Pundonor translates to 'sense of honor' or 'self-esteem'. It's a somewhat formal and less common word that evokes a strong feeling of personal dignity and pride.
In the song, the narrator is frustrated by being denied entry to trendy clubs in New York because he's 'Spanish'. He sings, "Me hieren el pundonor" (They wound my sense of honor), expressing how this discrimination deeply offends his pride and self-respect. It's a powerful word to convey his indignation.
This song is a hilarious adventure about someone who decides to travel to New York because the dollar is devalued, making it a great time for international travel. Our narrator is a man of action,