he’s the chairman CEO and largest shareholder of Berkshire Hathaway he’s
shareholder of Berkshire Hathaway he’s
shareholder of Berkshire Hathaway he’s considered to be one of the world’s most
considered to be one of the world’s most
considered to be one of the world’s most successful investors if you want to
successful investors if you want to
successful investors if you want to learn about investment strategies you
learn about investment strategies you
learn about investment strategies you want to learn from Warren Buffett mentor
want to learn from Warren Buffett mentor
want to learn from Warren Buffett mentor me Warren when you look at the future
me Warren when you look at the future
me Warren when you look at the future there’s also the argument made that that
there’s also the argument made that that
there’s also the argument made that that this is something that goes with your
this is something that goes with your
this is something that goes with your philosophy today get out of cash and get
philosophy today get out of cash and get
philosophy today get out of cash and get into assets because we don’t know what’s
into assets because we don’t know what’s
into assets because we don’t know what’s going to happen to the dollar well cash
going to happen to the dollar well cash
going to happen to the dollar well cash is always a bad investment but when
is always a bad investment but when
is always a bad investment but when people said cash is king a year ago I
people said cash is king a year ago I
people said cash is king a year ago I mean that’s crazy
mean that’s crazy
mean that’s crazy I mean cash wasn’t producing anything
I mean cash wasn’t producing anything
I mean cash wasn’t producing anything and it was sure to go down in value over
and it was sure to go down in value over
and it was sure to go down in value over time I know that you always want to be
time I know that you always want to be
time I know that you always want to be sure you have enough I mean it’s like
sure you have enough I mean it’s like
sure you have enough I mean it’s like oxygen you’re one of the shirts around
oxygen you’re one of the shirts around
oxygen you’re one of the shirts around you know but you don’t even have you
you know but you don’t even have you
you know but you don’t even have you don’t have excess of a possible around
don’t have excess of a possible around
don’t have excess of a possible around and cash we will always have enough cash
and cash we will always have enough cash
and cash we will always have enough cash around but anytime we have surplus cash
around but anytime we have surplus cash
around but anytime we have surplus cash around I’m unhappy I mean I would much
around I’m unhappy I mean I would much
around I’m unhappy I mean I would much rather have good businesses than cash
rather have good businesses than cash
rather have good businesses than cash and we found a chance in the last year
and we found a chance in the last year
and we found a chance in the last year there abouts to deploy we came in with
there abouts to deploy we came in with
there abouts to deploy we came in with something over 40 billion a campaign
something over 40 billion a campaign
something over 40 billion a campaign we’ve got about 20 billion now and we’ve
we’ve got about 20 billion now and we’ve
we’ve got about 20 billion now and we’ve had some earnings so we put a lot of
had some earnings so we put a lot of
had some earnings so we put a lot of cash to work and I like that no I’d much
cash to work and I like that no I’d much
cash to work and I like that no I’d much rather own a good business than have
rather own a good business than have
rather own a good business than have cash and it is a hedge against the
cash and it is a hedge against the
cash and it is a hedge against the dollar well you can say all assets are a
dollar well you can say all assets are a
dollar well you can say all assets are a hedge against a dollar I mean but that
hedge against a dollar I mean but that
hedge against a dollar I mean but that all you know is that the dollar is going
all you know is that the dollar is going
all you know is that the dollar is going to be worth less 10 20 30 years from now
to be worth less 10 20 30 years from now
to be worth less 10 20 30 years from now I say worth less not worthless but it
I say worth less not worthless but it
I say worth less not worthless but it will be you know and that’s true of
will be you know and that’s true of
will be you know and that’s true of almost every currency that like a big of
almost every currency that like a big of
almost every currency that like a big of huh the question is how much it
huh the question is how much it
huh the question is how much it depreciates in value but cash cash is
depreciates in value but cash cash is
depreciates in value but cash cash is not a place that no why for that well
not a place that no why for that well
not a place that no why for that well because always gonna be worth less
because always gonna be worth less
because always gonna be worth less because we’ll we’ll print more of them
because we’ll we’ll print more of them
