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Gov't: Buy Cheapest vs Buy Local

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  • Gov't: Buy Cheapest vs Buy Local

    This was the crux of a debate that I had with friends. Let's say if the state needed to buy 50 office chairs. The price locally is $200 per chair at Fisher Hawaii, but the same model is available on Amazon for $160. I know that the state has an allowance where if the local price is no more than 10% higher then they may buy local. In this case, the difference is 25% higher. What should the state's "obligation" be? Buy at the cheapest price possible to stretch tax dollars or buy local and help the economy despite it costing more?

    I said buy cheapest, but the small business friend said to buy local. Is this a tough decision or not really? What should the threshold be?

  • #2
    Re: Gov't: Buy Cheapest vs Buy Local

    No tough decision, buy local, a $2,000.00 difference is manini and at least the money stays here and it should indirectly flow into other local businesses.

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    • #3
      Re: Gov't: Buy Cheapest vs Buy Local

      Originally posted by D'Alani View Post
      No tough decision, buy local, a $2,000.00 difference is manini and at least the money stays here and it should indirectly flow into other local businesses.
      It is not that simple, it is a tough decision. Are local taxpayers willing to have their taxes increased to pay the higher prices of buying locally? My guess is that they are not.

      On the other hand, most local businesses (and for that matter national businesses) find it hard to compete with the likes of Amazon which offers little customer service, no store front, comparatively low overhead, low wages, etc.

      I got out of the business long, long ago because it was difficult to compete with large businesses which were much better capitalized than I. They could exist on a 2% profit margin by mass merchandising whereas I could not.
      Peace, Love, and Local Grindz

      People who form FIRM opinions with so little knowledge only pretend to be open-minded. They select their facts like food from a buffet. David R. Dow

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      • #4
        Re: Gov't: Buy Cheapest vs Buy Local

        These days I doubt there is a huge difference/benefit to buying local unless on a smaller mom & pop level.
        https://www.facebook.com/Bobby-Ingan...5875444640256/

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        • #5
          Re: Gov't: Buy Cheapest vs Buy Local

          I've seen too many local buisinesses and businesspeople go out of business. Now I have to go farther to get what I want or wait days for the mail to arrive (often only to need to return an unsuitable item).

          I say, support local businesses or sell your soul to corporate conglomerates.
          Be Yourself. Everyone Else Is Taken!
          ~ ~
          Kaʻonohiʻulaʻokahōkūmiomioʻehiku
          Spreading the virus of ALOHA.
          Oh Chu. If only you could have seen what I've seen, with your eyes.

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          • #6
            Re: Gov't: Buy Cheapest vs Buy Local

            It has been many years ago (30ish), so my memory is fuzzy on the details, but I used to sell products to the Navy at Pearl Harbor. My "fuzzy" memory was that they needed to buy a certain % of products from local vendors, and since my prices were pretty much in line with mainland supplies, I got the order because I helped fill their "local supplier" quota. And, assuming it was a % of products minimum that was in play, it could certainly be different rules now.

            ["Local" as in area/nearby vendor.]
            Now run along and play, but don’t get into trouble.

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