It seams to me that they are missing the inventory management part of the idea, which is crucial. And being late doesn't necessaryly mean you fail. let other do some leg work before, prepare the field and open some doors. As it was already mentioned before, that's the hard part of the idea. and then offer the stores something more and even better the first players. if you do well, the worst thing that could happen to you is being bought by someone else.

And being local, there should be enough space for more than one provider if you want to stay in the game yourself.