Profile of Warren Buffett
It takes 20 years to build a reputation and five minutes to ruin it. If you think about that, you’ll do things differently.
There is rich, and there is Warren Buffett. Do I mean that he is more wealthy in terms of money than everyone but a handful of people on this earth? Yes! At the same time, I am referring to his life philosophy. Warren Buffett lives a simple life. He does not live in a large mansion, nor does he have a 10 man strong security detail. He spends his days reading and learning, ever advancing his knowledge. There are many leaders who have built great companies, Warren Buffett built a great conglomerate.
The first rule is not to lose. The second rule is not to forget the first rule.
As noted in an earlier article true entrepreneurs are risk-averse instead of risk-takers. Warren Buffett, on the one hand, finds opportunities where others do not see the advantage of doing business, yet also tries to leverage his buys so that he is never in a position to lose. By having his things in order he is prepared for the worst, so when things get tough he will stand strong. Next to being risk-averse he also likes to keep things simple, Warren Buffett believes in not complicating things when not needed and has a strong ability to see through complicated matters and to spot the silver lining.
Honesty is a very expensive gift – do not expect it from cheap people.
Trust is another one of the great characteristics that Warren Buffett possesses. By strategically giving trust to people around him he has created a company in which there are low interpersonal costs and people can build on each other. Warren Buffett has been in a partnership with Charlie Munger for almost the whole of his life, he has trusted him in everything and therefore discussion will be constructive instead of destructive. Trust is not only an interpersonal skill for the good, it also has saved him many millions on due-diligence and other non-trust measures that did not have to be executed.
I have always wanted to improve what I do, even if it reduces my income in any given year. And I always set aside time so I can play my own self-amusement and improvement game.
The last lesson learned here from Warren Buffett and his business partner Charlie Munger is to be a learner your whole life. Investing in your education, reading every day, is what they find to be one of the key habits of smart people. This means cutting down on your time spent with ‘news’ and social media, but to set aside a minimum of 1 hour a day to read, to understand, to discuss and build your cumulative knowledge.
By trusting the people around you, getting the right people on the bus (a risk-averse one that is), and building your knowledge base – you will reach an ever-growing body of success!
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