Automobile Industry in the DR

Consumerism in the DR: The Auto Industry

ADV400 – 01/14/10Yewande Awolola, Jessica Leyden,

Erica Mckinney, Jennifer Noinaj

Agenda

1. Introduction2. Consumer Behavior3. Product4. Environment5. Observations6. Conclusion

When you think of the DR, you think about this…

…but you never think about this.

Consumer Behavior

• Avg disposable household income: US$14,287

• Santo Domingo: 30.1% households, US$21,413

• Santiago: 18% of households, US$8,813

• National: US$10,261

Disposable Income, Expenditure and Savings

Proportion of Total Spending by Income Deciles

Product

Insurance Gas prices Public transportation

Environment

Traffic Accident rate Parking Transportation infrastructure

Observations

A majority of automobiles are Japanese-manufactured cars.

There are a lot of car dealerships in close proximity to one another.

Convenience High competition

Car purchase is influenced by numerous factors.

Space constraints Income Road conditions Traffic laws

Advertising methods are based on class.

“There are values that are calculated as the value of trust.”

“Automobile of the year in USA. (2009)”

“Change everything. 3 rows of seating.”

Dominicans like to drive cars until they are “dead.”

Motorcycles as a mode of transportation.

Dom RepublicEfficiency

Affordability#1 Vehicle

USAStatusPleasure#2 Vehicle

What We Learned Understand the market to

successfully sell the product‒ Income and class play a large role‒ Outside influences can impact a

consumer’s decision-making

Questions?