How Does the Mafia Make Money (6 Ways)

marlon brando in the godfather 1972

Mafia was a term originally reserved for the Sicilian mafia but has been expanded to encompass similar outfits from different parts of the wold. Examples of these are the La Eme from Mexico, the Russian mafia and the Yakuza from Japan.Like all other criminal organizations, the core objective of the mafia is to make money. To make a lot of it, Mafia families are involved in most organized crimes and participate in numerous illegal activities. Illegal goods are untaxed and unregulated and thus offer an attractive income source.

Among these illegal activities, the major income generators are as follows:

1. Extortion.

The mafia uses their reputation of ruthlessness to threaten individuals with violence if not paid a certain fee not to carry out the threat. They instill fear of something happening to the victim or those close to them if they do not bend to the mafia’s will. The mafia also employs blackmail as a method of extortion where they use some kind of leverage to force the hand of the victim. Usury, whereby the victim feels indebted to the mafia is used to extort favors and even cash.

2. Drugs.

The mafia has major interests in the drugs business. They range from manufacturing of the drugs to their transportation and distribution. Where the drugs are to cross border lines, they also get involved in smuggling.

3. Prostitution.

The mafia recruits young women into prostitution and mafioso act as their “pimps” collecting a portion of the girls earnings. In exchange they provide clients for the girls and enforce payment from difficult clients.

4. Illegal gambling.

The mafia provides willing participant with underground gambling services with entertainment from the prostitutes they “manage”. The mafia is embracing technology and using the internet for illegal sports betting too.

5. Protection racketeering.

The different families have areas in which they offer protection to locals known as territories. Local businesses pay protection fees and the mafia will protect the business from other criminals. Protection is also provided for criminal activities that cannot be protected by law enforcement due to their illegal nature. Payment of protection fees is mandatory for all businesses operating in that area and those who don’t pay face brutality or vandalism of their property .

6. Loan-sharking.

The mafia gives quick loans to desperate people or people with bad credit. For this they charge ridiculous amounts of interest with defaulters being dealt with by enforcers tasked with the duty or retrieving lent cash.

written by: likemind

article is just for entertainment/educational purposes, we’re not suggesting anyone to do this 🙂

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