Markets on the basis of Area:
The market is classified not only on its geographical spread, but also on the nature of the goods exchanged.
(i) Local market arises when products or services are sold and bought in the place of their production. In such markets, the products exchanged are mostly perishable and semi-durable in nature: For example, vegetable, fruits, etc.
(ii) Provincial market arises when products or services are sold and bought in a restricted circle. For example, provincial newspaper.
(iii) National market arises when products and services are sold and bought throughout a country. For example, Nation-wide market for tea, coffee, cement, electrical goods, some printed books, etc.
(iv) International market arises when products and services are sold and bought at the world level. For example, petrol, gold, etc.

i) Natural Monopoly:
Ownership of the natural raw materials [Eg.- Goldmines (Africa), Coalmines, Nickel (Canada), etc.]
ii) State Monopoly:
Single supplier of some special services (Eg.- Railways in India).
iii) Legal Monopoly:
A monopoly firm can get its monopoly power by getting patent rights, trade mark from the government.

i. There is consumer sovereignty in a perfect competitive market. The consumer has perfect knowledge about the market conditions.
ii. The price is equal to the minimum average cost which is beneficial to the consumer.
iii. The firms are price-takers and the products are homogeneous.

Price-Marker : The power in the firm to get the price for good in the market
Price-Taker : The feature of a firm to accept the price fixed in the industry.

(i) Large number of buyers and sellers.
(ii) They are price makers. They set their own prices.
(iii) Firms produce differentiate products.
(iv) Free entry and exit.
(v) It follows an independent price policy.
(vi) Non-price competition is essential.
(vii) Expenditure on sale promotion of their products.