There are two principal types of nonfi nancial residual value that can be claimed by an entrepreneur: reputational and ethical. Reputational value is perhaps the most important of the two. Muhammad Yunus, for example, may be able to claim truthfully that he has never received a dividend from Grameen Bank. But, there is no doubt that he personally has claimed a dominant share of the reputational residual that the venture has created. In this regard, Yunus is no diff erent from John D. Rockefeller, Bill Gates, or Steve Jobs. Personal reputation—like a brand for a corporation—is a valuable privately held asset.
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