"Picture a routine team meeting at your company. Finance just circulated next quarter's projections, and something feels off: Demand is wobbling, and costs are creeping up, yet the forecasted curve still rockets upward. Everyone knows the company needs an upbeat story and that suppliers and investors require rosy numbers. You glance around the room and sense that no one wants to be the naysayer. Do you speak up about the risks, or quietly " go along " with the optimistic spin?"
" is an associate professor of accounting at Haskayne School of Business, University of Calgary, and a visiting scholar at University of California, Berkeley. She investigates financial disclosures of new-economy firms, healthcare, intangibles, and corporate governance issues. Follow Luminita on Luminita Enache LinkedIn. is an assistant professor in accounting at IE Business School. Her research tackles significant contemporary issues in financial reporting and regulation, corporate governance, and insider trading. Follow Elvira on Elvira Scarlat LinkedIn."
During team meetings, optimistic quarterly projections can mask weakening demand and rising costs, producing a clear mismatch between forecasts and underlying business metrics. Social and stakeholder pressures encourage presenting upbeat narratives to satisfy suppliers and investors, creating reluctance among employees to challenge consensus. That reluctance generates an ethical dilemma between speaking up about risks and acquiescing to an optimistic spin. Research coverage includes financial disclosures for new-economy firms, healthcare, and intangibles, financial reporting and regulation, corporate governance, insider trading, gender differences in finance, auditor reporting, regulatory audit reforms, and analysts' monitoring effectiveness.
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