The Success of Warren Edward Buffet

The Success of Warren Edward Buffet

Warren Edward Buffet was born in the year 1930 in Omaha (Schroeder, 2008). Buffet is an investment guru and also recognized as one of the wealthiest names in the world. Warren is also one of the most respectable figures in the business industry courtesy to his excellence in investments. Buffet married his first wife (Susan Thompson) at the age of 22 years in 1952. Buffet and Suzan had three siblings, namely Howard, Susan, and peter. However, Suzan (the first wife) died in the year 2004, but they had divorced in the late 1970s.

Several factors contribute to the success of Warren. One of the most primary out of all the factors is that Warren demonstrated special abilities in matters concerning business at a very young age. In this context, Warren established his first limited company (Buffet partnership Ltd) at the age of 26 years (Schroeder, 2008). A great part of his success is attributed to his position of overseeing his conglomerate holdings comprising of companies in the fields of media, Insurance, energy, and also food and beverages. Warren’s role in the above industries contributes most to his recognition as one of the wealthiest people in the world. More so, Warren’s success does not only result from earning, but also because of his philanthropic attitude of giving to the poor or charity organizations.

As said earlier, Buffet had demonstrated his passion and abilities in business activities at a very young age. For this reason, he chose to undertake his first degree at the University of Pennsylvania at the age of 16 years. However, he completed the degree from the University of Nebraska at the age of 20 years. By this time, Buffet had saved almost $10000 from his small scale businesses during his childhood. This is another factor that advocates for his success. Warren graduated with his master’s degree in economics under his instructor Benjamin Graham in the year 1951. After the master’s degree, Warren moved to work for Graham for three years. In those three years, Buffet was getting mentored by Graham, another factor that elevated his possibility for success.

Buffet demonstrated high managerial levels thanks to managerial techniques acquired from Graham (Morio, 2011). The techniques continue to play a significant role in his work until today. However, his success does not rely on the acquired managerial techniques entirely. On top of this, Buffet had a talent to identify undervalued companies from various industries. This is another factor that adds up to his success and wealth because it promoted him to be a millionaire—an example of some of the undervalued companies in the Berkshire Hathaway. Buffet started to invest in the company by accumulating his stock ownership in the year 1960. By the end of 1965, Buffet was the sole owner of the company.

Buffet also had the talent to look in the future of businesses. For this reason, he made a milestone by dissolving his first partnership company (Buffet Partnership Ltd) in 1969 to focus his attention on his newly acquired company (Berkshire Hathaway). Again, Buffet focused on investing his profits and income from the textile company in other business industries such as the media, Insurance, and oil (Meister & Carrie, 2017). Due to this reason, the textile industry was phased out because all the revenue generated from the company was invested in other industries. It was another investment decision that continued to push Buffet high in the apex of success and wealth. Berkshire Hathaway had managed to acquire a considerable number of shares of stock in one major Coca-Cola Company. Due to this reason, Buffet was made the Director of Coca-Cola Company from the year 1989 to 2006.

Work Cited

Meister, Mark, and Carrie Anne Platt. “Warren Buffett’s Celebrity, Epideictic Ethos, and Neoliberal Humanitarianism.” Rhetoric in Neoliberalism. Palgrave Macmillan, Cham, 2017. 39-62.

Morio, Ayano. Warren Buffett: An Illustrated Biography of the World’s Most Successful Investor. John Wiley & Sons, 2011.

Schroeder, Alice. The snowball: Warren Buffett and the business of life. A&C Black, 2008.