Reputation capital

Reputation capital

Reputation capital is the quantitative measure of some entity's reputational value in some context – a community, or marketplace. In the world of Web 2.0, what is increasingly valuable is trying to measure the effects of collaboration and contribution to community. Reputation Capital is a label given to any attempt to measure this in a comparative way, which is often seen as a form of non-cash remuneration for their efforts, and generally generates respect within the community, or marketplace where the capital is generated.

Examples

* Ebay has a seller rating that attempts to represent trustworthiness of a seller. [http://www.gesy.uni-mannheim.de/dipa/114.pdf Gürter and Grund 2006] have shown that a negative rating of 1 percent can affect the price of an item by 4 percent
* Google's PageRank is a measure of popularity of a site, and for individual blogs, gives a rating of this, and as a result, of the blogger themselves.
* Technorati has an authority rating based on incoming links to blogs that it has found in its Blogosphere
* This has been then translated more coarsely into a [http://www.kineda.com/are-you-an-a-list-bloglebrity/ 'A, B, or C-list blogger' rating.]
* [http://www.fridaycities.com Friday Cities] is but one of dozens of online communities where users are given points for contributions. The points have tangible value at Friday Cities -- accumulate enough 'Kudos' and you've got free premium membership for a year.

Theory

An extensive article on Reputation Capital can be found at [http://www.openprivacy.org/papers/200104-repcap.html OpenPrivacy.org] which also talks about how such capital can be exchanged.

The Intangible Asset Finance Society [http://www.iafinance.org] proposes that reputation capital (reputation value) is the sum of the value of all corporate intangible assets. Intangible assets include business processes, patents, trademarks; reputations for ethics and integrity; quality, safety, sustainability, security, and resilience.

See also

* Reputation management: includes mention of an additional, classic example -- Slashdot's karma mechanism.
* Online reputation


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