This entry was posted on Monday, March 12th, 2012 at 2:27 am and is filed under Financial Markets and Investment Strategies. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.
From Warren Buffett's annual shareholder letter, here's a gem…
“Buy commodities, sell brands” has long been a formula for business success. It has produced
enormous and sustained profits for Coca-Cola since 1886 and Wrigley since 1891. On a smaller scale,
we have enjoyed good fortune with this approach at See’s Candy since we purchased it 40 years ago.
It's that simple. Buy a cheap good, create a brand around it, sell it for more. Voila.