because we’ll we’ll print more of them in relation to the amount of goods that
in relation to the amount of goods that
in relation to the amount of goods that are moving you know if we if we dropped
are moving you know if we if we dropped
are moving you know if we if we dropped if we drop the million dollars of cash
if we drop the million dollars of cash
if we drop the million dollars of cash into every household in the United
into every household in the United
into every household in the United States today everybody feel very good
States today everybody feel very good
States today everybody feel very good except the people that invest in things
except the people that invest in things
except the people that invest in things that were denominated dollars
that were denominated dollars
that were denominated dollars yeah exactly there will be no tendency
yeah exactly there will be no tendency
yeah exactly there will be no tendency toward deflation in this country over
toward deflation in this country over
toward deflation in this country over time or virtually an attendance story
time or virtually an attendance story
time or virtually an attendance story inflation absolutely important thing is
inflation absolutely important thing is
inflation absolutely important thing is to decide what is to be able to define
to decide what is to be able to define
to decide what is to be able to define which ones you can come to an
which ones you can come to an
which ones you can come to an intelligent decision on and which ones
intelligent decision on and which ones
intelligent decision on and which ones are beyond your capacity to evaluate you
are beyond your capacity to evaluate you
are beyond your capacity to evaluate you don’t have to be right about thousands
don’t have to be right about thousands
don’t have to be right about thousands and thousands of thousands of
and thousands of thousands of
and thousands of thousands of competition you only have to be right
competition you only have to be right
competition you only have to be right about a company couple I met bill gates
about a company couple I met bill gates
about a company couple I met bill gates on July 5th 1991 we arrived Seattle and
on July 5th 1991 we arrived Seattle and
on July 5th 1991 we arrived Seattle and bill said you’ve got to have a computer
bill said you’ve got to have a computer
bill said you’ve got to have a computer and I said why and he said well he said
and I said why and he said well he said
and I said why and he said well he said you can do your income tax on it I said
you can do your income tax on it I said
you can do your income tax on it I said I don’t have any income Bircher doesn’t
I don’t have any income Bircher doesn’t
I don’t have any income Bircher doesn’t pay a dividend he said well you can keep
pay a dividend he said well you can keep
pay a dividend he said well you can keep track of your portfolio I said I only
track of your portfolio I said I only
track of your portfolio I said I only have one stock I said I did I mean he
have one stock I said I did I mean he
have one stock I said I did I mean he says it’s going to change everything and
says it’s going to change everything and
says it’s going to change everything and I said well will it change whether
I said well will it change whether
I said well will it change whether people chew gum and he said well
people chew gum and he said well
people chew gum and he said well probably not and I said what will change
probably not and I said what will change
probably not and I said what will change what kind of gum they’d show and I said
what kind of gum they’d show and I said
what kind of gum they’d show and I said well then I’ll stick to chewing gum and
well then I’ll stick to chewing gum and
well then I’ll stick to chewing gum and you stick to computers how bad I don’t
you stick to computers how bad I don’t
you stick to computers how bad I don’t have to understand all kinds of but
have to understand all kinds of but
have to understand all kinds of but there’s all kinds of business I don’t
there’s all kinds of business I don’t
there’s all kinds of business I don’t understand but there’s thousands of
understand but there’s thousands of
understand but there’s thousands of opportunities there I did understand the
opportunities there I did understand the
opportunities there I did understand the Bank of America you know and uh and I’ll
Bank of America you know and uh and I’ll
Bank of America you know and uh and I’ll be able I’m able to do that I’m able to
be able I’m able to do that I’m able to
be able I’m able to do that I’m able to understand some given percentage but Ted
understand some given percentage but Ted
understand some given percentage but Ted Williams wrote a book called the science
Williams wrote a book called the science
Williams wrote a book called the science of hitting and in the science of hitting
of hitting and in the science of hitting
of hitting and in the science of hitting he’s got a diagram shows him at the
he’s got a diagram shows him at the
he’s got a diagram shows him at the plate and he’s got the strike zone
plate and he’s got the strike zone
