The new letter of Warren Buffett, which he wrote to the shareholders of Hathaway, has not been given the kind of attention it is supposed to be given. I wonder if the reason for that is because the reporters feel like they cannot afford to write one more story concerning how brilliant Warren is. Luckily for me, I don't have such kind of limitation.
I have gone through every letter that Warren has ever written which are around fifty of them, and I feel that this one is the most interesting and significant one he has ever written in history. The first thing that interested me was the look back that is unusual at Berkshire's performance in 2014. Then since this happens to be his 50th universally for his purchasing of the Berkshire, there is a section that is separate where he writes and reviews things concerning his history in his leadership life (Warren and Lawrence). In the end, Charlie Munger, and his colleagues, put on paper his looks concerning the organization, which is also very interesting.
One of the things that caught all my attention for the first time and made me feel interested in his letter was his experiences and values. It is not only the experience of Warren but also it very unbelievable since he has gone through a lot of businesses over the past years and has a lot of knowledge concerning profitability. Warren can make a similar situation for those people who operate the Berkshire Company. They stay in a place for many years, which is usually past the average retirement age. Warren provides them with flexibility and relieves them of some of the tasks they dislike and find difficult to perform. Berkshire's system maximizes hiring people who are very experienced in operating their enterprises, providing them with autonomy and allowing them to play it for many years. Even if they happen to make some mistakes, they still know that Warren will always keep them. That is the method Warren uses to make sure that he puts together a right mind glowingly set of business directors.
Another thing that caught my attention and made me interested is the way Buffett gave the investors the urge to put a lot of focus and concentrate on their organization's operating earnings rather than obsessing over losses or even profits that are quarterly or yearly. Besides that he carried out a discussion concerning the speculative nature of equity when it comes to trading, recent challenges in getting an acquisition target that is big, and his faith and belief concerning the success of Berkshire in so many years to come lastly the changing world of the government that is corporate.
Besides, Oracle of Omaha was another thing that was interesting and caught my attention about the latter written by Warren Buffets. Omaha Oracle gives a comparison that was funny between the marriage and the large-scale acquisition and how each one can cause disappointment even if it is exciting at first (Kozlik,). It clearly indicated how reality tends to diverge from those expectations that tend to be pre-nuptial. Warren wrote in his letter that if those images are applied in the corporate acquisition, it is the customers who feel the effect of very unpleasant surprises.
Works Cited
Kozlik, Tom. "The Oracle of Omaha, on Municipals." (2017).
Warren. Buffett, and Lawrence A. Cunningham. The essays of Warren Buffett: Lessons for investors and managers. Hoboken, NJ: John Wiley, 2002.
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