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Last updated 01/17/2002
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  CORPORATE REPUTATIONS

(Lucent ranked No. 49 in 2001, down from No. 34 in 2000, in the third annual reputation survey by Harris Interactive and the Reputation Institute. The ranking is based on ratings by 21,630 people who evaluated companies in an online survey in October.) In the first phase of the annual corporate-reputation survey conducted by Harris Interactive, an online-market research firm, members of the public were asked to nominate companies they viewed as having the best and worst reputations. The 60 most frequent nominations then received detailed ratings and rankings from 21,630 respondents to an online survey conducted in October. Emotional appeal is the primary driving force behind corporate reputation, the results show. That would help explain why Johnson & Johnson has such remarkable staying power in the No. 1 spot, hanging on for three years running. Some companies were hurt by management turmoil and financial troubles. Of the 60 companies in the 2001 survey, DaimlerChrysler AG and Lucent registered the biggest drops in reputation scores because of low ratings of financial performance and of vision and leadership. Lucent is restructuring, but many respondents questioned its future strategy. "No clear direction or objective for the company" was a typical comment. A spokesman responds, "We'll bounce back based on the merits of our products, the innovations in our labs and the success of our restructuring." [WSJ, 1/16]