Evolving Structure of Mexican Drug Cartels - 1494 Words

A businessman, and a business woman sit across from each other in negotiations. The man proposes four thousand pesos, and the woman says she cant afford that much. She counter-offers with twenty-five hundred pesos. The man agrees and leaves. This was a weekly payment for the protection of the womans local business against the Juarez Cartel. (Lacey, M. 2010). Many critics are now making comparisons between the Mexican drug cartels, like the one mentioned above, and legitimate corporations like Netflix, or Google. There are currently seven major Mexican drug cartels. Although, the cartels may all come from different backgrounds and have different approaches towards trafficking drugs, they all share a similar business style structure to†¦show more content†¦It also had structures that included separate sections designed and staffed for different facets of the drug trade. Additionally it had supervisors at every level to decentralize the decision-making responsibilities of the t op leadership. The Gulf Cartel was the first to recruit Mexican Special Forces to act as a military wing to: enforce receipt of payments, protect from other cartels, and carry out well organized assassinations of members from rival gangs or cartels. This Special Forces group was known as the Zetas. The Gulf Cartels vision to bring a group of highly trained gunmen into the drug game would forever have an impact on the drug cartels in Mexico (Beith, M. (2013, September 24)). The Gulf Cartel has a intricate reach into the United States through: supply lines, smuggling routes, and communication lines all maintained by lower level leadership in the cartel to ensure products reach their destination and that the money is returned to Mexico. In recent years, The Gulf Cartel has been plagued with several issues including; many high level arrests and the split between the Gulf Cartel and their protection wing, the Zetas. They have been losing leadership and fighting a territorial war with the Zetas, who are heavily invested in the same areas as the Gulf Cartel. The Zeta group exemplifies diversity. They use different ways to gain revenue. When they defected from the Gulf Cartel they were initiallyShow MoreRelatedEssay on The Effects of Cartels in Mexico2350 Words   |  10 PagesDecember 2010, approximately 38,000 Mexican citizens were killed by cartel related violence. Even without counting the many thousands of Mexicans who were killed before December 2006, the War on Drugs, over ten years, will be fifteen times deadlier than the War on Terror. The level of violence near the border is unacceptable and the United States must share the blame. The rising death toll serves as the proof of what certain people have been saying for years: both the Mexican and American governments needRead MoreIllegal Immigration And Drug Smuggling3206 Words   |  13 Pagesto get these drugs into the U.S.â€Æ' Drug smuggling has been an issue in the United States since the 1960s and the Border Patrol has made many efforts to stop drugs from crossing our borders. The Purpose of the Border Patrol is to secure and keep our borders safe. Recently their focus has been on illegal immigration and drug smuggling. Drug smuggling has become an increasing issue and the efforts of the Border Patrol are being pushed to stop these illegal activities. The influx of drugs into the U.SRead MoreDamodaran Book on Investment Valuation, 2nd Edition398423 Words   |  1594 Pagesvalue obtained from discounted cashflow valuation. (5) Firms in the process of restructuring: Firms in the process of restructuring often sell some of their assets, acquire other assets, and change their capital structure and dividend policy. Some of them also change their ownership structure (going from publicly traded to private status) and management compensation schemes. Each of these changes makes estimating future cashflows more difficult and affects the riskiness of the firm. Using historical