Economic Moat
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Definition of 'Economic Moat'The competitive advantage that one company has over other companies in the same industry. This term was coined by renowned investor Warren Buffett. |
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Investopedia explains 'Economic Moat'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 act as barriers against other companies wanting to enter into the industry. |
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