What is a funicular railway?

In the news about the recent accident at a ski resort in Austria, the reporters called the cable car that carried the skiers up the mountain a "funicular railway." What is that and how does it work?

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Funicular for urban, touristic and industrial application - POMA

World's steepest funicular now in operation

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Funicular railway at Muottas Muragl - a Royalty Free Stock Photo