moated

Definition

Surrounded by a protective water-filled trench, which in business parlance describes a company with such strong competitive advantages that rivals can't touch them. Warren Buffett made this term famous by obsessing over companies with "economic moats" that defend market share like medieval fortifications. These days, everyone claims they have a moat, but most are more like puddles.

Example Usage

The VC insisted our SaaS platform was moated by network effects, though competitors were already scaling the castle walls with better pricing.

Source: Investment terminology popularized by Warren Buffett

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