Why do Indian small businesses pay so little?

I know a very successful mining guy in India, hung out with him a lot, once I was in his car and he gets a call from a top cop in the area, he put it on speaker, the cop said "i need 15 by afternoon today". Guy says ok, we turn the car around, head straight for the bank, withdraw 15 L in cash, head straight to the coppers home with that shit covered with newspapers. This was a weekly / bi-weekly occurence, and this is also in addition to the tons of other guys who kept extorting him, incl. political parties, he even had to pay off the education of the locals kids to keep them from filing noise complaints as he uses explosives at the mining site. One day he tried to call out the coppers bluff, resulted in a drove of police boleros storming in with papers and shit, the guy froze the mining operations for a whole damn month.

Then you wonder, why people at the bottom get paid so less.

/r/india Thread Parent