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Santo Domingo.- Local retailers view the massive purchase of items via Internet a threat for national companies and state coffers because the items are delivered right to the buyer’s residence as many shoppers prefer, and faster and cheaper in many cases.

Organized commerce argues that the imports via that route, of fewer than 200 dollars, are tax free and that only pay shipping and handling, which in their view is unfair competition.

The items consumers buy the most via the Web are dress articles, electronic articles, software, office materials and even medicines are also available locally.

National Commercial Companies Association (ONEC) president Pedro Perez González says retailers acknowledge that consumers are the ones who benefit when they buy those products at prices lower than in the local market, but notes that it jeopardizes commerce and the Government.

He said added to the fact that those transactions don’t contribute taxes is their negative effect on the local demand for products that do pay taxes.

Perez said that while ONEC doesn’t oppose purchases by Internet, it does demand  competition under the same game rules.

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COMMENTS
23 comment(s)
Written by: Botemon, 14 May 2010 8:32 AM
From: Dominican Republic, La Isabella
Sounds like an opportunity to start-up some web based business in the DR in certain localities that offer faster delivery, better selection, home delivery of Pharm's etc. Competition! Let the free market work!
Written by: PuntaCanaMike, 14 May 2010 8:47 AM
From: Dominican Republic
Huh...funny that the same people complaining think that we are now a force in the world with all of our shops and stores....but...unlike the rest of the world...do not know how to work with internet based competition? these companies are international companies for the most part.

"faster and cheaper".....there lays your challenge! I cannot get over how much a computer costs here!!! Literally double what I can get one back home. I will not be rushing into Jose's Computadoraland ...it is cheaper...air included...to fly home and buy one there.
Written by: juanb, 14 May 2010 9:22 AM
From: Dominican Republic
Unfortunately we are not prepared to compete.

We will be able to compete when the government raises the taxes on imports purchased through the internet to ridiculous levels. And they will have to do this, because they need new tax sources to pay for all the money that they are borrowing/stealing.
Written by: zooma, 14 May 2010 9:23 AM
From: United States

When the retailers start offering greater selections of quality goods at competitive prices rather than the poor selection of high price junk they put on the shelves the buying public would be less inclined to go to the internet.

An example of this is it cheaper to buy a replacement part for a faucet over the internet because dominican hardware stores with few exceptions do not stock replacement parts. They rather have you buy a new faucet. They don't know how to market. A well stocked store with parts has an advantage as when you are in the store to purchase a part there is a buying impluse to purchase other comodities. Object, get the potential buyer into the store.

It is typical of the culture, these complaining retailers are looking for the government to bail them out. They just don't want to invest their own resources and cash to end the threat.
Written by: snoopyy3k, 14 May 2010 9:36 AM
From: United States
What some of these retailers need to do is begin a website for their businesses. I have friends involved in clothing merchandising and they have websites for their businesses and are doing really well. They even have the opportunity to sell their wares in places like Europe and Asia. So start there.
Written by: xwill7, 14 May 2010 10:05 AM
From: United States, El cuarto bate
Great! DR needs more competition... I hope the internet does the same to the Dominican auto dealers!!! Ladrones
Written by: Belly, 14 May 2010 10:30 AM
From: United States, Seattle, W.A.
This are the results when entrepreneurship and education are not the focus of a country. First our local crappy stores end up selling a product locally that is made outside for twice the price in the local market. That's scam works until Maria gets online and find out the internet can provide the same service without the hassle of dealing with bad customer service and non-existent return policy. If the local implement a good return policy this will scale back the damages but they won't and now come crying to Leonel for the rescue. The same guy who put them there and we are back to square one. sounds familiar! doesn't it?
Written by: jonbonz, 14 May 2010 10:33 AM
From: Dominican Republic, santo domingo
I pay $2 a pound to ship stuff in. And I still get it cheaper. Has anyone looked at Vitamins? Baby Clothes? Regualar baby supplies? Also hoe Aplliances it is still cheaper in many cases to pay shipping and customs than to buy it here.
Written by: xwill7, 14 May 2010 10:47 AM
From: United States, El cuarto bate
JON,
I ship everything I can from USA.... Dominican stores are a rip off... This is why you see so many high end SUV in DR... Too many people fixing prices
Written by: yowzerDR, 14 May 2010 12:42 PM
From: Dominican Republic
Now Ikea is here, it won't be long before the BOX store chains jump on the band wagon. There is countless opportunities with proper marketing, education, and a solid business plan.

