2 Does it have a sustainable competitive advantage (moat)?

"That gets rid of a very significant percentage of things. We can tell, in the middle of the first sentence usually, whether those two factors exist."

"If we can’t understand it, we can’t make a decision as to whether it has a sustainable edge.

And if we can understand it, very often we come to the conclusion that it’s not the kind of business that will have a sustainable edge."