market

The major concepts of market can be classified into three parts. They are as follows:
1. Place concept
2. Area concept
3. Demand concept

1. Place concept:
Under this concept, a market is a convenient meeting place for buyers and sellers to gather together in order to conduct buying and selling activities. It is very common and narrow concept. A place concept of market where buyers and sellers meet together to perform the exchange function.
2. Area concept:
According to this concept, market means a group of potential buyers and sellers spread over an area connected by the means of transportation and communication. Buyers and sellers keep the close relation to each other with the help of transportation and communication. They carry out the exchange functions without face to face meeting or direct contact. It may not be necessary that the market should be a specific place. It may extend beyond district, region and countries to international dimensions.
According to Kotler "Market is an area of potential exchanges, that is a group of buyers and sellers interested in negotiating the terms of purchase and sale of goods and services."
Hence, we can say that market is not only the convenient meeting place but it is an area of potential with the help of modern means of communication such as correspondence, telephone, fax and email etc.
3. Demand Concept:
According to this concept, market represents the total demand of customers. In this sense, market means people with needs to satisfy, the money to spend and will or desire to spend that money to satisfy their wants. If anyone element is not satisfied, that can't be the needs. So, meet the meaning of demand, people should have the needs, they should have money to spend, desire to spend and money to satisfy their wants. Our wants are unlimited and want satisfaction is never ending. It is continuous from the birth to death.
According to Stanton, "Market may be defined as an aggregate demand by potential buyers of a product or services."