Drug Trafficking Deck (E3)

Question 1

This business model has a business buying out or absorbing its competition to increase the production of its own product.

Answer 1

What is horizontal integration?

Question 2

What is the purpose of horizontal integration?

Answer 2

To grow their existing business or prevent a competitor from gaining market share

Question 3

This business model has a business controlling multiple stages of its own production, from manufacturing to retail.

Answer 3

What is vertical integration?

Question 4

What is the purpose of vertical integration?

Answer 4

To reduce the company’s costs and give it greater control of its products

Question 5

Walmart utilizes both horizontal and vertical integration. Explain how Walmart uses both.

Answer 5

Horizontal - other brands sell their products in Walmart, allowing the company to maximize its profits

Vertical - Walmart owns and operates its stores, warehouse clubs, distribution centers, and trucking fleet

Question 6

This practice refers to growing or making your product.

Answer 6

What is manufacturing?

Question 7

This practice refers to transporting/moving large quantities of product (i.e., moving weight).

Answer 7

What is distribution?

Question 8

What is the drug trafficking equivalent of a distributor?

Answer 8

A drug smuggler

Question 9

This practice refers to buying and selling product in bulk (large) quantity.

Answer 9

What is wholesale?

Question 10

What is the advantage of buying quantities in bulk?

Answer 10

It can be cheaper than buying individual quantities

Question 11

Why is wholesale referred to as NOT-USER-FACING?

Answer 11

The average drug consumer is usually not buying drugs in bulk; this is a more behind-the-scenes practice

Question 12

This practice refers to the sale of goods to the public in relatively small quantities for use or consumption.

Answer 12

What is retail?

Question 13

Why is retail referred to as USER-FACING?

Answer 13

The average drug consumer is usually buying small quantities of drugs; retail is a very “in-your-face” practice

Question 14

Why are only a few drug trafficking organizations that utilize vertical integration?

Answer 14

Vertical integration is a business model that is very easily tracked

Question 15

Not in the lecture, but what is a plausible consequence of horizontal integration in drug trafficking?

Answer 15

The violence that comes with selling your product on someone else’s turf

Question 16

What are the 4 major drug trafficking network considerations?

Answer 16

1) Size
2) Drug composition
3) Geography
4) Logistics

Question 17

What are the 3 drug network models?

Answer 17

1) Pure agricultural
2) Pure chemical
3) Mixed

Question 18

Name this network model.

Answer 18

Pure Agricultural

Question 19

Name this network model.

Answer 19

Pure Chemical

Question 20

Name this network model.

Answer 20

Mixed

Question 21

In a drug trafficking network, this person typically has a limited skill set and is tasked with overseeing/protecting the crops.

Answer 21

Who is the farmer?

Question 22

In a drug trafficking network, this person is VITAL and has a high degree of knowledge when it comes to making drugs.

Answer 22

Who is the chemist?

Question 23

In a drug trafficking network, this person is the wholesaler.

Answer 23

Who is the middle-man?

Question 24

In a drug trafficking network, these are the retailers.

Answer 24

Who are the street dealers?

Question 25

This method of taking down drug trafficking networks involves taking down the trafficking ring from the bottom up.

Answer 25

What is rolling up?

Question 26

How exactly would you accomplish rolling up on a drug trafficking network? What steps would you take?

Answer 26

Arresting and attaching a wire to the people at the lower end of the network (e.g., street dealers) so that law enforcement can intercept the next level up, rinse, and repeat

Question 27

What is the most essential element to ensuring that you’re successfully rolling up on a network?

Answer 27

Intelligence (information)