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QuestionerHowever, Berkshire owns a large number of subsidiary businesses, most of which are never mentioned. Is there a point at which Berkshire becomes too large to manage? And should we have any concern over the lack of information for most of Berkshire's companies? Is there a time that could come when Berkshire's too large and complex?
WarrenYeah, I don't think we're getting too big to manage because we're different from practically every other big corporation in the United States in that we are so excessively decentralized. We have decentralized so much, and we have so much authority in the subsidiaries, that we can keep doing it for a long, long time as long as it keeps working. And I would say so far that our decentralization has caused more benefits than defects. But nobody seems to copy us.
CharlieWell, that's absolutely true. But I would say this, decentralization won't work unless you have the right kind of culture accompanying it.
WarrenYeah, but we do.
CharlieYeah, we do. But it's dependent on it. And Greg will keep the culture. If we had a culture of people who were trying to make a lot of money for themselves in the next five years at the top, it would not have worked.
WarrenNo, of course not. And the culture is part of it. But assuming we keep the culture, it can go on quite a ways.
CharlieFor a long, long time.
WarrenLong, long time. In fact, it may amaze everybody. And by the way, the Roman Empire worked as long as it did because it was so decentralized. Charlie says to me, you won't know.