Cool story.
I remember reading somewhere that Buffett said that he saw that the more mills Berkshire had the less profit it made, so the rational thing to do was close mills. Genius ;-)
I remember reading somewhere that Buffett said that he saw that the more mills Berkshire had the less profit it made, so the rational thing to do was close mills. Genius ;-)
Then his dad died and Berkshire management slighted him by an 1/8th. So he used other people's money to buy management out in what he admits was an irrational mistake. He closed down his entire partnership at the same time. He actually lost a lot of money keeping Berkshire's mills afloat as opposed to just reinvesting all the money in other ventures, but felt a personal obligation to the workers.