Charlie Munger

It's automatically leveraged. You open a new store with no capital, of course it's leveraged. Who wouldn't want a business with no inventories?

It's automatically leveraged. You open a new store with no capital, of course it's leveraged. Who wouldn't want a business with no inventories?

A lot of people now do it who manufacture something that is terribly strong, and they're just forcing the suppliers to carry all the inventory.

A lot of people now do it who manufacture something that is terribly strong, and they're just forcing the suppliers to carry all the inventory.

It helps if you like one another and enjoy working together. We do. Yeah. But I don't use any one formula. A lot of partnerships that work well for a long time happen because one's good at one thing and one's good at another. They just naturally divide it. And each one likes what he's doing.

It helps if you like one another and enjoy working together. We do. Yeah. But I don't use any one formula. A lot of partnerships that work well for a long time happen because one's good at one thing and one's good at another. They just naturally divide it. And each one likes what he's doing.

Now, in Costco's case, they had Jeff Brotman, who's very smart, but not a retailer, and Jim Senegal, and they divided it up. And they had originally agreed that Brotman would be the chairman and CEO, because he was his ID, he founded the whole thing. But Senegal decided, no, I have to be the CEO. So it was a big, unfortunate board meeting, a big internal struggle. And Brotman moved aside.

Now, in Costco's case, they had Jeff Brotman, who's very smart, but not a retailer, and Jim Senegal, and they divided it up. And they had originally agreed that Brotman would be the chairman and CEO, because he was his ID, he founded the whole thing. But Senegal decided, no, I have to be the CEO. So it was a big, unfortunate board meeting, a big internal struggle. And Brotman moved aside.

Was that after you joined the board?

Was that after you joined the board?

But Warren has very close relations with all those people that have lunch every Saturday at Berkshire headquarters. It isn't like he doesn't have a little quarter of people there who are kind of pals from the ground up.

But Warren has very close relations with all those people that have lunch every Saturday at Berkshire headquarters. It isn't like he doesn't have a little quarter of people there who are kind of pals from the ground up.

Well, of course, we used to spend a lot of time together when we were young because we didn't have that much to do. Now we've got more to do, but then it's just the other minutiae of life. So it's different.

Well, of course, we used to spend a lot of time together when we were young because we didn't have that much to do. Now we've got more to do, but then it's just the other minutiae of life. So it's different.

It's very difficult to invest money well. And I think it's almost impossible to do time after time after time in venture capital. Yeah, we really wanted to ask your thoughts on venture capital. Sometimes all the deals get so hot and you have to decide so quickly. You're all just sort of gambling.

It's very difficult to invest money well. And I think it's almost impossible to do time after time after time in venture capital. Yeah, we really wanted to ask your thoughts on venture capital. Sometimes all the deals get so hot and you have to decide so quickly. You're all just sort of gambling.

Well, of course it's good for the world as a whole to have a way of having some currency. The way that was solved is... For a long time, the British pound was the national currency of the investment world. Then it shifted to the dollar, and it's still the dollar. And people like China have these enormous reserves of dollars.

Well, of course it's good for the world as a whole to have a way of having some currency. The way that was solved is... For a long time, the British pound was the national currency of the investment world. Then it shifted to the dollar, and it's still the dollar. And people like China have these enormous reserves of dollars.

The money we make, think of the money people give us where we always just print up these pieces of paper.

The money we make, think of the money people give us where we always just print up these pieces of paper.