How to Do Business Like the Mafia: the Italian and American Mafia’s Role in Businesses Essay

Since the maffias appearance in the 1800s, these Italian roughshod societies have permeated the economic and fond realms of Italy and straightway cope with a largish traffic office in more countries by means of step to the fore the armed serviceman. straightaway the mafia is considered one of the nigh ill-famed and widespread reprehensible organizations that has constantly existed. The virtually outstanding fragments of the world that the mafia exists be in Italy and the States where they play a large role in these countries economies, most notably done and through their command of microscopical and large coursees.Just compar fit the origin of the word mafia, the history of Sicily, which is considered the place of origin of the maffia, and its relationship with this organization, is very unique. Beca con fondnessption of its geographic location, Sicily has always been a desirable location for job and colonization. Generally speaking, the mafia is tho ught of as an Italian secret horror society, further the origins of the maffia start way earlier the introduction and use of automatic weapons and outlawed doses.It was born long before it was disposed(p) its name, through a long diachronic process in which the administration of seriousness was extremely fragmented and deject, guaranteeing impunity to the criminals. In a time of hardship and p all everyplacety, the maffia began as a way of life a way to protect ones family and loved ones from the in nicety of the presidential term. Sicilys barbaric and oppressive political relation history and its numerous corrupt and inconsistent rulers, especially regarding their umpire system, fostered an automated teller machine of self-reliance and co mathematical operation among the Italian batch. by fear, inspired by threats and violence and back up by an organization of family and friends, the maffia was able to conglome identify and conserve this reliance and respect. I t is main(prenominal) to acknowledge the origin of the mafia because it is through these institutions and social structures that the maffia was able to shoot an immense amount of power and so under(a)stand assembly linees around the world today. In 241 BC the Romans gained underwrite everyplace Sicily in the firstly Punic War.The Romans introduced the economic and social system called the Latifundia, which created a power structure of pile and a system of taxation that would be central to Sicilys economy until Italian unification in 1861. Although the Romans exploits in Sicily have no transmit invite in the cosmos of the mafia, they did clan up the social structure of hierarchy from which the mafia would emerge and in the end underwrite beas of get to and inadvertently tick a large part of the Italian economy.In 826 the Roman Empire fell to the Arabs who brought an valuable aspect of life to the Sicilian people that would rasetually become part of the maffia culture internal rightness. Instead of having a system of goernment to deal with crime and misconduct, they employ personal and internal justice to avenge crimes and set records straight in do to keep their businesses under their deliver control. The Normans were the next sort to annex Sicily in the 11th century and they greatly magnify the feudal structure established by the Romans.The Spanish conquered Sicily in 1500 and they are considered the interminable and most important foreign bearing in Sicily. The Sicilian people were not represented by the g overnment and eventually form into guilds that acted as a legal system. These guilds were unlike opposite European guilds and took wish well of their problems internally and did not include aver or local authority. Internal justice led by these guilds was an separate step towards the formation of the mafia (Servadio). In the belated 1500s and the earlyish 1600s Sicilys feudal system went through some(a) administrativ e changes.In the early 1600s large prop upholders in Sicily lived in Palermo, handing over the command of their estates to estate managers called gabelloti. Appointed by the landlord, these men who were usually already prominent and respected inside their region could use their power to control the people who live the land. The use of the gabelloti continued through a victoryion of leaders and became the principle system of rule. The gabelloti, using the power hapn to them by the landlord, began to create entourages consisting of uomo di fiducia. The uomo di fiducia served as tax ollectors, and they had operate contact with the people.They were accompanied by campieri who were fortify forces that kept the peace through fear. The consequence of these in the buff free radicals alike marks the cin one caseption of the pith class in Sicily, and from the warmheartedness class emerged the mafia. All members of the Sicilian middle class used dissident tactical maneuver to gain power and capital. Middlemen victimized peasants for bullion, artists kept people out of guilds to perpetuate their let success, and magistrates and attorneys delayed cases in an already worm legal system.During the late 1700s and early 1800s these separate except tidy groups started to make contacts with each opposite. In supplement to befriending each other, they also befriended local and regional magistrates. It is comport that as these groups began to unite themselves with the government to become a stronger and more redoubted force in Sicilys justice system, they were also gaining political ties that would allow them to comport out their business without interaction from the authorities (Servadio). Sicilys long history with binary judicially inept governments led to the creation and necessity of the maffia.The mafia was able to give people the business and fortress that they not notwithstanding wanted, and needed. These corrupt government institutions fos tered an environment where those who were clever enough could ensure the system to their advantage creating wealth, power and prestigiousness through the exploitation of land, peasants and political officials in Italy as well as America. The mafia was neer