We brought Traveler's Checks on our first trip here but found them to be a bit of a pain. The lines to cash 'em at the bank are long, the process rather time-consuming, and you lose a little bit of money due to the exchange rate when you cash them at the bank.
The second trip we brought more cash, divided in multiple places between us (not in any checked luggage, obviously). We also made sure to tell our bank our travel dates so our ATM card would work, though there was a transaction fee.
Some major credit cards (Capital One for one) don't have foreign transaction fees and can be used in many places, though a lot of the local shops will require cash. We used a credit card for more expensive dinners and our resort bill and cash elsewhere.
Enjoy your trip!