Which term describes a market characterized by the unique needs of a small segment of customers?

A niche market is defined by catering to the specific and unique needs of a small segment of customers. Businesses operating within a niche market focus on specialized products or services that appeal to a distinct group of consumers who have particular preferences or requirements. This approach allows companies to differentiate themselves from larger competitors, often leading to higher customer loyalty and less competition.

In contrast, a mass market targets a broad audience, offering products or services that meet the general needs of a wide range of consumers. A new market refers to the introduction of a product or service in an area where no similar offerings exist yet, rather than a market defined by specific customer needs. A global market refers to the international exchange of goods and services, aiming at a worldwide customer base rather than a specific segment. Thus, the concept of a niche market is central to understanding how businesses can thrive by focusing on well-defined customer groups.