Tuesday, March 22, 2016
Having fun with pricing power.............
"Dun and Bradstreet had a very good business, and Moody's had an even better business. And basically, the single-most important decision in evaluating a business is pricing power. If you have the power to raise prices without losing business to a competitor, you've got very good business. And if you have to have a prayer session before raising prices by a tenth of a cent, then you've got a terrible business. I've been in both, and I know the difference."
-Warren Buffett, as answering a question from the U.S.A. Financial Crisis Inquiry Commission on why he had invested in Dun and Bradstreet in 1999 and 2000.