AI resorts - Do they offer anything good to the economy? - Page 2

HOWMAR · #11 11-08-2006, 10:43 AM

Quote:

Originally Posted by CommTHOR

But who gets those tourist dollars? If it goes to mainly the upper tier/caste of Dominican society, is it really benefiting the Dominican Republic?

I certainly am not joking - I am genuinely interested. Just because I am ignorant in the field of economics doesn't mean I am trying to joke around.

What do you think the percentage of profit is in the hotel business? Looking at Marriot for example, they reported a great quarter of 141 million profit on 2.7 billion in revenues. About 5%. I'd love to have the AI owners make a big profit if such a large percentage of revenues goes back into the economy. http://marriott.com/news/detail.mi?marrArticle=146027

Squat · #12 11-08-2006, 01:47 PM

Whenever a resort is owned by Spaniards, it usually sucks : they are very cheap, they pay the minimum possible their employees, so they end-up with the worst employee, they tend to buy cheaper goods, so the resort is overall of a lower quality/standard...

Sad fact is that most resorts are owned by Spaniards...

So in a way, yes, it provides plenty of really low-paid employements... They buy food, and all kinds of goods for a cheap price... So it makes the economy go...

¡ Los españoles son los mas tacaños del mundo !!!

planner · #13 11-09-2006, 04:43 PM

The reality is that most "profits" go offshore. The owners will structure deals and set ups for tax purposes with "profits' being in tax havens.

AI"s do give back to the community - some better then others. THey invest in capital improvements, bring tourists here (some spend money outside the resort) some pay better then minimum wages, some have programs to help those less fortunate.

And they do pay taxes that go back into the "pot" to be spent elsewhere.

So, in a nutshell the AI"s are good for the economy. Could it be better, yes. Could it be worse - far worse.

Malibook · #14 11-09-2006, 07:53 PM

Nice summation Dar.

planner · #15 11-09-2006, 08:09 PM

Shucks Mali - I am blushing.

CommTHOR · #16 11-10-2006, 02:41 AM

Thanks all for some of these great replies. Makes me feel a little less guilty booking an AI trip. After all the hostility I've seen on these boards towards AI's, I felt uncomfortable talking about them.

Although I've only been to the D.R. 3 times so far, I've certainly fell in love with the whole culture. Although the wife and I will likely still continue to stay at the AI's for the forseeable future, we do try to get out and about. The level of service provided at the AI's is just too great to pass up - far superior to anything you'd find in a local trip. I work damn hard 50 weeks of the year, and for the two week long trips I get for the remainder of the year, I LIKE to be pampered.

I'd hesitantly compare the AI's in the D.R. to all the Wal-Marts popping up everywhere here in Canada. The thing that concerns me is when they are buying their goods at a reduced bulk rate, the rest of the locals have to pay a bit more so the suppliers can maintain their bottom line.

cobraboy · #17 11-10-2006, 09:27 AM

Take away the AI's and then see how large the DR economy is. They are a HUGE component of GDP.

neeny · #18 11-10-2006, 02:56 PM

I took my first trip to the DR in January 2006 impulsively and it was to an AI. Since, I have been back March, May, June, August, October. Never again to an AI. Upcoming trips Nov. 24, Dec. 28 and Jan 12 and Feb. So the AI I originally stayed at indirectly helped the economy because it brought me back there numerous times. Most of my vacation money is spent amongst the locals.

HOWMAR · #19 11-10-2006, 03:22 PM

Quote:

Originally Posted by neeny

Most of my vacation money is spent amongst the locals.

Is that amongst the locals or on a local?

Quote:

Originally Posted by neeny

There is no future for me and this hot Dominican except for me to get tired of sexing him, which 3-4 months will do.

Care to ammend that prediction? http://www.dr1.com/forums/367476-post8.html

neeny · #20 11-10-2006, 09:27 PM

This is in response to HOWMAR Post #19. I don't know how to put your post in mine and not interested right now to know. But in response to your 2 questions:

Is that amongst the locals or on a local? LOL That's really funny because I laughed myself after I typed "Most of my vacation money is spent amongst the locals" because as I finished typing that sentance I said to myself "yeah, locals and local." We must think alike on some level!

But though I do spend money on my personal local, I was referring to my money working its way into the economy, i.e. the family owned camera shop I frequent, the t-shirt shop, the supermarket, the pharmacy, those great corner stores (what do you call them?) where you sit on the milk crates or resin chairs, their juke boxes, the vendors on the beach, the fried fish stands, the guys that sell the freeze pops or water when the bus stops at a traffic light, the hole-in-the-wall restaurants, the motoconcho drivers, the drivers of those other cars where they cram everyone in, the clubs (you know, the ones where there are only Dominicans), the small hotels, and on a larger scale, the Jaragua once, Hard Rock Cafe once (my local thought my 15 year old son would enjoy it), and Pate Palo on every visit.

Care to ammend that prediction? Well I guess that prediction was mis-predicted! I only know myself and my experiences, not the future.