The concept of economic moats was first made popular by Warren Buffett. In actuality, a moat is a water body around a wonderful castle that helps prevent being raided by enemies. The attractiveness of the castle would have lured enemies to attack. In a similar way, the superior returns of a business venture would invariably attract competition. To protect your business you would have to build significant competitive advantages that would help secure it. Branding Superior product offering Great distribution Size of operation Scalability Management quality Technology adoption IPR / patents / copyrights are some of the factors which help to build a moat. And several of these together help to broaden and deepen the moat. Businesses without moats are waiting to get raided. And we must watch the economic moats with a hawks eye to ensure that they are not being eroded. Especially in today’s times, when disruptive forces erode competitive advantages, we must ensure that it is enduring. However, it is not easy to understand whether the moat is eroding or not. Cause the effect of no moat or an eroding moat will show up much later in the deteriorating financial performance of the business. Hence the time to engage in a “moat checkup and review” is when the business is at its peak.

1. “Businesses that
have no moats are
waiting to get
raided”
Vinit Bolinjkar
https://bit.ly/2Ky73jU

2. All the information in this slide deck has been created by Vinit
Bolinjkar for India Investors Club.
Any unauthorized copying, alteration, distribution, transmission,
performance, display, or other use of this material is prohibited.
To request authorization, please contact
indiainvestorsclub.in@gmail.com

3. As part of the
8 Criteria of Elimination for picking stocks with multibagger potential
https://bit.ly/2UKPBgh,
we had discussed
"Businesses that have no MOATS are waiting to get raided."

4. Economic moats are factors that help businesses sustain competitive advantages.
• Branding
• Superior product offering
• Great distribution
• Size of operation
• Scalability
• Management quality
• Technology adoption
• IPR
are some of the factors that help to build a moat.
Several of these together help to broaden and deepen the moat.

5. Webinar #1
10 Businesses with Superlative Moats
https://pos.li/2bokl8
Strong moats help in multiplying market cap
(absence of moats destroys the same)
Join us on April 17, 2019
https://pos.li/2bokl8

6. This webinar is part of the
Webinar Series :
Multibagger Stock Picking | Using the Cfriteria of Elimination

7. Webinar #1: 10 Businesses with Superlative Moats
Webinar #2: Building Conviction Around Sectoral Growth
Webinar #3: Making sense of Acquisitions
Webinar #4: Cashflow is the engine of growth
Webinar #5: Do You Know What Is The Cost of Your Invested Capital
Webinar #6: Avoiding Scams While Investing
Webinar #7: How to Avoid Paying Too Much When Buying Stocks
Webinar #8: A Deep Dive into Avoiding the Traps of A Poor Management

8. Thank You
@indiainvestors1
indiainvestorsclub