{"id":22218,"date":"2022-07-08T20:09:01","date_gmt":"2022-07-08T14:39:01","guid":{"rendered":"https:\/\/scholarsclasses.com\/blog\/?p=22218"},"modified":"2025-01-04T16:08:57","modified_gmt":"2025-01-04T10:38:57","slug":"market-types","status":"publish","type":"post","link":"https:\/\/scholarsclasses.com\/blog\/market-types\/","title":{"rendered":"Market Types on Different Basis  | Free Management Blogs"},"content":{"rendered":"\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_81 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-69dbb7c9b9bd9\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-69dbb7c9b9bd9\"  aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/scholarsclasses.com\/blog\/market-types\/#Market_Types\" >Market Types<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/scholarsclasses.com\/blog\/market-types\/#Meaning_of_Market\" >Meaning of Market?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/scholarsclasses.com\/blog\/market-types\/#Market_Types-2\" >Market Types<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/scholarsclasses.com\/blog\/market-types\/#1_On_the_Basis_of_Area_Covered\" >1) On the Basis of Area Covered<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/scholarsclasses.com\/blog\/market-types\/#2_On_the_Basis_of_Time\" >2) On the Basis of Time<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/scholarsclasses.com\/blog\/market-types\/#3_On_the_Basis_of_Volume_of_Transaction\" >3) On the Basis of Volume of Transaction<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/scholarsclasses.com\/blog\/market-types\/#4_On_the_Basis_of_Importance\" >4) On the Basis of Importance<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/scholarsclasses.com\/blog\/market-types\/#5_On_the_Basis_of_Nature_of_Goods\" >5) On the Basis of Nature of Goods<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/scholarsclasses.com\/blog\/market-types\/#6_On_the_Basis_of_Regulation\" >6) On the Basis of Regulation<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/scholarsclasses.com\/blog\/market-types\/#7_On_the_Basis_of_Competition\" >7) On the Basis of Competition<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2 class=\"has-text-align-center wp-block-heading\"><span class=\"ez-toc-section\" id=\"Market_Types\"><\/span>Market Types<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<figure class=\"wp-block-image size-large is-style-default\"><img decoding=\"async\" width=\"1024\" height=\"576\" data-src=\"https:\/\/scholarsclasses.com\/blog\/wp-content\/uploads\/2022\/07\/Market-Types-1024x576.webp\" alt=\"Market Types\" class=\"wp-image-22251 lazyload\" title=\"\" data-srcset=\"https:\/\/scholarsclasses.com\/blog\/wp-content\/uploads\/2022\/07\/Market-Types-1024x576.webp 1024w, https:\/\/scholarsclasses.com\/blog\/wp-content\/uploads\/2022\/07\/Market-Types-300x169.webp 300w, https:\/\/scholarsclasses.com\/blog\/wp-content\/uploads\/2022\/07\/Market-Types-768x432.webp 768w, https:\/\/scholarsclasses.com\/blog\/wp-content\/uploads\/2022\/07\/Market-Types.webp 1280w\" data-sizes=\"(max-width: 1024px) 100vw, 1024px\" src=\"data:image\/svg+xml;base64,PHN2ZyB3aWR0aD0iMSIgaGVpZ2h0PSIxIiB4bWxucz0iaHR0cDovL3d3dy53My5vcmcvMjAwMC9zdmciPjwvc3ZnPg==\" style=\"--smush-placeholder-width: 1024px; --smush-placeholder-aspect-ratio: 1024\/576;\" \/><figcaption>Market Types<\/figcaption><\/figure>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Meaning_of_Market\"><\/span>Meaning of Market?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>The term <strong>market<\/strong> is derived from the Latin word &#8216;<strong><em>Mercatus<\/em><\/strong>&#8216;, which means &#8216;to trade&#8217;, &#8216;to trade<br>merchandise or a place where business is transacted. <\/p>\n\n\n\n<p>In simple words <strong>market<\/strong> is a place where two or more parties are involved in buying and selling. These two parties involved in the transactions are called <strong>buyers<\/strong> and <strong>sellers<\/strong>. The transaction of buying and selling takes place with exchange of money.<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li><a href=\"https:\/\/scholarsclasses.com\/blog\/nature-of-principle-of-management\/\" data-type=\"URL\" data-id=\"https:\/\/scholarsclasses.com\/blog\/nature-of-principle-of-management\/\">Nature of Principle of Management<\/a><\/li><li><a href=\"https:\/\/scholarsclasses.com\/blog\/importance-of-principles-of-management\/\" data-type=\"URL\" data-id=\"https:\/\/scholarsclasses.com\/blog\/importance-of-principles-of-management\/\">Importance of Principles of Management<\/a><\/li><li><a href=\"https:\/\/scholarsclasses.com\/blog\/henri-fayol-14-principles-of-management-with-examples\/\" data-type=\"URL\" data-id=\"https:\/\/scholarsclasses.com\/blog\/henri-fayol-14-principles-of-management-with-examples\/\">Henri Fayol 14 Principles of