Investing: A Valuable Lesson Taught By Mitt Romney
During the most recent presidential election campaigning between President Barack Obama and ex governor Mitt Romney we were given opportunity to learn a valuable lesson, and although this lesson may have been missed due to all the other important events that took place during the campaign it was and is, I think, a very valuable lesson.
Although Mr. Romney had to be pressured into teaching us some of the key points of this lesson by being forced to reveal and explain the millions of dollars he had stored away in offshore accounts; in the end, this acknowledgement only helped to bring onto full perspective how successful this man has been at investing, even in defeat.
The other parts of Mr. Romney's very significant investing lesson naturally became clear during the course of the Presidential election.
Investing: A Great Family Relationship
Mitt Romney's first big and valuable investing lesson was choosing his wife Ann who has worked with and stuck by him through difficult times. Mr, Romney was also very clear to acknowledge during the course of the campaign that it was his wife Ann who played a very large part in the raising of their 5 sons. I know some may say well that wasn't so difficult when you have a lot of money ; however, I think we have seen enough rich and famous relationships go down the toilet to know that money doesn't necessarily hold a relationship together through the long and sometime difficult times.
It was also very evident for those of us who watched the campaigning and debates for the office of President of the United States that Mr. Romney's son have a great deal of love and respect for their father which to me means that he must have been investing a lot of his time, wisdom, money and love with them while they were growing up and continues investing a meaningful connection with his sons to help in their development as men.
Investing: Business Investments
Here are just a few of the more notable investing business strategies that Mr. Romney was involved in which helped him to create a multi-million of dollars in his financial empire. First though, I think it is important to first make mention of an important event where he helped himself to magnify his statue by investing in a meaningful world event.
Mr. Romney stepped into the national spotlight in 1999, when he took over as president of the Salt Lake Organizing Committee. He helped rescue the 2002 Winter Olympic Games from financial and ethical woes, and helmed the successful Salt Lake City Games in 2002.
In 2004, Romney authored the book Turnaround: Crisis, Leadership, and the Olympic Games. Source
As mentioned earlier, Romney and Bain invested in Staples in Bain's heady early days when venture capital was its weapon of choice and leveraged acquisitions weren't anybody's idea of a good time. It didn't make that investment any less wise or the moves that followed any less indicative of Staples' influence on future endeavors.
Romney and Bain landed this first big success when Staples co-founder Thomas Stemberg bent Romney's ear a quarter-century ago and told him about the growth potential for office supplies.
Stemberg himself was so convinced of it that he and partner Leo Kahn — who each ran grocery chains in the Boston area and had been battling each other for the cheapest price on a Thanksgiving turkey just a year before — focused their attention on dropping the price of $3 pack of pens that sold at wholesale for 10% of that cost.
Bain and Romney saw a $13 million return on their $2 million investment and last year saw Staples bring in $24.5 billion in sales and employ roughly 90,000 people worldwide. That initial gain was enough to bring Bain and Romney back to office supplies again when they leveraged the Ampad buyout in 1992.
The result didn't turn out nearly so well for Ampad or its employees, but Bain's...
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