From time to time I turn to Warren Buffett and always come out refreshed. I find his letters to shareholders piercing and at the same time a sheer joy to read. In every letter,
What is a “moat”?
And what does “enduring” involve?
Classic example of this is Motorola. During 2004-2005, Motorola’s RAZR was synonymous with “innovation”. Ed Zander was the “innovation” hero. If you look at market share numbers, a drop by 2% or 3% may seem harmless for a giant like Motorola. But looks like it is enough for it to go into tailspin. Even after pumping in several billion dollars, it could not bring out another “disruptive innovation”.
It is interesting to see that something like “disruptive innovation” is cool from a technologist’s and strategist's perspective and the same thing is totally “uncool” from wise investor like Buffett’s perspective. Buffett is right, society needs all kinds of people.