Samsung’s reputation takes a hit after heir’s arrest

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You might remember that Samsung Electronics’ Vice Chairman Lee Jae-yong was arrested earlier this year. He was arrested on charges that ranged from corruption to embezzlement. Lee Jae-yong was later indicted, convicted, and sentenced after the trial. The legal troubles of the conglomerate’s heir apparent seem to have had an impact on Samsung Electronics’ reputation.

Lee was found guilty of being involved in a corruption scandal that also led to the impeachment of the country’s president Park Geun-hye earlier this year.
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, however, his legal team is going to fight the sentence.

The US-based Reputation Institute has released a new report which shows that Samsung’s ranking in terms of corporate social responsibility has dropped by 69 places.

The Reputation Institute assigns these rankings
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. Samsung now sits in the 89th spot on the list.

Among the top 100 companies included in this list, Samsung saw the sharpest year-on-year decline in its reputation ranking. Industry watchers are of the view that it might have something to do with the arrest of Lee Jae-yong.

The institute also opines that the complete
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late last year due to faulty batteries may have impacted Samsung’s overall reputation as well.

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