Definition
Sustainable competitive advantages that protect a company from rivals, like a medieval castle's water-filled ditch. Modern moats include brand loyalty, patents, and network effects rather than crocodiles.
Example Usage
Amazon's logistics network is their competitive moat—nobody else can afford to build that infrastructure.
Origin
Popularized by Warren Buffett in his investment philosophy
Fun Fact
Buffett's favorite moats are so wide that competitors give up before trying to cross, which is more cost-effective than actual warfare.
Source: Strategic management and investment analysis terminology
Related Terms
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See “competitive moat” in Corporate Speak, Gen-Z Slang, Pirate Speak, and more.
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