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Mr Buffett says he likes businesses he can understand.

Coke has been a good thing for Warren Buffett

Coca-Cola's business model isn't quite as simple as you might imagine - involving separate syrup production and bottling plants - but it's not rocket science.

First produced in 1895 as a syrup, the soft drinks company's advertising and its unique bottle gave Coke global recognition.

During the 1980s, Mr Buffett believed that Coca-Cola's share price did not reflect the company's steady returns, strong brand and opportunities for growth, so he started buying its shares.

Now with an 8.6% stake in the company, Berkshire Hathaway's commitment to this once-undervalued firm has paid off - and is now worth more than $10 billion. - BBC

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