just a group of gangsters, even from the beginning. There were those who carried out the pestilential work, but the leaders, known as the godfathers, were oft more political and business thinkers than gangsters.The Mafia used their power, gained through fear, to not just now exploit the lan pigers and peasants but also used their political ties to carry on illegitimate activities without problems from local or state authorities. As the Mafia gained power and do work over the motley regions and government officials, these vicious activities would fly high greatly, inadvertently increasing their overall control as an organization. By the 1900s the Mafia had become a very healthy and widespread organization end-to-end I taly despite an extensive amount unemployment and overty that permeated not solitary(prenominal) Sicily, but the rest of Europe as well.This is still true to this day when legion(predicate) countries around the world are twinge economically, the Mafia manages to stay afloat and even increase their success. some(prenominal) underprivileged Italians began to migrate to America to find better jobs to propose over their families. This is also when the Mafia formally entered America and began to set up small organizations throughout the country. By 1922 Mussolini and Fascism had taken a stiff grip on Italy and began to crack down on the Mafia, both sending them to prison house or assassinating them.Mussolini assigned Cesare Mori prefect of Italy in order for him to defeat the Mafia. Prefect Mori wanted to bring Sicily under control of the state so he suspended their rights, humiliated and arrested them and took women and children hostage in order to force the Mafia to surrender . Mussolinis wrath pushed more and more Mafiosi out of Italy and into America (Servadio). The Mafiosi originally settled in large cities, like Chicago and impudently York, where industry was predominant and there were opportunities for crime, tarradiddle and racketeering everywhere.Initially the American Mafia gangs focused primarily on protection rackets, but with the coming of breastwork they began to stretch to playing period, bootlegging and whoredom. It is in these fields that the American Mafia became enormously wealthy and powerful. bingle of the main reasons the Mafia in Italy, as well as America, has been so flourishing is due to its influence and heavy pastime in businesses around the world. These businesses allowed the Mafia to maintain a powerful presence in various regions by exploiting landowners, construction companies and other lucrative industries, such as dose trafficking, through fear.Despite the global recess that hit Europe in 2 hundred9, the Mafia was the one business that continued to din during this lean economic time. The Italian Mafias revenue for 2008 jumped 40 partage and sales increased to 130 gazillion Euros, or $167 one billion jillion million, up from 90 billion Euros in 2007 according to figures supplied by Eurispes and SOS impresa (Harwood). everyplace the past 50 years, the main tooth root of revenue for the Mafia has been medicine trafficking, which brings in around 59 billion Euros a year (Harwood). Studies show the criminal marketplace place never suffers during a crisis, says Roberto Saviano, author of the popular bookGomorrah, the story of the Camorra crime bosses. Im convinced that this crisis is bringing spacious advantages to criminal syndicates (Harwood). The Italian mafia also relies on its tried and true improvement generating scheme the protection racket (Harwood). It is estimated that the mafia takes away over 6 percent of Italys Gross Domestic Product, GDP, through extortion. Thats 92 billion Euros a year, 250 million Euros a day, and 10 million Euros an hour (Harwood). Crime organizations have never been more powerful or more profitable.A small-business association called Confesercenti estimates that the Mafia tranquil revenues of 90 billion, $128 billion, in 2006, a sum equivalent to 7 percent of Italys GDP indicating that the Mafias influence as well as success continues to increase (Harwood). The Mafia does not solely focus on exploiting businesses and trafficking drugs in Italy but has also extended its power to the UK British cities are key locations in the Mafias vital coin-laundering operations (Kington). In December of 2009, a British gambling company known as heaven Bet Ltd was suspended when Italian legal philosophy froze its assets.This action was an attempt by the Italian police to break up a Mafia clan who was in control of this company members were accused of drug smuggling, money laundering and attempted murder. In an operation code-named Domi no, police raids seized 227 properties, 680 bank accounts, 61 luxury cars, nine stables, 71 horses and 35 businesses said to be worth ? 200 million (Kington). Members of the Secondigliano Alliance, which is a group within the Camorra, are suspected of owning shops in capital of the United Kingdom that shimmer out fake agent goods and act as hideouts for fugitives and fronts for drug trafficking.These are two prime founts of the Mafias control and dominance over businesses, land and other profitable assets. In 2000 it was report that the Mafia controlled one in quintuple business in Italy. Their profits were be invested in real estate, clinics, retirement homes, supermarkets, hotels and eaterys. The fortunes make by the mafia through these exploitations would be enough to pay off the frequent debt (BBC News) By obtaining power over these types of businesses the Mafia eventually gains authority over inviolate areas and even regions.The Mafia is notorious for gaining control of institutions by using a concoction of bribery and fear, and then murdering those that cross them. realise over businesses is the main reason why the Mafia is able to maintain its income as well as overall power. The Mafia uses discreet tactics to acquire land and businesses so they do not trace attention from authorities. By owning a group of small companies or even a restaurant, the Mafia is able to exploit money from them without being obvious, adding to the reasons why the inner whole kit and caboodle of the Mafia are so secretive.Francesco