Product-market fit occurs when a product meets the needs of a specific market segment and achieves significant customer satisfaction, resulting in strong demand and sustainable growth. It indicates that the product has found its ideal audience and is solving a problem that is important to them. Achieving product-market fit is a critical milestone for startups and businesses, as it signals that the product has the potential for long-term success. Companies that achieve product-market fit often experience rapid growth, increased customer loyalty, and a competitive advantage. The process of finding product-market fit involves iterative testing, customer feedback, and continuous improvement to align the product with market needs.