“The single most important decision in evaluating a business is pricing power,” Buffett told the Financial Crisis Inquiry Commission in an interview released by the panel last week. “If you’ve got the power to raise prices without losing business to a competitor, you’ve got a very good business. And if you have to have a prayer session before raising the price by 10 percent, then you’ve got a terrible business.” (read here)

I reckon the ability to raise price is closely related to how strong the company’s moat is. I have previously written a post on business moat. (read here) Of course if the business moat here is about driving costs down and being a low-cost leader, then pricing power may not be that relevant (in fact raising price will be contradictory to the strategy).

Interestingly, Straco has recently announced that their Aquariums will adjust ticket prices …