Management<\/a><\/li><li><a href=\"https:\/\/scholarsclasses.com\/blog\/scientific-principles-of-management\/\" data-type=\"URL\" data-id=\"https:\/\/scholarsclasses.com\/blog\/scientific-principles-of-management\/\">Scientific Principles of Management<\/a><\/li><li><a href=\"https:\/\/scholarsclasses.com\/blog\/scientific-techniques-of-taylor\/\" data-type=\"URL\" data-id=\"https:\/\/scholarsclasses.com\/blog\/scientific-techniques-of-taylor\/\">Techniques of Scientific Management<\/a><\/li><\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Market_Types-2\"><\/span>Market Types<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p> &#8216;<a href=\"https:\/\/www.merriam-webster.com\/dictionary\/market\" data-type=\"URL\" data-id=\"https:\/\/www.merriam-webster.com\/dictionary\/market\" target=\"_blank\" rel=\"noreferrer noopener\">Markets<\/a>&#8216; can be broadly classified into the following categories.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"1_On_the_Basis_of_Area_Covered\"><\/span>1) On the Basis of Area Covered<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p><strong>a) Local Market<\/strong><\/p>\n\n\n\n<p>The market for the commodities which are sold within local geographical limits of a region is known as a local market.<\/p>\n\n\n\n<p><strong>b) National Market<\/strong><\/p>\n\n\n\n<p>The market for the commodities which are sold within the country is known as national market.<\/p>\n\n\n\n<p><strong>c) International Market<\/strong><\/p>\n\n\n\n<p>The market for the commodities which are produced in one country and sold in other countries is known as international market.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"2_On_the_Basis_of_Time\"><\/span>2) On the Basis of Time<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p><strong>a) Very Short Period Market<\/strong><\/p>\n\n\n\n<p>This type of market has very short time existence viz., for few hours or for a day at a particular time and place. In this type of market perishable goods such as vegetables, fruits, milk products etc. are sold.<\/p>\n\n\n\n<p><strong>b) Short Period Market<\/strong><\/p>\n\n\n\n<p>This type of market has existence for a short period viz. weekly markets, festival market, market during fairs etc. Perishable or semi-durable goods are sold in this market.<\/p>\n\n\n\n<p><strong>c) Long Period Market<\/strong><\/p>\n\n\n\n<p>This type of market has existence for long period. In this type of market durable commodities which are generally non-perishable in nature are sold.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"3_On_the_Basis_of_Volume_of_Transaction\"><\/span>3) On the Basis of Volume of Transaction<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p><strong>a) Wholesale Market <\/strong><\/p>\n\n\n\n<p>In the wholesale market, the activity of buying and selling goods is undertaken in large quantities at cheaper prices. Goods are sold to retailers who then sell them to the consumers. It refers to the market for bulk purchase and sale of goods.<\/p>\n\n\n\n<p>In such a market sellers are known as wholesalers and buyers are known as retailers.<\/p>\n\n\n\n<p><strong>b) Retail Market<\/strong><\/p>\n\n\n\n<p>Retail market is the market where retailer sells goods directly to the consumer in small quantities.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"4_On_the_Basis_of_Importance\"><\/span>4) On the Basis of Importance<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p><strong>a) Primary Market<\/strong><\/p>\n\n\n\n<p>Primary Market refers to the market for primary products such as agricultural and forest products, for example, fruits, vegetables, food grains etc.<\/p>\n\n\n\n<p><strong>b) Secondary Market<\/strong><\/p>\n\n\n\n<p>Secondary Market refers to the market for semi-processed and semi-manufactured goods. For example yarn market, iron ore market etc.<\/p>\n\n\n\n<p><strong>c) Terminal Market<\/strong><\/p>\n\n\n\n<p>Terminal Market refers to the market where goods are sold to the ultimate consumers or the users of the product.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"5_On_the_Basis_of_Nature_of_Goods\"><\/span>5) On the Basis of Nature of Goods<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p><strong>a) Commodity Market<\/strong><\/p>\n\n\n\n<p>The commodity market refers to the market for goods, materials, or produces viz., consumer goods and industrial goods.<\/p>\n\n\n\n<p><strong>b) Capital Markets<\/strong><\/p>\n\n\n\n<p>t is a market for borrowing and lending long-term capital required by business enterprises. The financial asset dealt within capital market have long or indefinite maturity period.