alt Hacker NewsMcDonald’s is considered to have one of the biggest moats of any business. They have an extremely valuable brand, excellent locations, optimized supply chains, and so on.
McDonald’s is considered to have one of the biggest moats of any business. They have an extremely valuable brand, excellent locations, optimized supply chains, and so on.
Their moat is only for people who feel like eating a McDonald’s. That’s what the article is saying - when analysed they don’t actually have much of a moat because there are so many other options and competitors including cooking at home. Yet they still survive and look as if they have a moat. A moat for McDonald’s would be if their customers ate there every day or even every meal, and few people actually do that.