Carina you make some good points. But CocoTours is a ground handler. They are not independants, pirates or tour operators in the current definitions here.
Maybe I can help out a little and explain the terms cause quite frankly I found them confusing at first....
Lets start with ground handlers. This would include CocoTours, Iberdom, Turissimo, Turinter, Hola etc etc.... As a ground handler they provide the local "ground support" to tour operators. They arrange to have clients picked up at the airport and delivered to the hotels. They provide the back office processing for excursions, accounting, office facilities and some other services.
Tour Operators are mostly foreign companies, like Air Transat, Thompson Vacations, Apple Vacations. They sell a "tour" in another company and bring the tourists here. They utilize the services (in most cases) of a ground handler here in the DR. they would also have other similar situations in Cuba, Mexico etc. Some Tour Operators attempt to be their own Ground Handler as well, usually with poor results.
Pirates: so called pirates are supposedly unlicensed sellers of excursions. They used to be small operators of jeep safaris etc. They had a reputation for being unscrupulous in doing business, didn't honour complaints etc.
Independents: this is where Martin Espinall would fall along with many other companies. They operate on a basis of being fully licensed companies that in most cases are fully insured. They operate within the laws of this country. Many times they offer similar or the same tours as the Tour oprators and many times at better prices.
Excursion Companies: actually operate the excursions. They may market their product directly (internet, salespeople) , via independents, via Ground Handlers. In order to get a Tour Operator to offer your excursion you must have the agreement of the Ground Handler. Excursion companies pay a commission no matter what channel they market through. The commissions will vary.
Now for a very long time the Ground Handlers have been in a position of control. They dictate to a certain extent how much commission they will be paid by the excursion company as they control access to the tour operators. Tour operators have representatives (Carina referred to them) who greet their clients and do the welcome briefings and try to sell excursions. They get first crack at the tourists most of the time. Many of them are not locals, they are here on short term contracts in most cases. Some of them do use scare tactics to sell excursions! They are misrepresenting the country when they do this. But, in their defense they are attempting to keep their jobs and make a living!
Coco tours is an intersting case. They are a ground handler who work with several tour operators. They, like some other ground handlers, have created some of their own excursions, like a city tour. Now what happened this past year is interesting: they hired some independent sales people to go out and sell excursions in the hotels. In the past, the tour operators have protected access to their clients. Tour operators believe that their clients belong to them and no one else should ever sell a tour to their clients. Other companies do not get access to these people, but they try to. NOw tourists are getting more a more savvy by researching ahead of time. So, Coco hired these reps to go sell to everyone. They were treading on other companies turf! Apparently there were all kinds of problems and there were some nasty altercations in the hotels! This last part is second hand info and I cant verify it's accuracy, just painting a picture.
The hotels are also getting into the game. Some of them have a desk where a customer service type person will offer tours to tourists. Some have created their own excursion companies as well. Many time the "animation" staff will sell excursions and make some commissions.
Next high season will be intersting. I am waiting to see what happens. I think the "gloves" are off and things will start to change.
The AI's do help the local economy to a certain extent. They do provide many many jobs and where possible utilize local products. However, the profits from these hotels rarely stay in this country. They go offshore. And some of these hotels are very abusive to their staff. They take advantage of them whenever they can. Other hotels are wonderful to their staff....So guys you are both correct in my opinion.
Rick, I understand eldorada. I too used the AI as a home base when I first started visiting here. Until I got a sense of things, I didn't feel comforatable as a single female travelling alone to be staying elsewhere! AND quite frankly the AI package can be more cost effective then buying airfare and simply paying for a room! If you do the math then the AI makes some sense. AND to each his own. What works for one does not work for all....