E7Advanced

Competitive Moat Analysis

45 minWhen assessing the competitive landscape

Format: Use Warren Buffett's "moat" framework to analyze a product's competitive advantage.

Five types of moats:

Type Description Example
Network effects More users = more value WeChat, Facebook
Brand Users willing to pay a premium Apple, Notion
Switching costs High cost to leave Slack (team data), Figma
Cost advantage Cheaper than competitors Economies of scale
Scale effects Limited market capacity, first-mover wins Local services

Exercise: Analyze your 3 favorite products -- what type of moat do they have? How deep is it? Can it be replicated?

My Notes