Yesterday I had the 3pm blues. Groggy and grumpy my need for caffeine led me to my neighbourhood convenience store where I found what I was looking for…a can of Coke Zero. While I felt better 10 minutes later, I couldn’t believe I shelled out $1.25. As a kid 30 years ago, I remember buying a can for 25 cents. Coke’s stock has gone up even more than the cost of its product, rising 10 times over the past 30 years and that doesn’t even take into account dividends.
The lesson is simple yet clear. A company that offers a high quality experience to its customers and which has the ability to raise the price of its products over time should be the cornerstone of your portfolio.
Disclosure: Unfortunately, the author does not own shares in the Coca Cola Company.
