Final answer:
Market analysis is the component of the marketing process that helps identify the needs of external customers.
Step-by-step explanation:
In the marketing process, the component that best helps identify the needs of external customers is Market analysis.
Market analysis involves researching and analyzing the target market to gain insights into customer preferences, behaviors, and needs. It helps businesses understand their customers better and make informed decisions about product development, pricing, and promotional strategies.
For example, through market analysis, a company may identify that its target customers value convenience and affordability, leading them to develop a product that meets these needs.