Jordan’s Furniture is a unique retail chain. In fact, every one of its stores in New England is unique—and highly profitable. And that’s what caught the eye of Warren Buffett, the head of conglomerate Berkshire Hathaway, who is famous for his astute investments. Buffet bought Jordan’s Furniture in 1999 and has left the founding family in charge to continue the retailer’s winning ways. The company’s history stretches back to 1918, when Samuel Tatelman opened a small furniture store in Waltham, Massachusetts. His son Edward became involved in the family business during the 1930s. By the 1950s, Edward’s children, Barry and Eliot, were learning about furniture retailing first-hand as they helped out during busy periods. In the early 1970s, the two brothers jointly assumed responsibility for running the store, which then had eight employees.

1. Warren Buffett’s Berkshire Hathaway owns three other furniture retailers in addition to Jordan’s. Why do you think the conglomerate left the Tatelman family in charge of Jordan’s after the merger?
2. What do you think Berkshire Hathaway and Jordan’s have each gained from the merger?
3. How much influence are Berkshire Hathaway’s stockholders likely to have (or want) over Jordan’s management? Explain your answer.