Festivals and markets are similar as they bring together a variety of elements into a single, large event. How they differ is in emphasis, with festivals focusing on performances and activities and markets on vendors offering food and other items for sale, although both generally include all these elements.
Festivals are distinct from carnivals. Carnivals are typically travelling shows with mechanical amusements and games of chance. Festivals are expressions of the local culture and reflect the place where they are hosted. Festivals are celebratory artistic or seasonal events and serve to advance local identity and community cohesion.