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Economic Moat |
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Economic Moat A figurative term that Warren Buffett coined to refer to the competitive advantage one company has over other companies in the industry. Notes: The wider the moat, the larger and more sustainable the competitive advantage. By having a well-known brand name, pricing power, and a large portion of market demand, a company with a wide moat possesses characteristics that are barriers against other companies wanting to enter into the industry. |
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Besides, it was argued, after more than a decade of increasing global competition, there was no way to build an economic moat around the continental U. |
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Economic Moat
