Market Risk

Definitions

1. The possibility that demand, pricing, timing, or broader market conditions will make a business underperform even if the product is competently executed. Investors distinguish market risk from team and product risk because each fails differently.

   In plain English: The risk that the market itself will not support the business as expected.

   Example: "The product risk felt manageable, but market risk was high because buying urgency was unclear."

Related Terms

• MVP
• Pivot
• Bootstrap
• Competitive Moat
• Corporate Development
• Death Valley
• First Mover Advantage
• Regulatory Risk
• Risk Tolerance
• Upside