Tren Griffin+ Your Authors @trengriffin I work for Microsoft. Previously I was a partner at Eagle River, a private equity firm established by Craig McCaw. I am on the board of directors of Kymeta. May. 06, 2020 1 min read + Your Authors

1/ Munger: "Amazon has more to fear from Costco than Costco has to fear from Amazon. Because [Costco has] a better warehouse situation that is much cheaper- plus a public that totally believes that anything they sell will be high quality and low price."

2/ Charlie Munger: "they're coming late to any sort of delivery system. But in the end they’ll be more efficient and they’re already more trusted. So I would say all the figures show that Costco has nothing to fear from Amazon."

3/ "Charles T. Munger has been a director of Costco since January 1997."

"In 2001 Jim Sinegal met Jeff Bezos in a Starbucks in Bellevue, Washington and told the Amazon CEO about the Costco business model."  https://www.google.com/amp/s/25iq.com/2014/05/24/a-dozen-things-ive-learned-from-james-sinegal/amp/ 

4/ The question Munger was answering was:

Q: Do any companies have a sustainable moat against competition from the likes of Amazon? Who is Amazon-proof?

He wasn't saying Amazon would not do well or spectacularly well. Charlie was talking about Costco, where he's a director.


You can follow @trengriffin.



Bookmark

____
Tip: mention @threader_app on a Twitter thread with the keyword “compile” to get a link to it.

Enjoy Threader? Sign up.

Since you’re here...

... we’re asking visitors like you to make a contribution to support this independent project. In these uncertain times, access to information is vital. Threader gets 1,000,000+ visits a month and our iOS Twitter client was featured as an App of the Day by Apple. Your financial support will help two developers to keep working on this app. Everyone’s contribution, big or small, is so valuable. Support Threader by becoming premium or by donating on PayPal. Thank you.