Academy of Management Annual Meeting Proceedings includes abstracts of all papers and symposia presented at the annual conference, plus 6-page abridged versions of the “Best Papers” accepted for inclusion in the program (approximately 10%). Papers published in the Proceedings are abridged because presenting papers at their full length could preclude subsequent journal publication. Please contact the author(s) directly for the full papers.

Reputation for Quality or Prominence: What Matters More – and Why?

    There is broad consensus in the strategic management and organization studies literature that reputation has a positive effect on performance. An unsettled question is how reputation exerts its influence. The literature suggests two different primary pathways. The first is based on mechanisms of economic organization, including transaction costs economics and the resource-based view of the firm, while the second is based on social construction processes. We use meta-analysis to integrate the accumulated evidence and also structural equation modeling to compare the theorized pathways for reputation effects. Our results indicate that reputation effects are stronger via the pathway suggested by social construction theory (i.e., prominence) rather than the economic organization route (i.e., quality), although both mechanisms are significant determinants of subsequent accounting performance. Surprisingly the effects of social construction mechanisms on stock market performance are not significant.