Apparently there's a simple reason why annual reports are hard to read: managers, in many cases, are trying to hide something.How 'bout that, huh? The Goodness has a good comment from George Orwell that this brings to mind. Nietszche nailed it with a certain type of poet and academic, and perhaps it applies too to MBAs and managers: They muddy the waters to make themselves appear deep.
The study, Annual Report Readability, Earnings and Stock Returns, found that the annual reports of underperforming companies are harder to read than those of companies that are performing well. . .
LINKS: Optimisation of cliché synergies - The Age
Performance and obfuscation correlation framework analysis - The Goodness
TAGS: Nonsense, Economics