ENTREPRENEURSHIP

Detailed explanation-1: -The term “economic moat, ‘’ popularized by Warren Buffett, refers to a business’s ability to maintain competitive advantages over its competitors in order to protect its long-term profits and market share.

Detailed explanation-2: -Sustainable competitive advantage refers to assets, characteristics, or capabilities that are unique to a business. They are difficult to replicate and allow a business to meet customer demands better than its competitors.

Detailed explanation-3: -A well-known example of a company with a sustainable competitive advantage is Walmart. Walmart maintains a sustainable competitive advantage in part because its strategies are specific to its organization and these strategies are known for creating a gap between Walmart’s performance and that of its competitors.

Detailed explanation-4: -The three main types of competitive advantages are differentiation, cost advantages, and focus advantages.