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"6_On_the_Basis_of_Regulation\"><\/span>6) On the Basis of Regulation<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p><strong>a) Regulated Market<\/strong><\/p>\n\n\n\n<p>A regulated market refers to the markets regulated by statutory provisions of the country. For example, Commodity Exchanges, Stock Exchanges, Foreign Exchanges<\/p>\n\n\n\n<p><strong>b) Unregulated or Free Market<\/strong><\/p>\n\n\n\n<p>It refers to the markets which are not controlled by any specific regulations. It generally operates according to forces of demand and supply.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"7_On_the_Basis_of_Competition\"><\/span>7) On the Basis of Competition<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p><strong>a) Perfect Market<\/strong><\/p>\n\n\n\n<p>Perfect market is a market where large number of buyers and sellers buy and sell their homogeneous products. These buyers and sellers have perfect knowledge about market conditions and therefore, one single price prevails in the market.<\/p>\n\n\n\n<p><strong>b) Imperfect Market<\/strong><\/p>\n\n\n\n<p>Imperfect Market refers to a market situation that is characterised by market imperfection such as single seller, maladjustment in demand and supply, imperfect knowledge on the part of buyers or sellers, etc.<\/p>\n\n\n\n<p><strong>Imperfect markets are further divided in the following markets :<\/strong><\/p>\n\n\n\n<p><strong>1) Monopoly<\/strong><\/p>\n\n\n\n<p>In monopoly, there is a single producer or seller who controls the market. There are no close substitutes for the product. Monopoly controls the supply and can fix the price.<\/p>\n\n\n\n<p><strong>2) Duopoly<\/strong><\/p>\n\n\n\n<p>In duopoly, there are two sellers, selling either a homogeneous product or a differentiated product. These two sellers enjoy a monopoly in the sale of the product produced by them.<\/p>\n\n\n\n<p><strong>3) Oligopoly <\/strong><\/p>\n\n\n\n<p>In oligopoly there are only a few sellers. They may be producing and selling either a homogeneous or a differentiated product.<\/p>\n\n\n\n<p><strong>4) Monopsony<\/strong><\/p>\n\n\n\n<p>Monopsony refers to a market situation when there is a single buyer of a commodity or service.<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li><a href=\"https:\/\/scholarsclasses.com\/blog\/importance-of-law-of-diminishing-marginal-utility\/\" data-type=\"URL\" data-id=\"https:\/\/scholarsclasses.com\/blog\/importance-of-law-of-diminishing-marginal-utility\/\" target=\"_blank\" rel=\"noreferrer noopener\">Importance of Law of Diminishing Marginal Utility<\/a><\/li><li><a href=\"https:\/\/scholarsclasses.com\/blog\/utility-in-economics-meaning-concepts\/\" data-type=\"URL\" data-id=\"https:\/\/scholarsclasses.com\/blog\/utility-in-economics-meaning-concepts\/\" target=\"_blank\" rel=\"noreferrer noopener\">Utility in Economics ( Concepts of Utility )<\/a><\/li><li><a href=\"https:\/\/scholarsclasses.com\/blog\/features-of-utility\/\" data-type=\"URL\" data-id=\"https:\/\/scholarsclasses.com\/blog\/features-of-utility\/\" target=\"_blank\" rel=\"noreferrer noopener\">Features of Utility<\/a><\/li><li><a href=\"https:\/\/scholarsclasses.com\/blog\/importance-of-organizing\/\" data-type=\"URL\" data-id=\"https:\/\/scholarsclasses.com\/blog\/importance-of-organizing\/\">Importance of Organizing<\/a><\/li><li><a href=\"https:\/\/scholarsclasses.com\/blog\/what-is-the-importance-of-planning\/\" data-type=\"URL\" data-id=\"https:\/\/scholarsclasses.com\/blog\/what-is-the-importance-of-planning\/\">Importance of Planning<\/a><\/li><\/ul>\n","protected":false},"excerpt":{"rendered":"<p>&#46;&#46;&#46;<\/p>\n","protected":false},"author":1,"featured_media":22251,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[10],"tags":[5333],"class_list":["post-22218","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-educational-blogs","tag-market-types"],"_links":{"self":[{"href":"https:\/\/scholarsclasses.com\/blog\/wp-json\/wp\/v2\/posts\/22218","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/scholarsclasses.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/scholarsclasses.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/scholarsclasses.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/scholarsclasses.com\/blog\/wp-json\/wp\/v2\/comments?post=22218"}],"version-history":[{"count":1,"href":"https:\/\/scholarsclasses.com\/blog\/wp-json\/wp\/v2\/posts\/22218\/revisions"}],"predecessor-version":[{"id":32973,"href":"https:\/\/scholarsclasses.com\/blog\/wp-json\/wp\/v2\/posts\/22218\/revisions\/32973"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/scholarsclasses.com\/blog\/wp-json\/wp\/v2\/media\/22251"}],"wp:attachment":[{"href":"https:\/\/scholarsclasses.com\/blog\/wp-json\/wp\/v2\/media?parent=22218"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/scholarsclasses.com\/blog\/wp-json\/wp\/v2\/categories?post=22218"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/scholarsclasses.com\/blog\/wp-json\/wp\/v2\/tags?post=22218"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}