In which ways captive market differ from non captive market? discuss with example.

Captive And Non-captive Marketing

Captive And Non-captive Marketing

by GOPESH BAIDYA -
Number of replies: 0

Captive Marketing : Captive markets are markets where the potential consumers face a severely limited number of competitive suppliers; their only choices are to purchase what is available or to make no purchase at all. The term therefore applies to any market where there is a monopoly or oligopoly.

Example:

1.Suppliers of custom or unique clothing for events, such as uniforms, parades, or performances.

2. Petroleum products are part of a captive market in many areas of the world.

Non-Captive Marketing :Non-Captive Market Locations means traditional, street-level free-standing and in-line restaurant locations that are not contained within larger retail or other foot traffic generating environments; and are not co-branded with other retail food service concepts.

Example:Subject to the other terms of this Agreement, Licensor grants to Licensee the right to use the Proprietary Marks and System (defined below) solely for the purpose of operating and authorizing third parties to operate Restaurants which are

1. within the PFSI Market; and

 2. in Non-Captive Market Locations and Shopping Malls.