| Summary: | The main goal of this paper is to understand better the earnings management phenomenon, in particular, to perceive the process, it means, the concept, motivations and used techniques. For this purpose, it makes the issue's theoretical analysis. The results show that the concept is comprehensive. Several definitions lead to common conclusions, and it seeks to distort the company's accounts truth; it means, a deceptive practice. It happens due to the current accounting system' characteristics, in particular, to the standards' flexibility and discretionary that allows to financial information's preparers the selection between several criteria to record the companies' economic transactions. This arbitrariness leads to manipulations in the financial standards elements as in the incomes, expenses, assets and liabilities.
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