Iconic investors like Warren Buffett always emphasize the importance of an economic moat for companies to qualify for Berkshire Hathaway investment.
What is an economic moat?
The term economic moat, popularized by Warren Buffett, refers to a business' ability to maintain competitive advantages over its competitors in order to protect its long-term profits and market share from competing firms. Just like a medieval castle, the moat serves to protect those inside the fortress and their riches from outsiders.
One of the best economic moats protect by the legal framework are
Patents
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