Aiming for the Stars: Exploring the ACM’s Reputational Strategies during the Dutch Energy Crisis

In the past decades, scholars have been increasingly recognizing the importance of solid reputation building for the autonomy and legitimacy of independent regulatory agencies. In response to this growing body of research, this master thesis aims to understand the influence of the content of reputational threats on the reputational strategies of independent regulatory agencies (IRA). By investigating the reputational management of the Netherlands Authority for Consumers & Markets (ACM) during the Dutch energy crisis, this paper aims to shed light on the role of pre-existing levels of reputation. Using a qualitative framing analysis, this study argues that the ACM uses a more evasive response strategy regarding its functional areas that enjoy a solid reputation, whereas weaker reputations are more often protected with direct strategies. These evasive strategies include problem denial, promises of continued monitoring and managing public expectations. On the other hand, the direct...Show moreIn the past decades, scholars have been increasingly recognizing the importance of solid reputation building for the autonomy and legitimacy of independent regulatory agencies. In response to this growing body of research, this master thesis aims to understand the influence of the content of reputational threats on the reputational strategies of independent regulatory agencies (IRA). By investigating the reputational management of the Netherlands Authority for Consumers & Markets (ACM) during the Dutch energy crisis, this paper aims to shed light on the role of pre-existing levels of reputation. Using a qualitative framing analysis, this study argues that the ACM uses a more evasive response strategy regarding its functional areas that enjoy a solid reputation, whereas weaker reputations are more often protected with direct strategies. These evasive strategies include problem denial, promises of continued monitoring and managing public expectations. On the other hand, the direct responses include problem acknowledgment, taking active measures and emphasizing unique features. However, a too small sample of data was collected regarding the response strategy of unique features specifically. Moreover, the final hypothesis considers the role of prolonged reputational threats, yet mixed evidence left a conclusion impossible. Lastly, recognizing that regulatory agencies are perceived by the public as scientific institutions, this thesis maintains that it is important for regulatory agencies to properly divide its attention to all regulatory duties. This is necessary to avoid suspicion of bias due to reputational considerations and thereby impair the reputation they aim to protect.Show less

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Aiming for the Stars: Exploring the ACM’s Reputational Strategies during the Dutch Energy Crisis