plate and he’s got the strike zone divided in the seventy seven squares
divided in the seventy seven squares
divided in the seventy seven squares each the size of a baseball and he says
each the size of a baseball and he says
each the size of a baseball and he says if I only swing it pitches in my sweet
if I only swing it pitches in my sweet
if I only swing it pitches in my sweet zone which he shows there and he has
zone which he shows there and he has
zone which he shows there and he has what his batting average would be which
what his batting average would be which
what his batting average would be which is four hundred if he had to swing at
is four hundred if he had to swing at
is four hundred if he had to swing at low outside pitches but still in the in
low outside pitches but still in the in
low outside pitches but still in the in the strike zone
the strike zone
the strike zone his average would be 230 he said the
his average would be 230 he said the
his average would be 230 he said the most important thing in hitting is
most important thing in hitting is
most important thing in hitting is waiting for the right pitch now he was
waiting for the right pitch now he was
waiting for the right pitch now he was at a disadvantage because if the count
at a disadvantage because if the count
at a disadvantage because if the count was oh and two or one and two or so on
was oh and two or one and two or so on
was oh and two or one and two or so on even if that ball was down where he was
even if that ball was down where he was
even if that ball was down where he was only about two thirty he had to swing at
only about two thirty he had to swing at
only about two thirty he had to swing at it in investing there’s no called
it in investing there’s no called
it in investing there’s no called strikes people can throw Microsoft out
strikes people can throw Microsoft out
strikes people can throw Microsoft out and you know you name it any any stock
and you know you name it any any stock
and you know you name it any any stock General Motors and I don’t have to swing
General Motors and I don’t have to swing
General Motors and I don’t have to swing and nobody’s going to call me out on
and nobody’s going to call me out on
and nobody’s going to call me out on call strikes I only get a strike call if
call strikes I only get a strike call if
call strikes I only get a strike call if I swing at a pitch and mess so I can
I swing at a pitch and mess so I can
I swing at a pitch and mess so I can wait there and look at thousands of
wait there and look at thousands of
wait there and look at thousands of companies day after day and only when I
companies day after day and only when I
companies day after day and only when I see something I understand and when I
see something I understand and when I
see something I understand and when I like the price of which is selling then
like the price of which is selling then
like the price of which is selling then if I swing if I if I had it fine if I
if I swing if I if I had it fine if I
if I swing if I if I had it fine if I miss it’s it’s it’s a strike but it’s an
miss it’s it’s it’s a strike but it’s an
miss it’s it’s it’s a strike but it’s an enormous ly advantageous game and it’s a
enormous ly advantageous game and it’s a
enormous ly advantageous game and it’s a terrible mistake to think you have to
terrible mistake to think you have to
terrible mistake to think you have to have an opinion on everything you only
have an opinion on everything you only
have an opinion on everything you only have to have an opinion on a few things
have to have an opinion on a few things
have to have an opinion on a few things in fact I’ve told students if when they
in fact I’ve told students if when they
in fact I’ve told students if when they got out of school they got a punch card
got out of school they got a punch card
got out of school they got a punch card with 20 punches on it and that’s all the
with 20 punches on it and that’s all the
with 20 punches on it and that’s all the investment decisions they got to make in
investment decisions they got to make in
investment decisions they got to make in their entire life they would get very
their entire life they would get very
their entire life they would get very rich because they would think very hard
rich because they would think very hard
rich because they would think very hard about each one and you don’t need 20
about each one and you don’t need 20
about each one and you don’t need 20 right decisions to get very rich you
right decisions to get very rich you
right decisions to get very rich you know four or five will probably do it
know four or five will probably do it
know four or five will probably do it over time so I don’t worry too much
over time so I don’t worry too much
over time so I don’t worry too much about the things I don’t understand if
about the things I don’t understand if
about the things I don’t understand if you understand some of these businesses
you understand some of these businesses
you understand some of these businesses that are coming along and can spot
that are coming along and can spot
