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Human trafficking, illegal gambling, protection rackets, prostitution, etc. All of those are "markets" they are already involved in.
Sure. Grimy stuff. But nothing makes money like drugs (maybe gambling). Legalisation would begin their slide down. Legalise prostitution and gambling too like they have in Oz. Makes it safer for all and effectively removes the black market.
I swear it is as simple as 1+1=2. You're right, this is literally all they would have to do and the cartel would be stuck with Avocadoes and shit. It's fucking wild dude they would rather it be this way than to legalize drugs and prostitution. However given how the US government has admitted to giving weapons to mexican cartels and the CIA has also admitted to doing secret experiments on US citizens with illegal drugs (and prostitutes were involved too!) And there is some serious evidence that we trafficked crack cocaine into the us during the Reagan years (no open admission on that one AFAIK) I would say it isnt really about trying to solve a problem for the US government, it's about creating one. A rather profitable one at that. Human beings will never, ever, EVER stop doing drugs or wanting to have sex. Doesnt matter how much religion you throw at it or how hard you put the boot down on someones face or how many years you imprison them or even if you straight up murder them (looking at you Singapore!) People will absolutely never quit doing those things. Drug use has been documented from some of the first humans to ever document anything and will never go away. Many different animals can be observed using intoxicating substances around them. Unfortunately, I don't think the mindless battle against these things will ever stop either. Quick edit but can you imagine how few rapes their would be if they legalized prostituiton? Can you imagine how fewer deaths their would be if the drug market were regulated and their was zero chance of Fentanyl being in it? They would rather see all of us die before they even considered doing it though.