You'd be shitting your pants in a knife fight but dead in seconds from a gun you probably didnt see
What is the point of inducing fear if the goal is to kill? There are a lot of things that can go wrong in a knife fight, and many stab victims don't even die, such as the case above.
You both keep talking about fear. Mhm, I wouldn't care about that. I'd care about getting the job done. There's an emotional investment in wanting your victim to feel fear which I care nothing for. The way I see it: Guns kill faster, less proximity to the victim means less dna to go around, less things that can go wrong like during a struggle. You can get in, get out. Don't even have to get out of the car if you position correctly.
Give guns to those thugs above and they'll prefer them instead of knives. And the people who mention guns not being scary have never been staring down the barrel of a gun. In my experience, with a gun, you are planning on very possibly dying, and are much more compliant. With a knife involved, you know there's a possible chance you will live, you are not thinking about imminent death as much, rather, how you're going to handle the situation.
If the victim survives with the trauma effects and relays the fear to their fellow gang members it can help spread the horror.