that are coming along and can spot things on if you can spot on Amazon for
things on if you can spot on Amazon for
things on if you can spot on Amazon for example I mean it’s a tremendous
example I mean it’s a tremendous
example I mean it’s a tremendous accomplishment what Jeff Bezos has done
accomplishment what Jeff Bezos has done
accomplishment what Jeff Bezos has done and I tip my hat to me is a wonderful
and I tip my hat to me is a wonderful
and I tip my hat to me is a wonderful businessman he’s a good guy too
businessman he’s a good guy too
businessman he’s a good guy too but could I have anticipated that he
but could I have anticipated that he
but could I have anticipated that he would be the success and ten others
would be the success and ten others
would be the success and ten others wouldn’t be I’m not good enough to do
wouldn’t be I’m not good enough to do
wouldn’t be I’m not good enough to do that but I done fortunately I don’t have
that but I done fortunately I don’t have
that but I done fortunately I don’t have to you know I don’t have to form an
to you know I don’t have to form an
to you know I don’t have to form an opinion on on Amazon and I did I did
opinion on on Amazon and I did I did
opinion on on Amazon and I did I did form an opinion on the Bank of America
form an opinion on the Bank of America
form an opinion on the Bank of America and I form of opinion on coca-cola
and I form of opinion on coca-cola
and I form of opinion on coca-cola I mean coca-cola has been around since
I mean coca-cola has been around since
I mean coca-cola has been around since 1886
1886
1886 there’s 1.8 billion 1.8 billion 8 ounce
there’s 1.8 billion 1.8 billion 8 ounce
there’s 1.8 billion 1.8 billion 8 ounce servings of coca-cola products sold
servings of coca-cola products sold
servings of coca-cola products sold every day now if you take one penny and
every day now if you take one penny and
every day now if you take one penny and get one penny extra that’s 18 million
get one penny extra that’s 18 million
get one penny extra that’s 18 million dollars a day and 18 million times 365
dollars a day and 18 million times 365
dollars a day and 18 million times 365 is 7 billion 3 less 730 billion or 6
is 7 billion 3 less 730 billion or 6
is 7 billion 3 less 730 billion or 6 billion 570 million dollars so annually
billion 570 million dollars so annually
billion 570 million dollars so annually 6 billion 570 million dollars from one
6 billion 570 million dollars from one
6 billion 570 million dollars from one penny do you think coca-cola is worth a
penny do you think coca-cola is worth a
penny do you think coca-cola is worth a penny more than you know Jo’s Cola I
penny more than you know Jo’s Cola I
penny more than you know Jo’s Cola I think so so I
think so so I
think so so I you know and I’ve got about 127 years of
you know and I’ve got about 127 years of
you know and I’ve got about 127 years of history would indicate it so those are
history would indicate it so those are
history would indicate it so those are the kind of decisions I like to make and
the kind of decisions I like to make and
the kind of decisions I like to make and you may have an entirely different field
you may have an entirely different field
you may have an entirely different field of expertise than I would have and
of expertise than I would have and
of expertise than I would have and probably much more up to date in terms
probably much more up to date in terms
probably much more up to date in terms of the kind of businesses that we’re
of the kind of businesses that we’re
of the kind of businesses that we’re seeing about and you can get very rich
seeing about and you can get very rich
seeing about and you can get very rich if you just understand a few of them and
if you just understand a few of them and
if you just understand a few of them and understand their future the real test of
understand their future the real test of
understand their future the real test of whether you would like it as an
whether you would like it as an
whether you would like it as an investment is whether you would be happy
investment is whether you would be happy
investment is whether you would be happy if it never got quoted again and just in
if it never got quoted again and just in
if it never got quoted again and just in terms of what the asset did for you but
terms of what the asset did for you but
terms of what the asset did for you but that doesn’t I would say this about gold
that doesn’t I would say this about gold
that doesn’t I would say this about gold if you took all the gold in the world it
if you took all the gold in the world it
if you took all the gold in the world it would it would roughly make a cube 67
would it would roughly make a cube 67
would it would roughly make a cube 67 feet on a side so if you took all the
feet on a side so if you took all the
feet on a side so if you took all the gold in the world we could have a cube
gold in the world we could have a cube
gold in the world we could have a cube we went down there 67 feet 67 feet high
we went down there 67 feet 67 feet high
we went down there 67 feet 67 feet high and that would be the whole thing now
