BRX Pro Tip: Why Warren Buffet Thinks Pricing Power is Important
Stone Payton: [00:00:00] Welcome back to Business RadioX Pro Tips. Lee Kantor and Stone Payton here with you. Lee, everyone who has ever met me knows I’m a huge Buffett fan, Jimmy Buffett and Warren Buffett. And you’ve learned some of what Mr. Warren Buffett has to say and how he feels about pricing. Say more.
Lee Kantor: [00:00:20] Yeah. Warren Buffett says pricing power is the single most important decision when evaluating a business. He says that if you have your fingers crossed when raising prices hoping you won’t destroy your company, then you don’t have such a great business. And this is one of the key attributes he looks for when he buys businesses.
Lee Kantor: [00:00:44] Do you have the pricing power that you think you have? What do you have to do today to make your business value so high that people will pay what they have to pay in order to keep getting it? That makes your business sticky. That makes your business more valuable. And it makes your business more difficult to replace for the consumer.
Lee Kantor: [00:01:07] So, it’s something that you should be thinking about every single day. What can I do to keep increasing the value that my customers pay so they keep continuing to pay the prices they have to pay in order to get what I have?
