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Warren Buffett's Question For Jack Welch


Parsad
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Buffett calls in to ask Welch a question.  Cheers!

 

http://video.cnbc.com/gallery/?video=3000127240&play=1

 

WEM lost his marbles or just trolling?

 

Neither - it was a wickedly funny takedown of (presumed) self-interested fear-mongering.

 

Yeah, I don't think anyone got it except Welch himself, and that's why he said "I may have said that, but I don't remember."  It was pretty funny!  Cheers!

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I didn't get it and thought the whole thing didn't play out well. Earlier in the segment, I couldn't believe how Joe Kernan said that Jack Welch would be one to tell if the government was cooking the books on the unemployment numbers since he was the master of managing earnings at GE. Welch didn't seem to get it and Kernan an repeated it. It was CNBC's best day. 

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That's right.

 

He'd tell women purple would get them noticed by men more than black shoes.

 

He'd tell voters that BLS stats are cooked for Obama rather than discuss facts of how BLS works.

 

With shoes he had a commission incentive, with the election he has taxation incentive (income, capital gains, dividends).

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Guest deepValue

Yes Buffett simply meant to paint Welch as someone who acts with self serving bias, so viewers dont take what he says as the gospel truth

 

What are you guys talking about? Buffett thought that Welch's story was funny and wanted Welch to tell it to everyone watching CNBC. The humor didn't quite work out because Welch didn't recall the story. You guys are reading way too much into this.

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Yes Buffett simply meant to paint Welch as someone who acts with self serving bias, so viewers dont take what he says as the gospel truth

 

What are you guys talking about? Buffett thought that Welch's story was funny and wanted Welch to tell it to everyone watching CNBC. The humor didn't quite work out because Welch didn't recall the story. You guys are reading way too much into this.

 

this is one of Buffett's many talents - he can take people down so subtlety that some don't even notice it was a take down

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Yes Buffett simply meant to paint Welch as someone who acts with self serving bias, so viewers dont take what he says as the gospel truth

 

What are you guys talking about? Buffett thought that Welch's story was funny and wanted Welch to tell it to everyone watching CNBC. The humor didn't quite work out because Welch didn't recall the story. You guys are reading way too much into this.

 

this is one of Buffett's many talents - he can take people down so subtlety that some don't even notice it was a take down

 

I'm sorry, but if that was a take down, I found it weak.  I thought Warren came off looking silly and out of touch, not Welch.  To call in and want Welch to share some supposedly funny story from fifty years ago, which he apparently does not remember, is a bit strange.  Even when Warren tried to describe the funny part, it really wasn't.  If anything it was implying naivete on the part of women.   

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WEB's explanation of his call to Jack Welch on CNBC:

 

Jack Welch and I are both good friends of Frank Rooney, Chairman of H. H. Brown.  Frank had his 90th birthday about a year ago and Jack told a story about how he started at a Thom McAn shoe store.  He had everybody roaring with laughter as he described how he sold the shoes with the highest commission.  Jack did not realize I was referencing that story when I called in on the phone – I'm sure my call hit him by surprise.  Jack called me after the show as he then realized what I had been referencing.  It's too bad Jack didn't get a chance to tell the story on CNBC, as he would have had everybody rolling in the aisles. He was one helluva shoe salesman (particularly the purple variety).

 

Warren Buffett

 

Source: http://buzz.money.cnn.com/2012/11/06/warren-buffett-purple-shoes-jack-welch/?source=yahoo_quote

 

Munger on selling investment product:

 

I think the reason why we got into such idiocy in investment management is best illustrated by a story that I tell about the guy who sold fishing tackle. I asked him, “My God, they’re purple and green. Do fish really take these lures?” And he said, “Mister, I don’t sell to fish.”

 

--------

 

Replace "investment management" with "political punditry/commentary," and I think that gets to what WEB was slyly trying to say, given Jack Welch's comments about the administration cooking the books to win the election.

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Yes Buffett simply meant to paint Welch as someone who acts with self serving bias, so viewers dont take what he says as the gospel truth

 

What are you guys talking about? Buffett thought that Welch's story was funny and wanted Welch to tell it to everyone watching CNBC. The humor didn't quite work out because Welch didn't recall the story. You guys are reading way too much into this.

 

this is one of Buffett's many talents - he can take people down so subtlety that some don't even notice it was a take down

 

I'm sorry, but if that was a take down, I found it weak.  I thought Warren came off looking silly and out of touch, not Welch.  To call in and want Welch to share some supposedly funny story from fifty years ago, which he apparently does not remember, is a bit strange.  Even when Warren tried to describe the funny part, it really wasn't.  If anything it was implying naivete on the part of women. 

 

you're missing the point. it wasnt meant to be funny, it was meant to paint welch as just another guy watching out for himself, not the viewers. the "funny story" pretension is just to make the takedown subtle and palatable.

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BLS is still objective in their statistics, but the US Department of Defense apparently may have helped cook the books for GDP by front loading their (until then declining) purchases into the latest reporting period, according to a recent Barron's article.

I wouldn't call it "cooking the books" though. More like preparing for fiscal cliff by putting all their orders in before it hits their budgets.

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I always assumed WEB liked Jack Welch.

 

It's not that he doesn't like Jack Welch.  He's just interjecting in a debate and trying to enlighten...kind of like how everyone on here does!  ;D  Cheers!

 

Sorry but I still don't see it as a dig.  Buffett is trying to get Welch to tell a funny story that Buffett thinks is hilarious yet has nothing to do with why Welch is on the show.  Buffett sounds dorky to me.  To read into it that he is putting Welch down due to the "your career peaked" quote would be like using Welch's later response of "incentives drive all kinds of behavior" as a dig back towards him and the President.  If anything Welch made Buffett look bad by not knowing what Buffett was talking about.

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Guest deepValue

It was most definitely a subtle jab.  Read the exchange again here:

 

http://www.economicpolicyjournal.com/2012/11/whoa-battle-of-oligarchs-warren-buffett.html

 

By the way, try and ignore the "Snorgtee" girl in the bikini on the right...it was hard for me to do, but I managed!  Cheers!

 

I got a Staples ad. If you got a girl in skimpy clothing, it's only a reflection of your online habits.

 

 

jk I get the Snorgtees ads all the time and agree that they're hard to ignore

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I always assumed WEB liked Jack Welch.

 

It's not that he doesn't like Jack Welch.  He's just interjecting in a debate and trying to enlighten...kind of like how everyone on here does!  ;D  Cheers!

 

Anyone hear of the "Alwaleed of Omaha" story?  It seems when Al-Waleed, the Saudi owner of Kingdom Holdings told WEB that he was especially proud when called "Warren Buffett of the Gulf", WEB replied that he was proud when he was called "Al Waleed of Omaha".  To me, that is the take downs of all take downs from WEB with all its subtlety and humor.  (I read this story in some Middle East newspaper a year or so ago)

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