Description:Â Warren Buffett, the billionaire chief executive officer of Berkshire Hathaway Inc., said he rates businesses on their ability to raise prices and sometimes doesnâ€™t even consider the people in charge.
Questions for discussion:Â Â
- What does Warren Buffet have to say about the importance of management and the ability of the company to raise prices?
- Do you agree with this view?
- What does this view suggest about the performance-based compensation packages paid to managers?
- What does this thinking suggest about the way financial managers are compensated?