In the ultra free society that is the Internet, one is forced to sift through both good and bad information to really find the truth.  The problem is that, most people don't like to work that hard, so if they find some negative information about you, its really easier just to avoid you and having a confrontation regarding the issue.  Taking everything with a grain of salt, does not seem to work for many.  You can't really sit back and say... "let them say what they want"...."sticks and stones...".  The truth is, that a misguided person or someone who is disgruteled can have an enormous effect on your business if you don't get control of your name or your brand. 

Blogs are a great way to manage your online reputation because it gives people an outlet to vent.  Which is better? On your blog or someone elses?  I tend to believe that a properly managed blog can really help you cultivate a positive online reputation.  An online reputation is not the same as a real life reputation because so much informatin is unchecked. The best advise I give people is to launch a personal and business blog, and join relevant online communities and networking sites.  Get active in these areas.  Blogs work well because search engines love them which means those pages, will eventually bury the other stuff that you don't want people to see.