
You create a local software component version to allow you to edit an object locally, for example for test purposes.
Local software component versions are intended for temporary development of local objects in an Enterprise Services Repository only. Consequently, you cannot use any local objects in a later configuration in the Integration Directory, and subsequently cannot perform any runtime tests with these objects. You also cannot transport any local objects by using the Change Management Service (CMS).
More information: Editing a Software Component Version
You have created a local software component version and can now define namespaces for it.
More information: Creating Namespaces