and that would be the whole thing now
and that would be the whole thing now for that same cube of gold it would be
for that same cube of gold it would be
for that same cube of gold it would be worth at today’s market prices about
worth at today’s market prices about
worth at today’s market prices about seven trillion dollars that’s probably
seven trillion dollars that’s probably
seven trillion dollars that’s probably about a third of the value of all the
about a third of the value of all the
about a third of the value of all the stocks in the United States so you can
stocks in the United States so you can
stocks in the United States so you can have a choice of owning a third of all
have a choice of owning a third of all
have a choice of owning a third of all the stocks in the United States or you
the stocks in the United States or you
the stocks in the United States or you can have a choice of owning a little
can have a choice of owning a little
can have a choice of owning a little block of gold which can’t do anything
block of gold which can’t do anything
block of gold which can’t do anything but kind of shine there and make you
but kind of shine there and make you
but kind of shine there and make you feel like my desert Croesus or something
feel like my desert Croesus or something
feel like my desert Croesus or something of the sort now for seven trillion
of the sort now for seven trillion
of the sort now for seven trillion dollars there are roughly a billion farm
dollars there are roughly a billion farm
dollars there are roughly a billion farm acres of farmland in the United States
acres of farmland in the United States
acres of farmland in the United States they’re valued at about two and a half
they’re valued at about two and a half
they’re valued at about two and a half trillion dollars it’s about half the
trillion dollars it’s about half the
trillion dollars it’s about half the continental United States this farmland
continental United States this farmland
continental United States this farmland you could have all the farm line in the
you could have all the farm line in the
you could have all the farm line in the United States you could have about seven
United States you could have about seven
United States you could have about seven Exxon Mobil’s
Exxon Mobil’s
Exxon Mobil’s and you can have a trillion dollars of
and you can have a trillion dollars of
and you can have a trillion dollars of walking-around money and if you offered
walking-around money and if you offered
walking-around money and if you offered me the choice of looking at some 67 foot
me the choice of looking at some 67 foot
me the choice of looking at some 67 foot a cube of gold and looking at it all day
a cube of gold and looking at it all day
a cube of gold and looking at it all day you know I’m an attachment font fondling
you know I’m an attachment font fondling
you know I’m an attachment font fondling it occasionally you know and then saying
it occasionally you know and then saying
it occasionally you know and then saying you know do something for me and it says
you know do something for me and it says
you know do something for me and it says I don’t do anything I just stand here
I don’t do anything I just stand here
I don’t do anything I just stand here look pretty and
look pretty and
look pretty and and the alternative to that was to have
and the alternative to that was to have
and the alternative to that was to have all the farmland of the country
all the farmland of the country
all the farmland of the country everything cotton corn soybeans seven
everything cotton corn soybeans seven
everything cotton corn soybeans seven ExxonMobil’s just think of that and a
ExxonMobil’s just think of that and a
ExxonMobil’s just think of that and a trillion dollars of walking-around money
trillion dollars of walking-around money
trillion dollars of walking-around money I you know they maybe call me crazy but
I you know they maybe call me crazy but
I you know they maybe call me crazy but haha I’ll take the farmland of the Exxon
haha I’ll take the farmland of the Exxon
haha I’ll take the farmland of the Exxon Mobil’s what’s your advice about that
Mobil’s what’s your advice about that
Mobil’s what’s your advice about that you can’t constantly sit there and wait
you can’t constantly sit there and wait
you can’t constantly sit there and wait and say oh it’s going to go higher so I
and say oh it’s going to go higher so I
and say oh it’s going to go higher so I go high we don’t even think about that
go high we don’t even think about that
go high we don’t even think about that what we think about is how much is it
what we think about is how much is it
what we think about is how much is it selling for how much do we think it’s
selling for how much do we think it’s
selling for how much do we think it’s worth when we bought it at 35 billion
worth when we bought it at 35 billion
worth when we bought it at 35 billion effectively I felt the company was
effectively I felt the company was
effectively I felt the company was probably worth at least a hundred
probably worth at least a hundred
