cartel
An association of manufacturers or suppliers with the purpose of maintaining prices at a high level and restricting competition.
While often used for drug organizations (e.g., 'drug cartel'), it is also a technical term in economics for legal or illegal price-fixing groups.
Word relationships
- syndicate: A syndicate is a broader term for any group acting together; a cartel specifically targets market control.
- trust: An older term for a large group of businesses that coordinate to reduce competition.
- competitor: A person or company that tries to be more successful than others in the same market.
Commonly confused with
- monopoly: A monopoly is one company; a cartel is a group of companies.
Collocations
- drug cartel
- international cartel
- break up a cartel
- cartel leader
Example sentences
- "OPEC is often described as an oil cartel because its members coordinate production to influence global prices." Discussing international oil prices.
- "The government launched a major offensive against the drug cartel operating along the border." A report on law enforcement efforts.
Memory hook
Think of a 'car' full of 'tell-ers' (bankers) agreeing to keep prices high. A cartel is a 'card' (charta) or contract between rivals.
When not to use
Do not use for a single company that has a monopoly; a cartel requires multiple independent entities working together.
Fun facts
- The Medellín Cartel, led by Pablo Escobar, was once responsible for 80% of the world's cocaine market.
- Cartels are illegal in most countries under 'anti-trust' laws.
Explore more words
monopoly, oligopoly, price-fixing, consortium, collusion, conspiracy
Also appears in
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