what are the basis of market classification?
Dear Student
Market Classification:
1. On the Basis of Geographic Location:
(a) Local market: Market where buyers and sellers are limited to local region or area. They usually sell goods of daily use.
(b) Regional Market : Where buyers and sellers are concentrated in a certain region or state.
(c) National Market: Where demand for the goods is limited to one specific country. Eg. Nehru cap
(d) International market: Where demand for goods crosses the boundary of a country, the market is called international market. Eg. Gold, silver etc.
2. On the Basis of Time:
(a) Very short period market: The supply of goods in this market is limited to their stock only. We cannot increase their supply instantly.Eg. Market for flowers, vegetables.
(b) Short Period Market: The market is slightly longer than very short period market.
(c) Long period market: Where supply can be adjusted to the quantity demanded called long run or long period market.
3. Markets Based on Competition:
(a) Perfect competition market: When there is competition between sellers and buyers and within sellers and within buyers.
(b) Monopolistic Competition: A market structure where there is a large number of small sellers selling differentiated but close substitute products.
(c) Oligopoly: It is one of kinds of Imperfect competition. When the number of sellers is few, it is oligopoly.
(d) Monopoly: Where number of sellers are limited.
4. On the Basis of Regulation:
(a) Regulated Market:Market which is regulated by appropriate government authorities. This is to ensure there are no unfair trade practices in the market.For example, the stock market is a highly regulated market.
(b) Unregulated Market: This is an absolutely free market. There is no regulation. Market forces are supreme.
Regards
Market Classification:
1. On the Basis of Geographic Location:
(a) Local market: Market where buyers and sellers are limited to local region or area. They usually sell goods of daily use.
(b) Regional Market : Where buyers and sellers are concentrated in a certain region or state.
(c) National Market: Where demand for the goods is limited to one specific country. Eg. Nehru cap
(d) International market: Where demand for goods crosses the boundary of a country, the market is called international market. Eg. Gold, silver etc.
2. On the Basis of Time:
(a) Very short period market: The supply of goods in this market is limited to their stock only. We cannot increase their supply instantly.Eg. Market for flowers, vegetables.
(b) Short Period Market: The market is slightly longer than very short period market.
(c) Long period market: Where supply can be adjusted to the quantity demanded called long run or long period market.
3. Markets Based on Competition:
(a) Perfect competition market: When there is competition between sellers and buyers and within sellers and within buyers.
(b) Monopolistic Competition: A market structure where there is a large number of small sellers selling differentiated but close substitute products.
(c) Oligopoly: It is one of kinds of Imperfect competition. When the number of sellers is few, it is oligopoly.
(d) Monopoly: Where number of sellers are limited.
4. On the Basis of Regulation:
(a) Regulated Market:Market which is regulated by appropriate government authorities. This is to ensure there are no unfair trade practices in the market.For example, the stock market is a highly regulated market.
(b) Unregulated Market: This is an absolutely free market. There is no regulation. Market forces are supreme.
Regards