probably worth at least a hundred billion how did it come to your
billion how did it come to your
billion how did it come to your attention how do you find a stuff like
attention how do you find a stuff like
attention how do you find a stuff like PetroChina I sit there in my office and
PetroChina I sit there in my office and
PetroChina I sit there in my office and I read an annual report which
I read an annual report which
I read an annual report which fortunately was in English and it
fortunately was in English and it
fortunately was in English and it described a very good company and told
described a very good company and told
described a very good company and told about the oil reserves followed by three
about the oil reserves followed by three
about the oil reserves followed by three findings all about the chemicals
findings all about the chemicals
findings all about the chemicals everything else and I sat there and read
everything else and I sat there and read
everything else and I sat there and read it and I thought to myself this company
it and I thought to myself this company
it and I thought to myself this company is worth about a hundred billion now I
is worth about a hundred billion now I
is worth about a hundred billion now I didn’t look at the price first I look at
didn’t look at the price first I look at
didn’t look at the price first I look at the business first and try and figure
the business first and try and figure
the business first and try and figure out what it’s worth because if I look at
out what it’s worth because if I look at
out what it’s worth because if I look at the price first I’ll get influenced by
the price first I’ll get influenced by
the price first I’ll get influenced by that so I look at that look at the
that so I look at that look at the
that so I look at that look at the company first I try to value it and I
company first I try to value it and I
company first I try to value it and I look at the price and if the price is
look at the price and if the price is
look at the price and if the price is way less than what I’ve just valued that
way less than what I’ve just valued that
way less than what I’ve just valued that I’m going to buy it how do you value it
I’m going to buy it how do you value it
I’m going to buy it how do you value it well I that’s that’s the trick but it’s
well I that’s that’s the trick but it’s
well I that’s that’s the trick but it’s it’s essentially what I would pay for
it’s essentially what I would pay for
it’s essentially what I would pay for the whole business if I could buy it how
the whole business if I could buy it how
the whole business if I could buy it how do you know when to throw in the towel
do you know when to throw in the towel
do you know when to throw in the towel on an investment or business when you
on an investment or business when you
on an investment or business when you throw in the towel on an investment or
throw in the towel on an investment or
throw in the towel on an investment or business business yeah well you’d what
business business yeah well you’d what
business business yeah well you’d what you know you do it too late I’ve done I
you know you do it too late I’ve done I
you know you do it too late I’ve done I I went the textile business by accident
I went the textile business by accident
I went the textile business by accident in 1965 and I threw it at all about
in 1965 and I threw it at all about
in 1965 and I threw it at all about twenty years later and that was about
twenty years later and that was about
twenty years later and that was about twenty years too late the there’s a
twenty years too late the there’s a
twenty years too late the there’s a great tendency to want to hold on
great tendency to want to hold on
great tendency to want to hold on justify old decisions I mean it’s a
justify old decisions I mean it’s a
justify old decisions I mean it’s a human human trait and what when you
human human trait and what when you
human human trait and what when you really know you’ve got a bad business is
really know you’ve got a bad business is
really know you’ve got a bad business is when you have a good manager and you’re
when you have a good manager and you’re
when you have a good manager and you’re getting bad results I mean it when you
getting bad results I mean it when you
getting bad results I mean it when you when you’re getting bad results with a
when you’re getting bad results with a
when you’re getting bad results with a bad manager you still have to examine
bad manager you still have to examine
bad manager you still have to examine the question of whether you know you can
the question of whether you know you can
the question of whether you know you can get better results if you got a better
get better results if you got a better
get better results if you got a better manager usually you can’t you know I’ve
manager usually you can’t you know I’ve
manager usually you can’t you know I’ve said in the past you know that when a
said in the past you know that when a
said in the past you know that when a when a management with a reputation
when a management with a reputation
