Firecat: that's because you're not paying for a drink, you are paying admission/cover charge. And it comes with one free drink. Same at any discotheque any place in the world. It's your choice if you want water, whiskey, or beer.
As for the second drink, yes -- water should be cheaper. That's why it's better just to nurse your one drink. It's not the kind of place where you go to get drunk (or hydrated) on the cheap.
In regard to the Oriental, I have no problem whatsoever believing that a salad they might charge 500 baht for might have ten baht or less of ingredients in it.
Anyway, as noted, it is not a drink you're paying for in Soi Twilight. It is admission that happens to come with a free drink. Maybe if you look at it that way you won't be so violently angry about it, accusing people of stealing your money and other such shrill nonsense.
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