No. 175 · Strategy · Biology
Niches
You don’t have to win everywhere; fit one need better than anyone else.
In the Almanac
“The Grants’ finches”, 1977 · “Ferrari”, 2015
Both stories in full, three ways to use it and where it misleads.
Get the AlmanacQuestions
What is Niches?
A niche is the specific role an organism plays in its ecosystem: what it eats, where it lives and how it fits alongside others. Species that specialize avoid head-on competition and thrive.
How do you use Niches?
Apply it by finding the space where your mix of skills is rare, focusing your spending and effort on what truly matters, and appreciating the different roles people play in your life. Keep watching for change, because niches can shift.
When does Niches matter?
Niches is one of the 56 mental models for strategy, the situations where you ask: How do I win when others want the same thing? Within that, it belongs to “Finding your advantage”, alongside Barriers to Entry, Center of Gravity and Economies of Scale.
What is an example of Niches?
Two stories show it at work: The Grants’ finches (1977) and Ferrari (2015). Both are told in full in The Mental Models Daily Almanac, which has two stories for each of its 365 models.
Which mental models are related to Niches?
Specialisation, Moats and Circle of Competence. Niches itself comes from biology.