Chondrocytes originate from chondroblasts and are found within lacunae in cartilage matrix. Young chondrocytes located beneath the perichondrium are flat and elliptical shaped, while mature chondrocytes deeper in cartilage are spherical. Chondrocytes maintain the cartilage matrix and allow for growth through mitosis, with daughter cells sometimes remaining together in nests due to the rigid nature of the surrounding matrix.