Legal Perks with Creating Value for Society

Image: The Scale of Lady Justice

​Corporate Challenge: The secret behind powerful brands reducing their lawsuits.

Ironbound Strategy: The best brands in the world create overwhelming value for  customers, employees, and society. Do those great brands face fewer lawsuits? Yes.

Ironbound Action: A University of Pennsylvania study discovered that a company’s prestige affects outcomes in liability lawsuits. Over the last few years this blog has been sharing insights on how creating value for stakeholders increases a brand’s reputation, prestige, and top-line success. The Penn study referred to the added prestige as the “halo effect” that protects the brand in the judicial system. Meanwhile, America’s most hated firms find themselves in never-ending, high-cost, and high-frequency lawsuits.  Creating value for stakeholders creates a halo effect that gives brands a clear advantage in legal pursuits.