Understand competitive advantages

Buffett searches for this particular quality in all his investments: It is not enough for companies to be market leaders; they need to have some advantages that put them far ahead of competition, whether in terms of economics of scale or brands or being the lowest cost producer or high switching costs or, of course, high entry barriers. Buffett speaks Think of Disney. Disney is selling Home Videos for $16.95 or $18.95 or whatever. All over the world-people, and we will speak particularly about mothe

This article was originally published on August 11, 2020.