Like millions of people around the world I too admire Warren Buffet. He has been liberal in sharing his wisdom with rest of us through simply worded quotes which all of us can understand. I want to share some of his wisdom which have resonated with me. I am sure they will resonate with you too.
Before I begin let me share a quote of his, ‘What we learn from history is that people never learn from it’. Let us not prove this observation wrong by gaining form his wisdom & experience & become better professional & human being.
1. Do not do things to impress others: It will prove to be fatal. Do things about which your are passionate & in which you believe.
2.Think deeply: To do that avoid distractions. For example, Warren Buffet does not have TV, schedules maybe 1 meeting a day & spends all day reading & thinking deeply.
3. Be patient & do not get swayed by public opinion or what they expect you to do: “You don’t have to swing at everything—you can wait for your pitch. The problem when you’re a money manager is that your fans keep yelling, ‘Swing, you bum!’
4.Think long-term: “Time is the friend of the wonderful business, the enemy of the mediocre.”
5. Surround yourself with people better than you: It is better to hang out with people better than you… you will drift in that direction.
6. Spending: If you buy things you do not need, then soon you will have to sell things you need
7. Saving: Do not save what is left after spending. Spend after what is left after saving.
8. Risk taking: Never test the depth of water with both feet.
9. Stock market: It is a device of transferring money form the impatient to the patient
10.Where to invest: In yourself – in anything that improves your talent. No one can levy a tax on it nor can any one take it away from you.
11. The rule to become rich: “Be Fearful When Others Are Greedy and Greedy When Others Are Fearful"
12. Facing adversity: “The most important thing to do if you find yourself in a hole is to stop digging.
13. Seeking advice: Never ask a barber if you need a haircut.
14. Think simple: "I try to buy stock in businesses that are so wonderful that an idiot can run them because sooner or later, one will."
15. Overreaching: I don’t look to jump over 7-foot bars: I look around for 1-foot bars that I can step over.
16. Focus on the correct issue: Games are won by players who focus on the playing field & not by those who keep their eyes glued to the scoreboard.
17. Price is what you pay & Value is what you get.
18. Holding position: Our favourite holding position is forever
19. ABC of business decay: Be guarded against them!
A - Arrogance
B – Bureaucracy
C – Complacency
What did you feel about these pearls of wisdom? Do share your views on Warren Buffet & what you feel about him.
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In this series, Rajesh Srivastava, Business Strategist and Visiting Faculty at IIM Indore gives you a regular dose of strategy case studies to help you think and keep you one step ahead as a professional as compared to your peers. Rajesh is an alumnus of IIM Bangalore and IIT Kanpur and has over 2 decades of experience in the FMCG industry. All previous
Strategy with RS posts can be found here
