Sublime
An inspiration engine for ideas
How an Economic Moat Provides a Competitive Advantage
investopedia.com
The company has a wide “moat,” or competitive advantage.
Benjamin Graham • The Intelligent Investor, Rev. Ed (Collins Business Essentials)
Think about an economic moat in two dimensions. There’s depth—how much money the firm can make—and there’s width—how long the firm can sustain above-average profits.
Pat Dorsey • The Five Rules for Successful Stock Investing: Morningstar's Guide to Building Wealth and Winning in the Market
Moat:
“An intrinsic characteristic that gives the business a durable competitive advantage” - Munger
What separates a bad company from a good one? Or a good company from a great one? In large part, it’s the size of the economic moat a company builds around itself. The term economic moat is used to describe a firm’s competitive advantage—in
Pat Dorsey • The Five Rules for Successful Stock Investing: Morningstar's Guide to Building Wealth and Winning in the Market
The stronger a firm’s competitive advantage—that is, the wider its moat—the more likely it will be able to keep competitors at bay and generate a reliable stream of cash flows.
