Corporate Reputation Review

, Volume 12, Issue 3, pp 281–296

Reputation's Effect on Pricing Power: The Importance of Strategy

  • Randall Jarmon
Academic Research

DOI: 10.1057/crr.2009.22

Cite this article as:
Jarmon, R. Corp Reputation Rev (2009) 12: 281. doi:10.1057/crr.2009.22

Abstract

The proposition that good corporate reputation is associated with favorable economic outcomes has enjoyed considerable theoretical and empirical support. Such empirical studies generally have tested reputation's impact on economic performance without regard to strategy. This study controls for strategy while using comparison Web site data to examine online retailer reputation's effect upon pricing power. This study finds good reputation positively associated with pricing power only under a focused, differentiation strategy. Thus to benefit from reputation's effect on pricing power, an online retailer first had to pick the right strategy.

Keywords

pricing power online retailer generic strategy generic strategies 

Copyright information

© Palgrave Macmillan 2009

Authors and Affiliations

  • Randall Jarmon
    • 1
  1. 1.Management, Marketing, and General Business, West Texas A&M UniversityCanyonUSA

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