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A drug cartel is any criminal organization with the intention of supplying drug trafficking operations. They range from loosely managed agreements among various drug traffickers to formalized commercial enterprises. The term was applied when the largest trafficking organizations reached an agreement to coordinate the production and distribution of cocaine. Since that agreement was broken up, drug cartels are no longer actually cartels, but the term stuck and it is now popularly used to refer to any criminal narcotics related organization.
The basic structure of a drug cartel is as follows:

Falcons (Spanish: Halcones): Considered as the "eyes and ears" of the streets, the "falcons" are the lowest rank in any drug cartel. They are responsible for supervising and reporting the activities of the police, the military, and rival groups.
Hitmen (Spanish: Sicarios): The armed group within the drug cartel, responsible for carrying out assassinations, kidnappings, thefts, and extortions, operating protection rackets, and defending their plaza (turf) from rival groups and the military.
Lieutenants (Spanish: Tenientes): The second highest position in the drug cartel organization, responsible for supervising the hitmen and falcons within their own territory. They are allowed to carry out low-profile murders without permission from their bosses.
Drug lords (Spanish: Capos): The highest position in any drug cartel, responsible for supervising the entire drug industry, appointing territorial leaders, making alliances, and planning high-profile murders.There are other operating groups within the drug cartels. For example, the drug producers and suppliers, although not considered in the basic structure, are critical operators of any drug cartel, along with the financiers and money launderers. In addition, the arms suppliers operate in a completely different circle, and are technically not considered part of the cartel's logistics.

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