The only draw back is the Government will need to change their corrupt ways to attract big businesses to invest here. The island is a gold mine with a success feature if managed properly!!!
Written by: jcl_67, 14 May 2010 12:52 PM
From: Dominican Republic
you wanted free trade you got it, retailers are only upset because with their overcharging prices consumers are turning to the internet to get better quality, cheaper prices and original products, if you compare the prices of a product in the states to the same product in DR they jack it up 50 to 100%. so now that the people are getting hip to it they want to cry unfairness. well then compete with the prices then we'll all be happy!!!
Written by: clinker, 14 May 2010 1:52 PM
From: Dominican Republic
many store employees here treat you like they are doing YOU a big favor helping you. and their displays suck, they never order enough, etc. when they give me an attitiude (and I am there to spend money!) I just walk out and go to the next store. They don't understand that the customer is king. Well, keep losing business, or open your eyes, now a double-whammy now with web.
Written by: Patricia, 14 May 2010 3:07 PM
From: Dominican Republic
Local Company's can never compete with foreign Competitors.
If you want to include Online payments in your Local Web Site the only Card Processing
Company you can use is CARDNET. They charge for online Payments 6% Commision,
SIX PERCENT ))) . You can't use Paypal if you don't have an US Bank Account.
There are some Online Stores in the US that don't have a margin of 6%
on their Sales. And than they are wondering why there are hardly any Local Online Sales.
Written by: xwill7, 14 May 2010 3:17 PM
From: United States, El cuarto bate
clinker,
The store employee in DR also is either on their cell phone or surfing/chating online... If a friend of the employee comes in, they forget about you and start personal conversations.

Also, just try to return any item in DR... They do not give you your money back and make it very hard to exchange anything.... If the item breaks.. Its automatically the customer's problem not the store... Hardly anyone stands behing their products in DR. Most owners are in it for the quick buck not for long term clients
Written by: danny00, 14 May 2010 4:23 PM
From: United States, syosset, key west, santo domingo AND NOW THE GLOBE TROTTER
HE SAID..

Written by: juanb, 14 May 2010 9:22 AM
From: Dominican Republic
Unfortunately we are not prepared to compete.
NO SH---T.
REALLY!......
WELCOME TO THE REAL WORLD.
Written by: danny00, 14 May 2010 4:29 PM
From: United States, syosset, key west, santo domingo AND NOW THE GLOBE TROTTER
as exwill said..... just try and return something.
their was times i thought i was going to get shot at.... they rather kill u then give u back your money or make exchange.
u can be 1,000% in the right but they have your money and your not going to get it back.
shop in one supermaket for years spent tens of thousands of pesos their
only speak about one problem i had the product was rotten when i got home went back to the store where every one knew me and refused to make good on the spoiled product. and this is only one story i know every one out their also has many of their own. for sure they are not macys dept store.
Written by: danny00, 14 May 2010 4:50 PM
From: United States, syosset, key west, santo domingo AND NOW THE GLOBE TROTTER
ok that was the supermarket.
last year i bought a refrigerator from LA-SIRENA ..
G.E. PAID RD'S$30,000 CASH.
ok! they brought the refrigerator to my daughters apt set itup the next day she notice the freezer was not working {no ice forming} called la-sirena did not help we went their no help.
after 3 weeks even though i had i believe a one year guaranteed on the refr. they said they had to have a meeting about this problem i went nuts what kind of meeting i said make a long story short after 3 months they did not honor nor fix the refrigerator i had to bring in my guy to get it working.. so even with their so called "guarantee ] its all bullsh---t they are not fixing anything.
Written by: danny00, 14 May 2010 4:54 PM
From: United States, syosset, key west, santo domingo AND NOW THE GLOBE TROTTER
as exwill i try and bring everything i can from the states.
that la-sirena thing really turned me off from ever buying anything in the dr.
come onthey make nothing but money this company the refrigerator did not work not a year later the same day they made the delivery.
as i said before they arenot going to give u your money back
the only way i can see this happing is u need to bring one gun to the shop if you want a chance to get your money back. in the dr.
Written by: xwill7, 14 May 2010 5:29 PM
From: United States, El cuarto bate
danny,
they know that you the value is too small to get a lawyer...

You should have gone to sears outlet store and buy a fridge that has a scratch that will be hidden behind the wall and you would have paid half with the shipping. lol
Written by: mirabal4ever This user is banned, 15 May 2010 1:10 AM
From: United States, OMNIPRESENT. El Cantinero de Jarabacoa. "Aguilucho desde Chiquitito"
Its a picture of Las Chicas Dolidas!!! LOLOLOLOLOLOLOLOLOL
Written by: ZonaDominicana, 15 May 2010 2:13 AM
From: United States, Orange County, California
The problem reside in the over priced items at the stores. Everything is more expensive in the DR. An inverter can be purchased in the US for about $200 but the same inverter is sold in the DR for about $600. A car battery that cost around $40 in the USA is sold in the DR for $85 or more. It is ok to obtain some gains but, not over price the products. The country must complete for price and quality.
Written by: generoso, 15 May 2010 7:53 AM
From: United States, Quisqueya

Let the local retailers cry and have a temper tantrum if they want, they have had monopolies for years and it 's about time they compete with better service and a responsible return policy.
Bottom line is I looked at an Iphone car charger in the store in DR for RD$1,200 pesos, I purchased a better brand on line for US$10 dollars paid altogether US$5 more for shipping in the US and to DR, end result saved over RD$600 pesos.
Written by: jonbonz, 15 May 2010 9:03 AM
From: Dominican Republic, santo domingo
This Item was 3500 pesos in the stoer I looked in yestarday. If I decide I want one where do you think I am goign to buy it.
http://www.amazon.com/Shop-1-2dga....=hi&qid=1273927384&sr=8-5
The customs does not account for the price difference.
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