ENTREPRENEURSHIP

MANAGEMENT

LIFE OF AN ENTREPRENEUR
WARREN BUFFET

Submitted By:-
Vinit Agrawal 457
WARREN EDWARD BUFFET
 “Oracle of Omaha”

 Chairman and CEO of Berkshire

Hathaway, a conglomerate holding
company with its headquarters in
Omaha

 Aged 80
Childhood days
 Showed interest in making and saving
money
 Door to door selling
 Chewing gum
 Coca Cola
 Weekly Magazines
 Worked in his grandfathers grocery store
 Delivered newspaper
Initial Investments
 Bought a used pinball machine in
partnership with a friend and placed it
in a local barber shop
 In few months, the partnership had
several machines in different
locations
 Sold the whole business for a lump
sum amount
Stock Market
 At the age of 14 Warren Buffet made
his entry into Share Market
 He invested the amount he received
from selling his pinball machines into
various companies and a farm
 By the time he finished his college he
accumulated around $90,000 in
savings measured in 2009 dollars,
which will be more than Rs.40 lakhs
Career
 Worked as a stock broker at Omaha
 Taught “Investment Principles” at
University of Nebraska
 Joined Banjamin Graham’s
partnership
 His starting salary was $12,000
 Approximately $97,000 (Rs.45 lakh)
adjusted to 2008 dollars
Warren Buffet Six Principles
 1 : Keep it Simple Principle
 2 : Be a investor, not a trader
 3 : Find outstanding business
 4 : Make your own Decisions
 5 : Leave a margin of safety Rule 1 :
Never lose money Rule 2 : Never
forget rule No.1
 6 : Focus on strengths
Partnership Businesses

 In 1956 Banjamin Graham retired

 Buffets personal savings were above
$174000
 above $1.2 million (Rs.5 crores)
adjusted to 2009 dollar value
 Started Buffets partnership Ltd
 Entered into various partnerships
As a billionaire
 Net Worth – US $45 billion (2010)
 Ranked second wealthiest in 2009
 Currently ranked as third wealthiest
 Noted for his personal frugality
despite his immense wealth
 Have pledged to give away 99% of
his fortune for philanthropic causes
primarily via Gates Foundation
Buffet still lives in $31,500 house
which he bought in 1957
Berkshire Hathaway

 Buffett eventually ended Berkshire Hathaway's

textile involvement, but kept the name itself
for what became his portfolio of companies. He
began to invest in majorly undervalued
companies such as Coca-Cola, the Washington
Post, and American Express. Today, Berkshire
Hathaway owns large holdings in many
previously undervalued companies that have
become major players in the market.
Philanthropist and humble man
 In spite of his incredible wealth, Buffett
remains a humble man who still lives in
the house he bought in 1958 in Omaha,
Nebraska. He has and plans to continue
to give much of his wealth away to
charity, much of it while he is still alive.
Most of this money will go to the
foundation friend and fellow billionaire
Bill Gates has set up.
Thank You