After Los Angeles became the nation's cocaine capital in the mid '80s, L.A. gang members realized that they could buy powdered cocaine wholesale and sell it at a major—100 percent or more—markup in other cities and states. This led to the expansion of these gangs along the major freeway and highway systems eastward.
Small groups of Crips or Bloods would move into a city, scout the local drug spots, and undersell the local suppliers. They would then make the local traffickers "an offer they could not refuse." They would agree to being control by the gang, or they would be murdered by the gang. When the rock cocaine epidemic hit, the gangs were in a perfect position for expansion into new markets and business growth in their existing markets.
And make no mistake, this was big business. "Ray Ray" Browning from the Pasadena Denver Lanes Bloods, "Fat Pat" Johnson and Leroy "Chico" Brown from the Compton Corner Pocket Crips, "Harry-O" Harris from the Bounty Hunter Bloods, Honcho" Day from the Grape Street Crips, and "Freeway" Ricky Ross from the Hoover Crips, ran million-dollar drug organizations with their own ties to Colombian drug cartels. They were smart and enterprising. Believe me, if some of these Los Angeles Street Gang members had been involved in legitimate businesses instead of crime, they might have become household recognized names and leaders of international corporations. Unfortunately, they choose the outlaw path.
Equally unfortunate for us all, they were really good at being outlaws. They were clever criminal entrepreneurs operating in the underground criminal system that exists in every culture. The weak, the slow, and the stupid, were quickly made the victims of natural selection. But the smartest and hardest working learned from the mistakes of others and themselves, and they became successful and wealthy.
Blood and Crip gang members invented the crack trade as we know it today. They developed fortified rock houses, used video security systems to watch over them, used cloned cell phones as secure lines of communication, and executed complicated money laundry schemes to protect and maintain their wealth. They even invested their money in offshore banks and in cell telephone and pager companies. And they armed their soldiers with ballistic vests and the finest weapons, often with better arms than our SWAT teams. If you want to know more about this, you can read about it in books like "Desperados" by Elaine Shannon, "Dark Alliance" by Gary Webb and "Monster" by "Monster" Cody of the Eight Tray Gangsters.