Do gangs that collect protection money actually do any protecting?

Ironically, kinda.

Think about it. If somebody else threatens you for money, you won't have any money to give them when they threaten you.

It's one of the reasons why you'll often hear about "turf". "Don't start anything on my turf" It's because everyone wants to be the only game on their turf so they don't have to compete.

My dad used to pay protection money for his corner shop up to like 2010 -- every week a couple of scary guys would show up to collect, and you could always spot some familiar dudes hanging around every 2 blocks or so keeping an eye on things.

Absolutely they did protect his shop, at least the 1 or 2 times a year some uniformed guy would show up with a knife thinking he was about to get some easy money (cops were very slow to respond on our part of town).

Also I think this gang must have been pretty chill, never heard of them having been too harsh on people who didn't pay for protection, nor having mugged or killed anyone, and they never even beat up the guys that tried to rob our store too badly. Pretty sure they never even dealt anything harder than weed or steroids but maybe they had something to do with contraband, idk.

By the end of the decade my dad would constantly be busy with a bunch of other stuff so I often tended to the shop, and obviously I kept paying them. Thankfully no one ever tried to rob the store while I was subbing for my dad but the vibe started to get a little weird for my taste.

The gang must had been growing a lot because I rarely recognized the guys who came to collect, and soon after, a couple of addicts started hanging around, then pass a couple months and way more often you'd hear about so and so having been mugged -- no one would say it out loud but people suspected it had been guys from the gang.

Eventually the cops finally started cracking down on racketeering so we never again had anyone come collect protection money, but if you ask me, I would've stopped paying anyway because I just love spreading misinformation online, also my dad started to beat me up with jumper cables, so yeah.

You have potential to become Lemmy's Shittymorph.
Dammit. +1 now staaahhhp

They’re protecting you from themselves.

Pretty nice comment you got here… be a shame if something happened to it…

I know someone whose family founded a small retail chain (with like 5 shops or something, each operated by another relative) in an east European country shortly after the fall of the iron wall that is, well, pretty much associated with mafia-like structures.

According to her after the initial mayhem they did have a group establish themselves that was more "mafia" like. Think black suits,old Mercedes Benz cars,etc. They actually had a "emergency number" they were supposed to call and where someone picked up 24/7. And according to her someone actually came - unlike the police back then (who also wanted money). They responded fairly fast - and to them it seemed like they actually at least tried to find perpetrators. But they were never quite sure if some of the people who robbed them were actually sent by these groups themselves to prove how much the shops needed protection. Over the times things got more extreme and the "group" only wanted money to protect people from themselves - possibly because drugs got involved and the "thugs" got younger. But at least then the police stepped up their game and did more.

Did they (the gangs who asked for protection money) actually ever catch the people responsible or blamed to be responsible?
- From what I understand,yes, but she said "they showed us a guy they beat to pulp, he said he is sorry. But the guy wore a ski mask when he robbed my aunt. How should we know if it was him or if that was just some homeless person?"

As second hand story from someone who lived in a Mafia controlled part of New York City, the neighborhood that he lived in was a poor working class neighborhood. Yet, each storefront had full glass pane windows while the other neighborhoods nearby had bars on their windows.

The Mafia have an interest in protecting those "under their protection". This would also spoil over into charity. The Mafia would generally be charitable to those within their neighborhoods to buy off complicity of the locals. For instance, you may not turn someone in if that person is running a soup kitchen in the community.

It protects you from the collector.

Depending on the political climate, non state organisations can help resolve community issues and provide protection, while the official government views them as gangs / terrorists. For example, in Northern Ireland.

Yes. The most clever gangs even incorporate and offer legit security services for the government.

Although, it took them a while to realize that this is the best exit strategy, so the '90s were a bit crazy in the eastern europe.

That's not all of it. But a government is just a gang as well. If you don't pay taxes, you'll be met by goons. Sure it's more "civilized" but that's only a mask to ensure people aren't trying to overthrow them all the time. A Mob boss and a monarchy are functionally the same are they not?
Unless they feel like it

If a bunch of business or people are paying protection and they are encumbered by crime/theft/loss of business - they have a problem. They will get together to solve the problem.

This is dangerous for the protection group because now you have created a situation where your customers have a incentive to organize and fix their problems.... And the protection gang is also a problem which could get solved

In general they are the ones breaking your windows if you don't pay. Paying for protection is more like paying for them not to fuck you up. If other person does something to you it's not their problem.

At least that's how it works here.

Everyone knows that the real racket is in selling "Open" signs https://youtu.be/unwQ_sLgeE0

You obviously forgot to put blood in your door

The protection is understood to basically be by them from them, in the event you don't pay. If you pay, things are good. If you don't, they'll make sure things are not good.

Though to my understanding, it is from them... to my knowledge if a shop gets broken into, in their territory you don't call them, they already are aware and hunting down the perpetrators. Kind of what gang wars are... one gang basically declares an area their territory, if another gang takes action in that area they are basically declaring a gang war.
Obviously gangs know it's bad for business if they want to collect protection money, and they aren't overwhelmingly the biggest thing to be afraid of.

There are two types of this, those that pay voluntarily and those who are extorted. If you pay protection money to a gang voluntarily, it is like insurance. If your business has a problem, the gang will deal with it. If you are the extorted type, then you may be on your own and you still owe money. They may act on your behalf because of the disrespect of hitting a business they deal with.

Some businesses don't so much pay protection money as they act as a money laundering node for the gangsters, so if your shop gets hit then their money gets hit and that is personal. These types are usually more affiliated or may be forced to launder.

Do you have any examples where it's been voluntary?

Maybe if they don't get a cut. But everything I know about organized crime comes from the sopranos.