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Market saturation exists in a given industry when the available supply of goods equals or falls short of customer demand. A variety of factors, including more competition, lower market need and obsolescence, contribute to saturated conditions.arket saturation exists in a given industry when the available supply of goods equals or falls short of customer demand. A variety of factors, including more competition, lower market need and obsolescence, contribute to saturated conditions.
When you have the answers to these questions, you should do two things: Focus on your primary market. Many business owners fall into the trap of believing that their products or services are âfor everyoneââ that is, anyone would be interested in or need the products. Research your market.