The Effect of Sustainable Support Information, Business Strategy, and Ceo's Reputation on Company Reputation with Visibility as Moderated

10.2478/bjlp-2022-001112

Abstract

This study examines the effect of sustainable supporting information, business
strategy, and CEO reputation on the company's reputation, with visibility as a moderating
influence between these variables. Sustainable supporting information is achieved using
information from SDG Compass, which is the result of cross-referencing between the SDGs
agenda and GRI standards. The business strategy in this study uses a product differentiation
business strategy by measuring four dimensions: product design, product uniqueness,
environmentally friendly products, and research and development. The Rentrak 2018 CEO
model measures the CEO's reputation. The 2015 Reptrak model measures the company's
reputation. Likewise, visibility is measured by the dimensions of advertisements, report
publications, and social media owned by the company. Eight hundred ninety-one
respondents from internal stakeholders and public manufacturing companies were listed on
the Indonesia Stock Exchange in 2019. This study uses primary data with a questionnaire.
The research model is structured with multiple regression. The statistical tool used to process
the data obtained is using AMOS 24.0. As a result, sustainable supporting information,
business strategy, and CEO reputation affect the company's reputation, and visibility as a
moderator also strengthens the effect of these three variables on the company's reputation.
The results of this study are the implementation of legitimacy theory, where companies canbe legitimate if all their activities are by the norms in their community so that they must be
more transparent in disclosing company operations, regulators need to implement stricter
supervision over the mandatory publication of sustainability reports.