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Dti 'is In Competition With The Private Sector'


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I was at the DTI presentation to local service providers and can confirm that the stated aim of this project is to encourage people to shop local.

 

Ironic then to buy it off someone external.

 

The examiner report says the DTI claim they had to go to an off-island company because no local outfit had the required infrastructure. That is 100% bollocks. 19 businesses attended the first meeting, no local outfit could cope with creating and hosting a web presence for 19 small local businesses? Daft.

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I was at the DTI presentation to local service providers and can confirm that the stated aim of this project is to encourage people to shop local.

 

Ironic then to buy it off someone external.

 

The examiner report says the DTI claim they had to go to an off-island company because no local outfit had the required infrastructure. That is 100% bollocks. 19 businesses attended the first meeting, no local outfit could cope with creating and hosting a web presence for 19 small local businesses? Daft.

 

 

When was this first meeting and was it advertised in any way? My missus runs a relatively small/barely profitable e-business and this scheme looks like it could be of interest to us, however the first I knew of it was through this post.

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Its not just the amount of money being spent. By bringing VENDA to the Isle of Man the DTI are creating a taxpayer funded competitor to local companies. They are now offering subsidised solutions that local companies cannot fairly compete with.

 

Is this state aid? Would it be allowed in the rest of Europe? Why would you want to setup a business on the Isle of Man if the Government is going to compete with you?

 

SK247

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http://www.iomtoday.co.im/news/Cretney-def...ract.5286316.jp

 

He said the total cost of the contract to the department would be £264,000 over the first two years and then £1,000 per month thereafter to operate each retailer's website.

 

The contract involves the provision of up to 100 local websites and a shopping portal.

 

Participating companies will pay £49 per month for the service after the first two years.

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...now offering subsidised solutions that local companies cannot fairly compete with.

 

this is the problem; it's not how good or bad venda's solution is.

 

if this scheme is successful, in three years time Venda will have a 200+ client base on the island - a community if you will. with word of mouth and a little advertising, no small firm can ever again compete for anything that venda do.

 

in the manx arms:

"but i don't need a website, fellah, i just need a stock control system"

"no worries, venda do that too and the dti will subsidise it"

 

and their portfolio will only grow.

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What are you going on about ?

 

say venda end up with 200 companies on their books (coz that's how many £300k will cover)

 

how many manx firms are currently web-shop enabled? post-a-rose? yes. waltons? no. er.....Game? no, they're english. er....you get my point, 200 would take BY FAR the largest share of that market.

 

so, if the vast majority of local businesses use venda, and you're looking to do the same. do you go with the "proven" venda or do you go with 3legs (or whoever)?

 

the DTI will have paid for Venda to become the dominant web-site, content management, shopping, stock-control, etc supplier to local businesses. and how much did it cost venda? nothing.

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Speculation I think. Most decent retailers already have a website, most with help through other gov schemes. Isnt this for the 100 who dont, or dont know where to start or cant afford it or need help ? The local companies are being lined up to help these anyway so they will win business through it if they have a good reputation.? Why dont so many of our small independents have website's already if the local providers can do it, surley they would have captured the opportunity years ago ? Something doesnt add up! Why havent our local guys been successul in winning this work before this new scheme came along ? Sounds like sour grapes to me.

I for one look forward to be able to have the option to shop locally on the internet for all sorts of things.

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i do agree with you. sour grapes and all....

 

however, take a walk through strand street. how many companies can a local software house pitch to? whsmiths? h.samuels? hmv? etc. of course not. waltons? maybe...

 

okay, what about products? can a local supplier build an accounts system, spreadsheet etc. don't be silly. web-sites? hmmm, maybe....

 

so...the potential market of the local software house is already tiny.

 

and then venda have just wiped that out.

 

if venda had marketed and courted local companies and won the business through having a better, cheaper product, then, so be it. sour grapes indeed. as you say, the locals should've "captured the opportunity years ago". tough titty.

 

but the dti GAVE it to venda. that's my issue.

 

(the only remaining market is providing software directly to the government. oh, sorry - I'm afraid those millions go directly to PDMS)

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I always thought the BSS scheme was meant to accomplish this - help smaller companies recruit approved contractors and the DTI meets some of the cost.

 

As to why local businesses dont have a website, probably because they don't actually need one. Not every business needs a web presence, let alone a web shop. I'm behind the idea in principle, but feel there's better value solutions and the fact, as taxpayer, I dont want to be funding an expensive web shop for a business that in the 'real' world, wouldn't warrant one.

 

Why havent our local guys been successul in winning this work before this new scheme came along

 

That's easy to answer. There was never an opportuntiy whereby the Government would pay them £xxxx to do so, for little or no cost to the retailer. You could turn the argument around and say, if a local business would benefit greatly from an online shop with a guaranteed return - why haven't they done that already (as many already have)?

 

My main issue is the lack of tender, transparency and the seemingly complete lack of value of money.

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