Pricing software is difficult. Some ancient methods for pricing include charging per line of code (very useless). There are many categories of software further making it difficult i.e. the mode of pricing for one category might not apply to another. The major cost factor in software dev is labour. Labour is tricky because one needs some years of real-world experience and sturdy in order to be in a position to make commercial grade software. There is a lot more to making software than writing code! Infact writing the code is the one of the simplest tasks. Universities all over the world find it difficult teach this. I've worked with a very skilled software developer from Cambridge and he was talking of arguments with a university professor. I've also worked on software made by graduates from one of India's most prestigious tech universities (forgot the name, but Pres. Bush had proposed that graduates from that university get Workvisas to the U.S), and I was a bit surprised. (Not that I'm so much better than them, but I didn't expect what I saw). The Kenyan company might have terribly overdone it. Such a price difference is basically the lack of experience and knowledge about the industry (local and international). If Nokia could get a company for 2M, then in the worse case the Kenyan company could have got a similar company at that price and added 200,000-300,000. But 200M is ... Let's not forget there are some successfull Kenyan software companies, and I've got reasonable quotations from a few of them. Let Nokia and others not judge them all based on the experience of a few. 8~) --- On Fri, 1/29/10, Imelda Mueni <mueni0@gmail.com> wrote: From: Imelda Mueni <mueni0@gmail.com> Subject: Re: [Skunkworks] Why are local ICT company so expensive to sub-contract from To: "Skunkworks Forum" <skunkworks@lists.my.co.ke> Date: Friday, January 29, 2010, 11:27 AM Honestly alvin they were quoting for the same thing , am looking at the documents On Fri, Jan 29, 2010 at 12:25 PM, Alvin Jason Ochieng <ajochola@gmail.com> wrote: They can't be quoting for the same thing.... My thots... On Fri, Jan 29, 2010 at 12:24 PM, Imelda Mueni <mueni0@gmail.com> wrote:
Hi,
I was just talking to a friend who works at Nokia research company , was
asking them how come they sub-contract most of there
projects outside the country,,,,apparently they would love to work with
local upcoming companies here in kenya,
they had a project last year and they wanted to work with local companies ,
the quotes they were getting left them
shocked , some one was quoting for a mobile application 200m (and that's was
the range of the quotes),,,,yet the same project they were able to
sub-contract
from outside at 2m ..........are our local companies becoming greedy ?
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