Moat: the protective shield for the business model

A Moat In an economic context, a sustainable competitive advantage that protects a company from the competition in the long term. The term was popularised in particular by the investor Warren Buffett. Just as a real moat protects a fortress, an economic advantage secures a company against competition. Moat a company's business model from attacks by competitors. Examples of such advantages include strong brands, patents, network effects or particularly cost-efficient structures.