I answered this in a different thread. It looks like you repeated the same post two places.
Again, you need to differentiate quality of the business and management efficiency of capital from the valuation. The business with the highest ROE in the world can have a stupid valuation. The company with a low ROE can have a compelling valuation. ROE is a statement of the businesses ability to make returns against the capital it raised and retained. Price is what you pay, and price can be cheap or expensive, independent of ROE.
One of my better investments last year was an Australian foreign ordinary share named ServiceStream (SSM.AX) that I bought at 1/4 of book value with something like a 6% return on equity. Adjusting for the discount from book, that was a 24% simple return if they paid out all retained earnings as a dividend.
In a perfect world you buy high return on equity businesses for as large a discount as possible.