when a management with a reputation for excellence Encounters of business
for excellence Encounters of business
for excellence Encounters of business with a reputation for bad economics it’s
with a reputation for bad economics it’s
with a reputation for bad economics it’s the reputation of the business that
the reputation of the business that
the reputation of the business that remains intact and and I’ve proved that
remains intact and and I’ve proved that
remains intact and and I’ve proved that many times there are businesses that are
many times there are businesses that are
many times there are businesses that are just plain tough you know and there’s
just plain tough you know and there’s
just plain tough you know and there’s the copy there there may be too many
the copy there there may be too many
the copy there there may be too many competitors but there’s reasons why they
competitors but there’s reasons why they
competitors but there’s reasons why they don’t drop out there’s reasons well we
don’t drop out there’s reasons well we
don’t drop out there’s reasons well we we started out in textiles and we made
we started out in textiles and we made
we started out in textiles and we made over half of the the linings for men’s
over half of the the linings for men’s
over half of the the linings for men’s suits in the country and we we went
suits in the country and we we went
suits in the country and we we went through World War two and got awards and
through World War two and got awards and
through World War two and got awards and and sears roebuck named us their
and sears roebuck named us their
and sears roebuck named us their supplier of the year and all of that
supplier of the year and all of that
supplier of the year and all of that sort of thing and then we’d say what
sort of thing and then we’d say what
sort of thing and then we’d say what we’d like to increase the price of of
we’d like to increase the price of of
we’d like to increase the price of of these linings a quarter of a cent a yard
these linings a quarter of a cent a yard
these linings a quarter of a cent a yard and services we got of your miners ten
and services we got of your miners ten
and services we got of your miners ten other guys that’ll sell it to us of the
other guys that’ll sell it to us of the
other guys that’ll sell it to us of the old price that and nobody ever went into
old price that and nobody ever went into
old price that and nobody ever went into a Sears store and said I’d like a a blue
a Sears store and said I’d like a a blue
a Sears store and said I’d like a a blue Serge Serge a blue shirt Serge suit with
Serge Serge a blue shirt Serge suit with
Serge Serge a blue shirt Serge suit with a half away lining it didn’t exist we
a half away lining it didn’t exist we
a half away lining it didn’t exist we had no connection to the consumer and
had no connection to the consumer and
had no connection to the consumer and there are lots of lousy businesses you
there are lots of lousy businesses you
there are lots of lousy businesses you know and there’s lots of wonderful
know and there’s lots of wonderful
know and there’s lots of wonderful businesses and or my job over the years
businesses and or my job over the years
businesses and or my job over the years has been to try and figure out which is
has been to try and figure out which is
has been to try and figure out which is which and I’ve made plenty of mistakes I
which and I’ve made plenty of mistakes I
which and I’ve made plenty of mistakes I bought a company called extra shoes in
bought a company called extra shoes in
bought a company called extra shoes in the early 90s I paid four hundred plus
the early 90s I paid four hundred plus
the early 90s I paid four hundred plus million dollars for it and it made money
million dollars for it and it made money
million dollars for it and it made money before I bought it
before I bought it
before I bought it but you know as soon as I bought it they
but you know as soon as I bought it they
but you know as soon as I bought it they pulled some switch or something I
pulled some switch or something I
pulled some switch or something I immediately started losing money and and
immediately started losing money and and
immediately started losing money and and it was because of foreign competition so
it was because of foreign competition so
it was because of foreign competition so under it was because I owned I don’t
under it was because I owned I don’t
under it was because I owned I don’t know ah and it went to zero and the
know ah and it went to zero and the
know ah and it went to zero and the worst thing was that I paid for it in
worst thing was that I paid for it in
worst thing was that I paid for it in stock so that 400 million in stock I
stock so that 400 million in stock I
stock so that 400 million in stock I gave at the time is now worth about five
gave at the time is now worth about five
gave at the time is now worth about five billion so it so every time Berkshire
billion so it so every time Berkshire
billion so it so every time Berkshire stock goes down I feel a little bit
stock goes down I feel a little bit
