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by HiLo 3829 days ago
I know most people here mean marijuana legalization when they say drug legalization, but there is absolutely no way meth, cocaine, or heroine will be legalized within the next 15-20 years, which is fairly long-term from a business perspective, by which I mean that they are not worried about their status as a going concern even if marijuana is legalized in the US. Their violence also is a complement to their ability to hold control of the routes / networks to actually move these products in any significant volume. It ensures they get paid whether they control production or not.

Furthermore, one industry in which violence will prove to be an asset but hasn't yet had an opportunity (like the guy below me claims) is profit recovery from legal dispensaries inside the US. Dispensaries and their owners have huge targets on their backs.

1 comments

Mariguana is most of the weight and the volume of cartel operations but Mexican intelligence analysts say it produces only a quarter of the revenue.

That leaves the majority of cartel revenue still viable as long as amphetamines are restricted. Opiates are a rising profit center as DEA policy blocks branded opioid distribution equally to addicts and chronic pain sufferers.

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Parent describes legal marijuana businesses as targets for cartel violence because they do business in cash. Foreign cartels can't compete against local US gangs if that emerges as a racket. Also, it may become possible for mariguana businesses to use banks if cash starts driving crime. States may have to charter or run state banks eventually if federal officials continue to block the federal banks.

In any case there are no black markets as persistently profitable as the cartels' current drug business.

Fair points, but I didn't say it was because of their cash dealings. I was suggesting it more because of how the cartels operate. Also, claims that local gangs would be able to compete against cartel-aligned gangs (which is already making a huge assumption that they aren't one and the same) strongly disagrees with spikes in violence in Chicago, arguably (obviously) the largest hub for Sinaloa volumes, as well as Baltimore.

My suggestion was merely that I would be balls paranoid about security if I was tied to a dispensary in the US, no matter how legal, not because of cash, but because once one person uses that strategy (violence) they all will, such as how cocaine dealing became significantly more violent permanently once there was a wave of violence in the late 70's / early 80's.

How is profit recovery from dispensaries different from any other business with respect to racketeering? As far as I know racketeering is not a major threat to US businesses in general, what makes legal dispensaries different? Are you implying that the feds won't prosecute rackets against dispensaries, and state agencies are inadequate?