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Buffett believes in the power of owning businesses with a strong economic moat from "summary" of Warren Buffett's Ground Rules by Jeremy C. Miller
Buffett's investment philosophy revolves around the idea of owning businesses with a strong economic moat. This concept refers to a company's ability to maintain a competitive advantage over its rivals, thereby protecting its profits and market share. A business with a wide economic moat is able to fend off competition and sustain its profitability over the long term. Buffett believes that a company with a strong economic moat has the potential to generate consistent returns for shareholders. By investing in businesses with durable competitive advantages, he aims to secure his capital and achieve superior returns. This strategy is rooted in the principle of buying high-quality companies at a reasonable price and holding onto them for the long term. One of the key benefits of owning businesses with a strong economic moat is their ability to generate sustainable profits. Companies with competitive advan...
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