IP & Art

Warren Buffit creates the words " shoes button complex" which means that someone who made a success in a certain field and easily fall into the misconcept that he/she knows anything in the fields other than such field. And he should avoid such misconception.

He always avoided such thinking and stayed within his circle of competence. His thinking is based on the thinking that he has been always investing in business, not a stock. 

He also emphasize the importance of his own decision. Further, he advised us to avoid the type of herd mentality. His allegations will be summarized as follows.

You are neither right nor wrong because people agree with you. You are right because your fact and reasoning are right. 

In this contect, we may find out the reason why he spent so much time in reading annual reports of various compaies and Moody's manual.