Horizontal market
Encyclopedia
A horizontal market is a market
which meets a given need of a wide variety of industries, rather than a specific one.
) industries. For example, customers that need to purchase computer security services or software exist in such varied industries as finance, healthcare, government, etc. Together, these customers constitute the security horizontal market. Other examples of horizontal markets include computer storage, accounting, desktop graphics, computer-aided design, sales force automation, and human resources. Often specialized distribution channels emerge to serve these unique horizontal markets.
Market
A market is one of many varieties of systems, institutions, procedures, social relations and infrastructures whereby parties engage in exchange. While parties may exchange goods and services by barter, most markets rely on sellers offering their goods or services in exchange for money from buyers...
which meets a given need of a wide variety of industries, rather than a specific one.
Examples
In technology, horizontal markets consist of customers that share a common need that exists in many or all (verticalVertical market
A vertical market is a group of similar businesses and customers that engage in trade based on specific and specialized needs. Often, participants in a vertical market are very limited to a subset of a larger industry...
) industries. For example, customers that need to purchase computer security services or software exist in such varied industries as finance, healthcare, government, etc. Together, these customers constitute the security horizontal market. Other examples of horizontal markets include computer storage, accounting, desktop graphics, computer-aided design, sales force automation, and human resources. Often specialized distribution channels emerge to serve these unique horizontal markets.