Warren Buffett lamented selling Berkshire Hathaway’s shares of McDonald’s in his 1998 letter to shareholders, calling it “a very big mistake.” Yet, in spite of starting nearly every day with a breakfast sandwich from the fast-food leader, the Oracle of Omaha didn’t reinvest in McDonald’s.
In a shareholder meeting posted on YouTube, he compared McDonald’s to companies like Coca-Cola and Gillette. The latter two benefit from brand loyalty that helps drive their growth.
