Propitious niche

A Propitious Niche

A niche is a demand from an emerging industry that is not fully met by an existing product. As a result, a Propitious Niche is a need that supports only one company, either internally or externally, to the point that most firms are unable to satisfy the market's requirements (Diego, 2012). To identify a promising niche, a business can use a first-come, first-served strategy in order to meet consumer demand. A lucrative niche, also known as a "strategic sweet spot," is unprofitable for a company that has to compete with others. Frankj. Zamboni & Co. is a business that has sought a profitable niche. Zamboni Company invented and designed an ice resurfacing vehicle that creates a perfect sheet of ice. From the previous old method where people had to clean and scrape ice with their hands whenever they needed to skate, this machine made work easier.

Understanding the Importance of Niche

One reason why the niche exists in the market is to identify that particular need of a customer that only one firm can deliver a better solution with a specialized offering. For example, in India, there are various cinema halls. Some of them have recliner seats which tend to charge higher than the other ones. The benefit of the propitious niche here is when a particular company targets the need of that market by opening a cinema hall in a posh area where the customers don’t mind paying more (Francess, 1995). For a company to go for a Niche, it should first strategize the demand of the market plus how much it may cost. The reasons as to why the need is critical is because the firm needs to structure what to put across to how big the market may be and for what length is an individual product required.

References

Centanni, D. (2012). The Propitious Time. Projects and Complexity, 203-214. doi:10.1201/b11956-9

Stewart, F. (1995). Why We Need a Structured Market. Poverty, Prosperity and the World Economy, 187-209. doi:10.1007/978-1-349-13658-2_9