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Advances in Psychological Science    2020, Vol. 28 Issue (3) : 497-509     DOI: 10.3724/SP.J.1042.2020.00497
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Psychological mechanisms underlying the negative effects of corporations’ high reputation
Tuwei SUN,Nanfeng LUO,Wei SHI(),Hongyang LI
School of Labor and Human Resources, Renmin University of China, Beijing 100872, China
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A high level of corporate reputation is usually viewed as an intangible asset of the firm, which results in considerable competitive advantages. However, the existing research has also revealed that, possessing a high reputation can burden firms and individuals both under normal operation and crisis situations. The negative effects of a high reputation originate from its micro-foundations, which are the stakeholders’ cognitions and emotions. Under normal operation situation, a high reputation has negative influences on firms via cognitive mechanisms and on employees via emotional mechanisms; while in crisis situation, it impacts firms through cognitive mechanisms. In addition, the negative effects of a high reputation have multi-level moderators, including individual-, firm-, and market-level factors. Moreover, the correspondingly boundary conditions under the normal and crisis situations are different. Future research can focus on the multi-dimensionality of corporate reputation and delve into the unique mechanisms and the boundary conditions of different dimensions of a high reputation in terms of negative effects, while exploring the interactions between multiple dimensions. Researchers can also further study the negative influences on employees, expand upon the dynamic evolution of the negative effects of a high reputation, and consider a meta-analysis.

Keywords corporate reputation      negative effects      micro-foundations      underlying mechanisms     
Corresponding Authors: Wei SHI     E-mail:
Issue Date: 18 January 2020
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Tuwei SUN
Nanfeng LUO
Hongyang LI
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Tuwei SUN,Nanfeng LUO,Wei SHI, et al. Psychological mechanisms underlying the negative effects of corporations’ high reputation[J]. Advances in Psychological Science, 2020, 28(3): 497-509.
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