This whole post is referring to this statistic: [https://www.statista.com/statistics/443460/percentage-of-population-that-has-used-illicit-drugs-by-drug/](https://www.statista.com/statistics/443460/percentage-of-population-that-has-used-illicit-drugs-by-drug/)
The cartel is so rich and has so much power which makes me wonder how the hell are they making so much money if there’s quite a low of percentage of people using drugs.
In: 2701
People are trying to find an easy explanation, but the reasons are somewhat complex.
A. Drug addictions often become non-negotiable. Once you are thoroughly addicted, you can’t dispute price-gouging – you don’t have the time to find another dealer that *might* have better deals. So even if most of the population doesn’t indulge, those that are addicted are what other industries term “whales”, people who will *not* stop spending as long as the service isn’t fundamentally disrupted.
B. Since the addiction-forming drugs we are talking about are illegal in most countries, you can’t really do anything against exploitation, either. Rat out your dealer and you don’t have anyone to supply you.
C. Cartels control many illegal businesses. Prostitution/pimping, illegal modifications to guns (or even getting guns at all), anything that’s illegal is a great opportunity for cartels. They are already doing really illegal shit, so the jump is easier, and there’s synergy to be had – getting sex workers addicted, for example, has long been a tactic to extract maximum profit out of them.
D. Cartels do *lots* of other, legal things – and in some places explicitly step in where the government is too unstable to fulfill its duties (…something the cartels often make worse, very effective for cartels). So in the countries where they produce drugs and have a far stronger foothold, they often rival the state. They also provide an in-group community to members, and once they’ve gone on for a generation or two, there are people who are basically born into a cartel and are molded by it.
E. They do all the things other companies under capitalism do to maximize profit and power. They often have (or are associated with) above-board companies, they do lobbying, bribing etc. – and they have the synergy of, again, already doing illegal shit. Their workers can’t complain to a union and can’t call on the state to help. Conventional union busting is basically not necessary when there literally can’t be a union.
Latest Answers