To better understand the consumerism in the DR for the auto industry, we have to take a look at the market that are purchasing these items. Being in Santo Domingo, we saw how large the city was with 30.1% of households residing there compared to here in Santiago with 18% of households. Santo Domingo, as a result, has a higher average income, even higher than the national average of $10,000. The average income allows us to understand what types of cars consumers are able to finance and purchase.
This graph gives a better picture of what Dominican consumers can afford. The blue shows the disposable income and the yellow shows what consumers are actually spending. The difference is shown with the red line. This difference is the savings that allows larger purchases. This decrease shows that consumers have less to spend on financing something like a car.
This next graph shows the class divide. Decile 10 represents the top 10% of the most wealthy people in the country. It also shows that transport is the highest they are spending on. In comparison, the rest of the population have transport as the lowest amount spent on. The consumer’s income affects their decisions to purchase a car.
Drivers are required to carry liability insurance.
25mph in the city 60mph on rural roadsmany people do not follow these traffic rules due to the lack of enforcementCaution and defensive driving are essential in the Dominican Republiccommon for undisciplined driving, this is in result of inadequate traffic controls.Traffic accidents often result in serious injury or death.
1. Consumerism in the DR: The Auto Industry<br />ADV400 – 01/14/10<br />YewandeAwolola, Jessica Leyden, <br />Erica Mckinney, Jennifer Noinaj<br />