Understanding a ventures position within the startup market could help better prepare and prevent failure. There are four types of startups, each with their own requirements. These types are:

  • Startups that are entering an existing market
  • Startups that are creating an entirely new market
  • Startups that want to resegment an existing market as a low-cost entrant
  • Startup that want to resegment an existing market as a niche player

One should not make the mistake in assuming each stage is the same or treating all startups the same (Blank, S. G. 2013). Market types have a huge impact on what a company does. This ranges from how they evaluate customer needs, market size, and how products are launched.

As a company goes through their respective customer development process, the importance placed on knowing the market type grows. To gain a better understanding of the market there are multiple factors that can be reviewed. One can research their designated products, distribution channels, pricing, product demand and more.


Blank, S. G. (2013). The four steps to the epiphany: Successful strategies for products that win. Pasadena, CA: Steve Blank.

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1 Comment

  1. Thank you for your blog on the main 4 types of markets. The one I have connected with is the niche market. Good luck to you. Thanks for your support and all of your hard work the past couple of years.

    Liked by 1 person

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