
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Drivers of performance in a complex environment: Holonic approach and Italian business network contracts
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