Jamal Awil

← The Sicilian Mafia The Business of…

Public institutions prove easier for suppliers to monopolize than private customers. [causal]

A group of six or seven commissionari—those said to be of "great respect"—apparently collude over the contracts with institutions such as schools, hospitals, military barracks, and nursing homes. Each commissionario supplies specific institutions, and the problem of competition is eliminated radically: by common agreement only one commissionario bids for each contract. In comparison to private customers, public institutions are fewer in number and take out longer-term contracts; in addition, they buy fixed quantities and are generally less demanding about quality, less concerned about price, and corruptible. In short, they are easy to monopolize and share.

Diego Gambetta, The Sicilian Mafia The Busi…, loc. 561