Identifying a moat others have created is something that people like Munger and Buffett can do. Munger admits that he and Buffett buy moats rather than build them, because building them is not something they do particularly well. In addition to a moat, Munger insists that there be a talented management team already in place. For investors who buy moats instead of creating one, the existence of a moat has special value because they can sometimes survive financially, even if management talent does not deliver as expected or if they leave the business.
