The most common entry strategy for entrepreneurs is the market niche. In a niche strategy, the entrepreneur finds a small part of a market that is not being served or is significantly under-served. A niche strategy gives the entrepreneur a safer market with less competition and a more dependent market.
Generally, a niche strategy is a good way to enter the market for a new business. It usually takes fewer resources for the start-up, due to lower marketing costs and the ability to start on a smaller scale. Success rates tend to be higher for niche businesses since they have less direct competition. Without much competition, niche businesses can charge higher prices, which allows for quicker positive cash flow during start-up and better margins once profitable.
A blog site, NicheGeek, was passed along that looks at nothing but interesting niche markets. Reading what others do to find an protect niches is helpful in finding your own niche. It requires a different style of starting and growing a business.
