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.

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