saturation in economics

In economics, saturation refers to a situation where a market has absorbed most of the potential demand for a product or service, meaning that additional marketing or supply won't significantly increase sales. When a market becomes saturated, consumers already have enough of that product, and there’s limited room for growth. This often leads to intense competition among sellers, price stabilization, and slower sales growth. Saturation signals that the market is reaching its maximum potential, prompting businesses to innovate or explore new markets to expand.