Forgione, Italys leading expert in form crime describes how the Nadranghetas Fazzari clan has two suspected members that are buying up property in Londons Wed End district. They have up to now to kill but are sort of investing in property and other companies to gain control over various areas in this region (Kington). Another example of the Mafias role in business is Antonio La Torre, a Camorra boss, who was arrested in 2005 for setting up a small commercial empire as a money-laundering operation in Aberdeen.This business include an olive oil and prosciutto-importing company and restaurant that offered jobs to Neapolitans (Harwood). It is here that you can see that the Mafia does not always resort to drug trafficking but is able to gain the like amount of power and money through what seem like legitimate businesses in order to cover up their corrupt actions. Recently, the Italian Mafia has also begun to infiltrate the nuzzle farm business. Known in parts of Italy as Lords of the Wind the Mafia now owns many annul farms in Sicilian mob strongholds like Corleone (Schwartz).The reasoning behind this sudden takeover is rather simple the power from wind farms is interchange at a high rate because of generous government subsidies intended to wave the renewable energy sector. With 30 wind farms already built in Sicily and another(prenominal) 60 on the way, it is suspected that the Mafia will eventually control man y of them. Not all 30 wind farms are owned by the Mafia but many are and locals are afraid to do anything to combat this issue, olibanum exemplifying the Mafias talent to maintain their influence and control over businesses through fear.Green energy could be the next big company that becomes a casualty of the Mafias criminal activity (Schwartz). Once the Mafia began to incur in American in the 1920s, it became clear that their initial business ventures were different from that of their homeland. Many who fled here in the early 1920s helped establish what is known today as La Cosa Nostra or the American Mafia. eruditeness from their organizations back in Italy, the traditions of the Sicilian honor society, which absolutely forbade involvement in either narcotics or prostitution, the Mafia left the eroin business to the powerful Judaic gangsters who surmountd organize crime in the 1920s (Servadio). The Mafia was content with the substantial profits to be gained from controlling the bootleg liquor industry. By the 1920s The United States and the provinces within Canada had select prohibition. It was during that era that North America gave acquit to some of the largest crime syndicates, most lamentable criminals, and mafia leaders. For the Mafia, prohibition meant employment, easy money and control over businesses and the people.The tainted money, prostitution, extortion and other criminal rackets did not make closely as much money in comparison to the intake from bootlegging. Prohibition created an atmosphere that allowed crime to flourish an atmosphere, which the mafia exploited and used to gain control over the people, businesses and subsequent regions of the United States. Prohibition was the first step that allowed the American Mafia to gain control over one of the most lucrative business America had ever seen. The leader of this Mafioso movement was Salvatore C.Luciana, known to the world as Charles Lucky Luciano. Lucky pioneered organizational t echniques that are still the basis of organized crime today and forged an fusion between the Mafia and prominent Jewish gangs that has survived for almost 40 years. With the end of Prohibition in sight, Luciano made the decision to take the Mafia into the profitable prostitution and diacetylmorphine rackets. This decision was determined more by financial considerations than anything else. The dominance of the Mafia over its Jewish and Irish rivals was built on its success in illegal distilling and wino running.Its continued supremacy, which Luciano hoped to maintain through premium organization and business, could only be carry on by developing new sources of income drug trafficking (Servadio). Heroin was an attractive substitute to illegal distilling because it had recently become illegal. This in turn left a large market that could be easily exploited and distended. Although diacetylmorphine addicts in no way compared with drinkers in reckons, heroin profits could be just as of import heroins light weight made it less(prenominal) expensive to smuggle than liquor, and its limited number of sources made it more easy to monopolize.Although illegal, this was a smart business venture for the American Mafia and enabled them to control a significant part of the liquor and drug trafficking business. Heroin, moreover, complemented Lucianos and subsequently the Cosa Nostras other new business venture the organization of a prostitution ring. Luciano found that addicting his prostitutes to heroin kept them quiet, steady workers, with a habit that could only be funded by this occupation. This also agonistic many small-time pimps out of business.By 1935 Luciano controlled 200 New York City brothels with twelve hundred prostitutes, providing him with an estimated income of more than $10 million a year (Servadio). Supplemented by suppuration profits from gambling and the labor movement, The Cosa Nostra was once again on a plug financial footing due to their influe nce and involvement with profitable and productive business ventures such as alcohol and drug trafficking as well as prostitution they acknowledges what the people wanted and provided them with a service they would be unable to find anyplace else thus monopolizing that specific industry.It is clear that the Mafia has not only infiltrated the business of Italy but America as well and through these institution it has remained a dominant part of these societies. Although illegal in many aspects, the business ventures that Mafia undertake are unbelievably lucrative and give them the opportunity to expand their organization on a large scale. Although governments are taking significant action in combating the Mafia, they continue to grow and dominate the economies of many societies to this day.