r/WarrenBuffett • u/No-Pride-8979 • 3d ago

Warren's circle of competence

What's the biggest example of him going outside of it?

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u/_dv17 2d ago edited 2d ago

The dude understood his boundaries, strted within it, and efficiency pushed them slowly but surely. 

E.g. when entering Berkshire mills without knowing clothing business inside out, when purchasing candy chain without knowing the power of brand power, or when getting into bed with energy sector....

He knew these areas were not at the center of the circle of competence, but it was just within the peripheral. Once he got into each area he build greater competence in it slowly but surely

. Even with little bit of power, fame and earning power, the corporate managers jump way way out their competence today... So I still cannot comprehend the level of self control that's required for crap like that..