Old Mutual shares

A way to invest is to first determine which companies have strong enough competitive moats that they are likely to be the winners in their industry - what durable competitive advantages do they have? How much capital will it take for a competitor to emerge? Are there any patents which protect?

Possibilities

	Brands	Cost advantage	Availability of competitor products	Ease of changing product	Is there a practice of buying back stock?
BAT	Strong brands, and the ban on advertising means that it's very difficult for new entrants to get into the game.				Yes
SAB	Strong brands	Large economies of scale	Yes	Easy, but there are some strong brand associations
Sasol	Demand for oil is growing but supply is limited. Sasol uses coal & gas to create oil. It has 30 years of reserves around its Secunda plant, and many more years of reserves elsewhere.
Platinum mines	Platinum is used as jewellery & in industry as a catalyst. The only listed platinum stocks in the world mine in Southern Africa, with 80% of the world's reserves in South Africa.
Famous Brands
Clover	a branded foods and beverages group with a strong emphasis on value-added products. The group primarily operates in two divisions, namely the Dairy operations and the beverage operations.		Yes	Easy
Nestle	Ricoffee
JSE
Tiger brands	Koo brand (favourite brand in South Africa) Tastic		Yes	Easy
AVI
Astral Foods
Rainbow Chickens
Pioneer
MTN	Strong brand	Large economies of scale	Yes	Time consuming
Vodacom	Strong brand	Large economies of scale	Yes	Time consuming
ABSA	Strong brand	Large economies of scale	Yes	Time consuming
FNB	Strong brand	Large economies of scale	Yes	Time consuming
Capitec	Strong brand	Large economies of scale	Yes	Time consuming
Discovery	Strong brand	Large economies of scale	Yes	Time consuming
Investec	Strong brand in business circles	?	Yes	Time consuming
Nedbank	Strong brand	Large economies of scale	Yes	Time consuming
Old Mutual	Strong brand	Large economies of scale	Yes	Time consuming
Unilever	Sunlight Handy Andy
PnP	Strong brand			Easy
Woolworths	Very strong brand		Yes	Easy
Steers	Strong brand	Economies of scale	Yes, but not the same thing	Difficult, as there aren't similar enough products.
Nandos	Strong brand	Economies of scale	Yes, but not the same thing	Difficult, as there aren't similar enough products.
Shoprite	Very strong brand	Economies of scale	Yes	Easy
Outsurance	Strong brand	Large economies of scale	Yes	Time consuming (possibly costly? Lose your outbonus?)
Sanlam	Strong brand	Large economies of scale	Yes	Time consuming
Santam	Strong brand	Large economies of scale	Yes	Time consuming
Standard Bank	Strong brand	Large economies of scale	Yes	Time consuming
Sun International	Strong brand	Large economies of scale	?	?
Tsogo Sun		?	?	?

Strong brand according to Sunday Times survey

If you have a great consumer product that requires very little capital to grow & support that growth - and you do more volume as inflation grows - that is a wonderful asset to protect against inflation.

The worst businesses are the ones with huge receivables & inventories. Their volume stays flat & they have to come up with more money to finance that volume. Normally BRK does not like businesses that require a lot of capital - railroads & utilities.

Goodwill should not be used in evaluating a business. What the management are doing and how the operating business are doing are the most important factors. The focus should be returns on tangible assets. How much tangible assets is the company employing to earn pretax earnings?

Category	1st	2nd	3rd
Overall Favourite Brand	KOO	Coca-Cola	KFC
Robyn Putter Brand Agency of the Year	Ogilvy South Africa	Draftfcb	The Jupiter Drawing Room
Marketing Personality of the Year	Enzo Scarcella from Vodacom	Serame Taukobong from MTN	Ravi Naidoo from Interactive Africa
Brand that has done the most to uplift the community	Coca-Cola	Pick n Pay	Shoprite
Brand that has done the most to promote "green"	Pick n Pay	Woolworths	Nedbank

Category	1st	2nd	3rd
Domestic Airline	British Airways	Kulula.com	South African Airways
Business Media - Radio	Talk Radio 702	Cape Talk 567	SAfm
Business Bank	Investec	Standard Bank	FNB
Telecommunications Provider	Vodacom	MTN	Nashua Mobile
Medical Aid	Discovery
Car Hire	Avis	Europcar	Budget
Cellphone	BlackBerry	Apple iPhone	Nokia
Hotel Group	Sun International Hotels and Resorts	Protea Hotels and Protea Hotel Fire & Ice	Southern Sun and Garden Court
Long-term Insurance	Discovery Life	Old Mutual	Momentum Life (including Metropolitan)
Short-term Insurance	Santam	OUTsurance	Zurich

Category	1st	2nd	3rd
Alcoholic Spirits	Hennessy	Jameson	Johnnie Walker
Beer	Hansa	Heineken	Carling Black Label
Cider	Savanna Dry/Light	Hunter's Dry/Gold/ Extreme	Redd's Dry/Original
Alcoholic Coolers	Red Square	Hooch Fox	Bacardi Breezer
Cellphone	Nokia	BlackBerry	Samsung
Chocolate	Cadbury slabs	Lunch Bar	Ferrero Rocher
Telecommunications Provider	MTN	Vodacom	Cell C
Retail bank	Absa	Standard Bank	FNB
Soft Drink	Coca-Cola	Fanta	Sprite
Fast Food	KFC	Nando's	McDonald's / McCafe
Convenience and Grocery Store	Shoprite	Pick n Pay (Supermarket/ Hypermarket/ Family Store)	Woolworths
Hot Beverage	Ricoffy	Freshpak	Joko
Household Cleaning	Handy Andy	Sunlight	Jik
Laundry Care	Sunlight	Sta-Soft	Omo
Essential Food	Tastic	Albany	White Star
Electronic Goods	Samsung	LG	Sony
Domestic Airline	South African Airways	British Airways	Mango
Car	BMW	Mercedes Benz	Toyota
Sports Clothing Brand	Nike	Adidas	Puma
Short-term Insurance	OUTsurance	First for Women	ABSA
Long-term Insurance	Old Mutual	Sanlam	Metropolitan Life
Weekly Newspaper	Sunday Times	City Press	Soccer Laduma
Beauty and Cosmetics	Estee Lauder	Yardley	Avon
Tinned Food	KOO	Lucky Star	All Gold

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Share with competitive moats on the JSE

Possibilities

Strong brand according to Sunday Times survey