Investing like Warren Buffett is neither an art nor a science. Rather, it is a study of human nature and a willingness to follow a mundane path. As the Oracle of Omaha has proved, boring does not equal unprofitable. His investments often reflect the most basic products and services, ranging from consumer goods like razor blades and laundry detergent to soft drinks and automobile insurance.

A basic tenet of Buffett's strategy is to invest in companies he believes will provide a long-term value investment, rather than investing in fads or technologies that may be profitable in the short run but are likely to become obsolete in the foreseeable future. His investments are guided by his famous words: "It's far better to buy a wonderful company at a fair price than a fair company at a wonderful price."

Choosing investments with long-term value
In 1987, Buffett famously stated, "I'll tell you why I like the cigarette business. It costs a penny to make. Sell it for a dollar. It's addictive. And there's fantastic brand loyalty." While he later stated that the tobacco industry was burdened with issues that made him change his opinion of it, this statement sums up Buffett's description of the perfect investment.

Buffett's holding company, Berkshire Hathaway, has a portfolio that contains both wholly owned subsidiaries, such as Geico Auto Insurance and Benjamin Moore & Co., and sizable blocks of shares in publicly traded corporations. For example, Berkshire Hathaway is the largest shareholder of both Coca Cola and Kraft Foods, brands that are ubiquitous throughout America's supermarkets. To find the most recent holdings look for the SEC form 13F.

While these investments are profitable, Buffett's most ingenuous picks were his purchases of See's Candy and Gillette. Both were so seemingly ordinary that they belied their market shares and their capacity to generate profits that most companies only dream about. Let's take a look at them in depth.

Patience pays
Buffett's modus operandi is to be patient, so he did not liquidate his holding and take an immediate profit. Rather, he continued to demonstrate his confidence in Gillette's management, even as the company invested millions of dollars in research and development and acquired Duracell, another classic American brand.

In 2005, the acquisition of Gillette by Proctor & Gamble valued Berkshire Hathaway's shares at more than $5 billion and made Berkshire Hathaway the largest shareholder of the world's leading consumer product manufacturer. Since P&G fits Buffett's parameters as a company that possesses many of America's favorite brand names, he assured Wall Street that he would not only hold the shares, but would increase his position in the company.

If Buffett had invested the original $600 million in the Standard & Poor's 500 Index rather than in P&G, its value before dividends would have grown to only $2.2 billion.

While See's and Gillette are seemingly very different companies, Buffett recognised that both possessed the most valuable formula a company can achieve: profitable and timeless name-brand products.

Boxed candy has been a staple of American society for generations, and See's is such a well-loved product that the company saw growth even during the years of the Great Depression. Gillette's shaving products serve a need that will never disappear, and its products have been found in homes throughout America and the world.

Financially, both businesses reflect strategies that have proved to be successful. The cost of producing boxed candy has often been, like perfume, less costly than the packaging and marketing of the product. This translates into extraordinary profit.

And the razor blade business that Gillette pioneered and still dominates is the original example of the business model of giving away a larger, infrequently purchased product (the razor) in order to sell a smaller, repeatedly purchased product (the disposable blades) to customers for the rest of their lives.

Conclusion
The first step in replicating Buffett's investment strategy is to locate wonderful companies with long-term value and fairly priced stock. The next step is to get away from the sidelines and invest. See's was profitable before Buffett purchased it, just as Gillette was already known on Wall Street as a desirable investment. It is Buffett's willingness to put his cash down and hold these stocks for the long run that separates him from those who only watch and wait.

Buffett has described his strategy as the "Rip van Winkle approach" after the main character of a famous short story by American author Washington Irving who falls asleep and wakes up 20 years later. Perfect timing is difficult if not impossible to achieve, but Buffett explains that "we simply attempt to be fearful when others are greedy and to be greedy only when others are fearful."