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Economic Moat

Hasbro has a narrow economic moat

Exclusive game worlds and characters help keep fans seeking Hasbro’s games from switching to direct copies, while Magic benefits from a large pool of people to play against. These advantages are strongest in Hasbro’s games and brands, rather than across every product it sells.

What protects Hasbro from competitors

Intangible Assets

Hasbro owns distinctive properties such as Magic: The Gathering, Monopoly and Dungeons & Dragons, and its trademarks and copyrights prevent rivals from selling the same names, characters and worlds. Fans seeking those specific properties must buy from Hasbro or its licensees, and licensing lets Hasbro extend them into other products.

Network Effects

In Magic: The Gathering, more players give fans more people to play against; the digital version also connects players for different game formats and tournaments. This makes Magic more useful to its players than a similar game with a smaller player base.

What could weaken Hasbro's moat

2 risks to watch

One for each source of the moat: what could happen and how it would weaken it