Category: Competitive Advantage & Differentiation

How much of a competitive advantage is employee longevity?

Labor Day Weekend Reading: On this Labor Day weekend, I read two articles that prompted me to think about employee longevity and how much of a competitive advantage it may be.  Interestingly, both were articles about Berkshire Hathaway companies, See’s Candies in Fortune and the Nebraska Furniture Mart… Continue reading

Chart of Most Profitable Industries — Increase Your Odds of Business Success

Profitability Differences Building a business is a lot of work.  Thus, it makes sense to build your business in an industry where the fundamental dynamics are a little more in your favor.  Or, evolve your business to improve its fundamental characteristics by studying the best.… Continue reading

“Strategy Follows Structure” — John Bogle on Investment Funds

Investment Fund Structures “You are what you eat” is the common phrase about nutrition.  With investing, I think a corollary should be “you are where & how you get your capital”.  This is particularly true with any type of investment fund as John Bogle, the… Continue reading

Elusive Moats of Competitive Advantage — Definition by Morningstar

Moats of Competitive Advantage Investors look for “moats” or competitive advantages that create more certainty and more growth in revenue and margins.  In managing or investing in businesses, it is helpful to understand what moats other companies have been able to build and why.  This… Continue reading

To Increase Your Personal and Business Prosperity: Exchange More

A Business and Personal Prosperity Secret? What is the secret to creating value in the world for yourself and others?  Exchange is the best and shortest answer I would give today.  Exchange, or the act of giving one thing and receiving another in return, creates prosperity. … Continue reading

Nature and the Great Outdoors: Important Aid to Business Owners

A Productivity “Exercise” for Business Owners A walk in nature is the most productive activity I do.  It is so easy to forget this and forge ahead with work indoors, but each time I hike or walk (most often through the Marin Headlands or Mt… Continue reading

Business Owners Benefit from Good Ideas from the Edge

Happy Anniversary to the Stockman Grass Farmer newspaper and Wired magazine — 65 years for the Stockman Grass Farmer this month and 20 years for Wired magazine in January (but issue 1.1.1 released this month for the iPad).  At certain points in time for me,… Continue reading

Business Moat – Assessing the Width (To Sell or Not To Sell)

Business Moat Assessing the strength of the moat around your business is the next post in the series, “To Sell Your Business or Not To Sell Your Business — That is the Question“. Simply put, the wider and stronger the moat around your business, the… Continue reading

Business Financial Models – Coca-Cola vs. Wine

As the next post in the series on a Perfect Business, Financially Speaking, I think an anecdote told by Donald Keough in his book “The Ten Commandments of Business Failure” conveys the advantages of having a good business financial model versus the alternative. Mr. Keough… Continue reading

Berkshire Meeting Week: Circle of Competence

Your “Circle of Competence” is the area that you understand well.  For investors and business owners, it is wise to keep your business activities within your Circle of Competence.  This should not be a limiting concept — once you focus on something, you begin to see more opportunities… Continue reading