Kendo DataSource MVVM Text Data-Bind

HTML

<script src="http://cdnjs.cloudflare.com/ajax/libs/jquery-mockjax/1.5.1/jquery.mockjax.js"></script>
<script src="http://cdn.kendostatic.com/2012.1.229/js/kendo.all.min.js"></script>
<div id='root'>
    <label>Remote Name: </label> 
    <span data-bind="text: firstName"><!--firstName--></span>, 
    <span data-bind="text: lastName"><!--lastName--></span>
    
    <div>
    <label>Remote Name: 
        <input data-bind="value: firstName" />,
        <input data-bind="value: lastName" />
    </label> 
    </div>
</div>
<br/>
<br/>
<div id='local-root'>
    <label>Local Name: </label>
    <span data-bind="text: firstName"></span>, 
    <span data-bind="text: lastName"></span>
    
    <div>
    <label>Local Name: 
        <input data-bind="value: firstName" />,
        <input data-bind="value: lastName" />
    </label> 
    </div>
</div>
<br/>
<br/>
<div id='test-ajax'>
    <pre>
    </pre>
</div>

CSS

#root, #local-root {
    height: 20px;
    width: 100%;
    font-family: verdana;
}
#test-ajax{
    font-family: "courier new";
}
label {
    font-weight:bold;
}

JavaScript

$(document).ready(function(){
    /**
    * #local-root example, binds to local data like in the examples
    */
    var personLocalViewModel = kendo.observable({
        firstName: 'James',
        lastName: 'Taylor'
    });

    kendo.bind($('#local-root'), personLocalViewModel);
    
    /** 
    * set's up a mock api endpoint for jquery and other libraries
    */
    $.mockjax({
        url: "js/data/person.json",
        contentType: "application/json",
        responseText: {
            firstName: 'James',
            lastName: 'Taylor'
        }
    });
    
    /**
    * test-ajax - proves mockajax works
    */
    $.ajax({
        url: "js/data/person.json",
        dataType:'json',
        success:function(response){
            $('#test-ajax pre').text(JSON.stringify(response));
        }
    });
    
    
    /**
    * #root or remote-root, this dataSource is not bidning to the html, why?
    */
    console.log('KENDO.js', kendo.data);
    var personSource = new kendo.data.DataSource({
        transport: {
            read: {
                url: "js/data/person.json",
                dataType: "json"
            }
        },
        schema:{
            parse: function(response){
                console.log('personSource.schema.parse',response);
                return response;
            },
            data: function(response){
                console.log('personSource.schema.data',response);
                return response;
            }
        }
    });
    
    //would this work?
    var personViewModel = kendo.observable({
        dataSource: personSource
    });
    
    //would this work?
    var personViewModel2 = kendo.observable(personSource);
    
    kendo.bind($('#root'), personViewModel);
    
    
});