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Reputational risk management: A key determinant of competitive performance

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When WorldCom collapsed in 2002, its investors lost billions – and so did shareholders of Citigroup. Markets punished the financial giant for its part in the financial scandal. Citigroup had risked its reputation by developing a web of intimate business relationships with the fraud-ridden telecoms firm. Modern financial groups such as Citigroup are particularly vulnerable to issues of reputational risk, says INSEAD visiting professor Ingo Walter.

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en

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text/html

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http://knowledge.insead.edu/contents/walter.cfm

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Copyright INSEAD. All rights reserved