doughishere Posted April 11, 2016 Share Posted April 11, 2016 This is just fascinating stuff. The audio: http://fcic.law.stanford.edu/interviews/view/19 The Transcript is attached. Buffett doesnt get enough credit....that dudes a lion. MR. BONDI: Okay. What kind of due diligence did you and your staff do when you first purchased Dun and Bradstreet in 1999 and then again in 2000? MR. BUFFETT: Yes. There is no staff. I make all the investment decisions, and I do all my own analysis. And basically it was an evaluation of both Dun and Bradstreet and Moody’s, but of the economics of their business. And I never met with anybody. Dun and Bradstreet had a very good business, and Moody’s had an even better business. And basically, the single-most important decision in evaluating a business is pricing power. If you’ve got the power to raise prices without losing business to a competitor, you’ve got a very good business. And if you have to have a prayer session before raising the price by a tenth of a cent, then you’ve got a terrible business. I’ve been in both, and I know the difference. ACFrOgAtsIObe_P9MydfYPhDwoqvTq0cjx-OY8raTmcwlJUH65QY4PonnUUhQv6xIJURvRUSn4I3yQGt5gbS8EM9xs4uD8wyXsww1k14KmMrBWn2TFicmFhwJPUF-6s=.pdf Link to comment Share on other sites More sharing options...
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