Author

Contributions

  • Jensen, Michael C. - Contributor
  • Harvard Business School - Contributor

Publication

2010 - Harvard Business School, Boston, Massachusetts

Language

English

Word Count

3,250 words, Guess

Page Count

13 pages

Identifiers

Description

Putting an end to the "earnings game" requires that CEOs reclaim the initiative by avoiding earnings guidance and managing expectations in such a way that their stocks trade reasonably close to their intrinsic value. In place of earnings forecasts, management should provide information about the company's strategic goals and main value drivers. They should also discuss the risks associated with the strategies, and management's plans to deal with them.

Subjects

Series Statement

  • Working paper / Harvard Business School -- 10-090
  • Harvard Business School negotation, organization and markets research papers
  • Harvard NOM research paper -- 10-090.

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