A town that has a traditional right to hold a regular market(noun)
Wiktionary.org : Text is available under the Creative Commons Attribution-ShareAlike License
Use "market town" in a sentence
"By midday, we had passed through the hills at the southern end of the Malverns and reached a market town called Ledbury, where we paused at an inn for a brief meal."
"A little further along the quiet roadside on my route to our market town of Diss is a trio of such magnificence they are almost a shrine to me."
"A handsome young man in dirty white running-vest and shorts paused for a moment at the crossroads of a little market town in the south-west of England and then trotted on past the obelisk which commemorated the end of the Boer War."