Suntan12-Vertical market segmentation is really breaking down the vertical or niche market in order to expand the business model.
For example, a company that supplies the medical alert necklaces might also offer an alert system for car like a Lo Jack.
The company’s niche might be security and in the umbrella of security, they can produce a variety of related products that serves this same market that wants security.
Also a automotive company that makes cars might expand by manufacturing tires which is a related item. This is an example of vertical integration.