Cartel - Financial definition
Concise definition of the term cartel
A cartel is a group of independent businesses which join together to coordinate the production, pricing or marketing of its members.
Comprehensive definition of the term cartel
The purpose of forming a cartel is to increase profitability by eliminating competition.
This is achieved by sharing a monopoly over the group's industry, which forces the public to pay higher prices than would have been required if the group did not have an arrangement.