We are active investors. What does that mean? We believe we have the responsibility to make well researched investment decisions on behalf of our investors. During our relationship with our portfolio companies, we offer to management teams our own skills and external resources to help ensure that well grounded operating decisions are made.
Before an acquisition, a thorough business review of the opportunity occurs with particular focus on a particular industry's dynamics, a company's relative competitive position and management's skills and plans for the future. We feel strongly that rigorous due diligence during this period is crucial to the ultimate success of an investment. Additionally, our early work helps us become well versed in the key issues and opportunities in front of managment enabling us to become more effective partners as future important decisions are debated.
Post closing, a private equity firm can act as a relatively hands-off financial owner or it can act as a full-fledged operating holding company providing constant direction. Typically Berkshire plays a role between these extremes which varies considerably from company to company. Our goal is to become an asset to management, whether that means acting as an informed sounding board, or actively participating in the analysis process with our own staff or specialized external resources. In all cases we are focused on trying to help make the most appropriate operating decisions to ensure long term success.