stock goes down I feel a little bit better because of my opportunity lost on
better because of my opportunity lost on
better because of my opportunity lost on this business but you know when I looked
this business but you know when I looked
this business but you know when I looked at Dexter shoe they had a good position
at Dexter shoe they had a good position
at Dexter shoe they had a good position in retailers they turned out good shoes
in retailers they turned out good shoes
in retailers they turned out good shoes they had a great workforce all kinds of
they had a great workforce all kinds of
they had a great workforce all kinds of things but I just forgot one thing that
things but I just forgot one thing that
things but I just forgot one thing that that they weren’t going to make shoes in
that they weren’t going to make shoes in
that they weren’t going to make shoes in the United States anymore
the United States anymore
the United States anymore so you make you make mistakes and it
so you make you make mistakes and it
so you make you make mistakes and it does
does
does okay to recognize quickly when you made
okay to recognize quickly when you made
okay to recognize quickly when you made them if you’ve got a good person running
them if you’ve got a good person running
them if you’ve got a good person running a business in it isn’t making any money
a business in it isn’t making any money
a business in it isn’t making any money you know you’re in the wrong business
you know you’re in the wrong business
you know you’re in the wrong business and and you’ve got to face up to that
and and you’ve got to face up to that
and and you’ve got to face up to that generally speaking investing in yourself
generally speaking investing in yourself
generally speaking investing in yourself is the best thing you can do anything
is the best thing you can do anything
is the best thing you can do anything that improves your own talent so nobody
that improves your own talent so nobody
that improves your own talent so nobody can take it away from me they can run up
can take it away from me they can run up
can take it away from me they can run up huge deficits and the dollar can become
huge deficits and the dollar can become
huge deficits and the dollar can become worth far less you can have all kinds of
worth far less you can have all kinds of
worth far less you can have all kinds of things happen but if you’ve got talents
things happen but if you’ve got talents
things happen but if you’ve got talents yourself and you’ve maximized your
yourself and you’ve maximized your
yourself and you’ve maximized your talent you’ve got a terrific asset and
talent you’ve got a terrific asset and
talent you’ve got a terrific asset and that does mean everybody should go to
that does mean everybody should go to
that does mean everybody should go to college but it it doesn’t mean that any
college but it it doesn’t mean that any
college but it it doesn’t mean that any way you find to improve communication
way you find to improve communication
way you find to improve communication skills are enormous ly important I mean
skills are enormous ly important I mean
skills are enormous ly important I mean I took a Dale Carnegie course that I
I took a Dale Carnegie course that I
I took a Dale Carnegie course that I paid $100 for and it was worth a college
paid $100 for and it was worth a college
paid $100 for and it was worth a college degree at least I thought it was maybe
degree at least I thought it was maybe
degree at least I thought it was maybe this interview will cook a lot of ice
this interview will cook a lot of ice
this interview will cook a lot of ice laughs thank you guys so much for
laughs thank you guys so much for
laughs thank you guys so much for watching
watching
watching I made the mentor me series because I
I made the mentor me series because I
I made the mentor me series because I wanted to spend a little bit more time
wanted to spend a little bit more time
wanted to spend a little bit more time with super successful people and I hope
with super successful people and I hope
with super successful people and I hope some of their magic pixie dust rubs off
some of their magic pixie dust rubs off
some of their magic pixie dust rubs off on us
on us
on us so I’d love to know what you thought of
so I’d love to know what you thought of
so I’d love to know what you thought of this video and what lessons you learned
this video and what lessons you learned
this video and what lessons you learned that you’re going to apply to your life
that you’re going to apply to your life
that you’re going to apply to your life and how I’m really curious to find out
and how I’m really curious to find out
and how I’m really curious to find out leaving the comments below
leaving the comments below
leaving the comments below I’ll join the discussion thank you so
I’ll join the discussion thank you so
I’ll join the discussion thank you so much for watching you can you to believe
much for watching you can you to believe
much for watching you can you to believe and I’ll see you soon
”
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