Interviewer: When you consider an acquisition, what are the first things you look for in a management team? Buffet: Well, what do you look for in a girl? Seriously, you look for the logical things - passion, an interest in running the business, honesty. Such as, do they love the business, or do they love the money? This is the first filter. I mean real passion; Mrs. B ran Nebraska Furniture Mart until she died at the age of 103 - that’s passion. If temperament is the most important personal asset in managing money, in business, it’s passion. Secondarily, if you’ve been doing it a while, you get to know how to do it. But obviously no management team is perfect, so you’re often stuck making a judgment call. You don’t want to wait forever to find the perfect team. Incidentally, a friend of mine spent twenty years looking for the perfect woman; unfortunately, when he found her he discovered that she was looking for the perfect man. Some main points spoken by Buffet during a graduation speech at an university: 1. “Stay within your circle of competence.” Clearly much of Mr. Buffett’s success has stemmed from his disciplined focus on investing in businesses that he understands and avoiding those that he doesn’t. He counseled us to ask questions constantly and never assume that we have achieved “expert” status in anything. 2. There’s still time for you to choose your own path; tell the truth and be independent. One of Mr. Buffett’s central messages was that success is dependent upon elective qualities, not something anyone is born with. He reminded us that we each get to choose whether or not we’re dependable, honest, and compassionate. 3. There’s no free lunch. With most things in life, those who work harder and think more clearly are ultimately rewarded. If you’re willing to roll the dice on a business or life decision, then you should be willing to accept a wider range of outcomes, including failure. 4. “The meaning of life is to do everything you can to make sure the people you care about love you back.”