What if you're a niche company AND a luxury company?

Any rich person could buy a watch. Not every rich person is interested in riding bikes.

Perhaps if you decide to go luxury, you'd better make sure you're accessible to as many rich people as possible, because they themselves are already a fraction of the population.

Campagnolo went after a fraction of a fraction of a fraction of comsumers, realized that fraction maths out to nearly zero. Oops.