Good thread Ken, it's actually an area I have been looking at pretty closely lately. Also, some good points raised by others.
Ken ::
Admitedly the industries you are embedded in are fairly secure areas, but say for example they bottomed out? Creating a niche can landlock you in this case. Just speaking from my past experiences dealing in niches, here are a couple of examples.
1. US dollar went up, price of gold went down. The whole industry slowed, right down to the fuel manufactures, machinery suppliers, etc.
2. Interest rate rise, building & construction slows, companies go out of business all the way down the line to suppliers, contractors, real estate/developers, designers, etc.
3. An event such as 9/11 occurs, and the hospitality/tourism industry feels it throughtout many sectors, from transport to the restraunt owner & their suppliers.
While the logic behind having specialized a niche sounds good, I think it is also a good idea to have a bit of diversity with them. You dont want to allow one incident to bring down your whole client base.
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