A series of markets that are linked in a chain because goods pass from one market to another is Chain of markets. A producer can’t sell a small quantity of goods to an individual consumer and so an individual consumer can’t buy a large quantity of products from producers. So, wholesale traders, retailers, etc. are required to connected with the producers and consumers.
Final Answer:
The formation of chain of markets occur when, traders supply goods from the producers to the consumers. Wholesale markets are the ones where other dealers buy the goods in huge bulks. The dealers then sell the goods in markets launched weekly to consumers and that is how a chain of markets is formed. The chain fulfills the purpose of getting the goods from the producers, who live in remote areas, to buyers in towns and cities.
