Purchasing Power Parity
Purchasing power parity is required to compare the national incomes and the standard of living of various nations. The metric of PPP between two countries represents the total number of goods and services that a single unit of the currency of one country will be able to purchase in another country, taking into consideration the price levels in both countries. It refers to the exchange rate of two different currencies in relation to specific products so you know if your prices are really competitive in the target country.
The following products are displayed in US Dollars
Eggs (12 pieces)
$2.73
$1.30
PPP 1 USD = 5.41 MXN
Flour (1 kg)
$0.74
$0.70
PPP 1 USD = 18.78 MXN
Bananas (7 pc)
$3.71
$1.30
PPP 1 USD = 7.02 MXN
Coffee (200g)
$9.58
$4.05
PPP 1 USD = 8.46 MXN
$1127
iPhone 12
$994
PPP 1 USD = 22.64 MXN
BigMac
$4.60
$3.25
PPP 1 USD = 14.15 MXN
H&M men's shirt
$22.10
$20
PPP 1 USD = 18.10 MXN
Metro ticket (single)
$3.30
$0.25
PPP 1 USD = 1.51 MXN
Ceramic Salad Bowl 30cm
opt 1
$42
$33.16
opt 2
$31
$8.30
opt 3
$390
opt 4
$118
AVG.
PPP 1 USD = 71.17 MXN
The price is competitive in this market.
Aimed to upper and upper middle segments.
$450
$299
opt 2
opt 1
$47
Head & neck support
$40
opt 3
$39
opt 4
$144
AVG.
PPP 1 USD = 9.63 MXN
There are direct competitors within lower prices
Aimed to upper segment.
Pers. jigsaw puzzle 500pc
opt 1
$34
$29.10
$37.50
opt 2
$52.51
opt 3
$41.33
AVG.
PPP 1 USD = 28.42 MXN
The price is below the market and attractive
Lower middle segment can afford it.
Garden Consultation 1h
opt 1
$37.50
$66.36
$0
opt 2
$18.75
AVG.
PPP 1 USD = 5.65 MXN
There are local competitors offering free service
Aimed to upper and upper middle segments.
Working population
Month /
USD
0 -170
170
170 - 340
340 - 510
510 - 850
850 - 1700
1700 +
SOURCES