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1. Local State (useState, useReducer)

  • Best for small, isolated components.

  • Example: form inputs, toggles, or modals.

  • Scales poorly if many components need the same data.

2. Context API

  • Good for sharing state across multiple components without prop drilling.

  • Often used for theme settings, authentication, or user preferences.

  • Can cause unnecessary re-renders if not optimized.

3. State Management Libraries

  • Redux / Redux Toolkit → Provides a centralized store, predictable state updates, and middleware for async actions. Suitable for large, complex apps.

  • MobX → Uses observables, focuses on simplicity and reactivity.

  • Zustand / Recoil → Lightweight alternatives for modern React apps, offering simpler APIs than Redux.

4. Server State Management

  • For data fetched from APIs, tools like React Query, SWR, or Apollo Client (GraphQL) help manage caching, background updates, and synchronization with the server.

  • This reduces the need to keep remote data in Redux or Context.

5. Best Practices

  • Keep local UI state in components.

  • Use Context or lightweight libraries for app-wide shared state.

  • Use specialized tools (React Query, Apollo) for server state.

  • Normalize and structure state to avoid duplication.

  • Split large stores into feature-based modules for scalability.

In short: Combine local state, Context, and external libraries strategically—don’t rely on one tool for everything.

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