captive market: meaning, definition, pronunciation and examples

No, not necessarily. It can be a natural result of geography (e.g., an island shop) or created by regulation (e.g., a state-run utility). It becomes illegal if it involves anti-competitive practices like predatory pricing to create a monopoly.

A monopoly is a type of market structure with a single seller. A 'captive market' describes the *condition of the consumers* within that structure (or similar situations like oligopolies with collusion) – they are 'captive' with no alternatives.

Very similarly, yes. 'Captive audience' often refers to people who are physically or situationally obliged to listen or pay attention (e.g., passengers on a plane, students in a lecture). 'Captive market' is more specifically commercial, focusing on the obligation to *buy*.

From a pure profit perspective, it is positive as it guarantees sales. From an ethical, reputational, or long-term innovation perspective, it is often viewed negatively, as it can lead to exploitation and stifle improvement. In business analysis, it is a neutral descriptor of a market condition.

A group of consumers who have little or no choice but to purchase a particular product or service from a specific provider.

Captive market is usually formal; business/economics in register.

Captive market: in British English it is pronounced /ˌkæp.tɪv ˈmɑː.kɪt/, and in American English it is pronounced /ˌkæp.tɪv ˈmɑːr.kɪt/. Tap the audio buttons above to hear it.