Metaljunction.com - Redefining E-commerce business in the Indian Industry*

Details

Case Code : CLINDM013
Publication date : 2006
Subject : Industrial Marketing
Industry : Computers-IT and ITeS
Teaching Note : Available
Length : 05 Pages
Price : Rs. 100

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Key words:

Metaljunction Services Ltd., Tata Steel, Steel Authority of India Ltd., Tata Teleservices Ltd., SAIL, ITC Limited, E-commerce, E-marketplace, E-procurement, E-selling, Value chain, Sales chain, Commercejunction.com, Metaljunction.com, Working capital, Online financial services, Channel partners, Coaljunction, Det Norske Veritas, E-sourcing

Note

* This caselet is intended for use only in class discussions.
** More comprehensive case studies are priced at Rs.200 to Rs.700 (US $5 to US $16) per copy.

 

Abstract:

The caselet examines the unique e-commerce operations of Metaljunction Services Ltd., which have revolutionized the way metals are sold and purchased in India. The caselet details how MSL catered to both ends of the value chain, namely, e-selling (through metaljunction.com) and e-procurement services (through commercejunction.com). The caselet also discusses the various other initiatives taken by the company, like online financial services, the setting up of coaljunction.com to provide e-selling services to coal companies and the launch of an online store for selling branded and non-branded fixed price prime steel. The latter part of the caselet deals with the various promotional initiatives taken by MSL to bag the position of the world's leading e-marketplace for steel.

Issues:   » The importance and advantages of e-marketplace for selling commodities   » The e-selling and e-procurement services of Metaljunction Services Ltd   » The various initiatives of Metaljunction Services Ltd., to promote itself and become the world's leading e-marketplace for steel   » The transactional relationship of Metaljunction Services Ltd., with its clients and the channel partners of its clients Introduction Technology, especially information technology, has revolutionized the marketing of industrial products and services. It has brought customers, who would otherwise be inaccessible, closer to the marketer, apart from offering wider choices to the customer, and improved the efficiency of marketing activities...

Questions for Discussion:

1. How has an Indian e-commerce company like Metaljunction Services Ltd., which primarily procures and sells commodities like steel and coal, managed to become the largest e-market place for steel in the world?

2. ‘Metaljunction should restrict its activities to the steel sector. Its expansion into varied sectors will have a negative impact on its core competency sector i.e. Steel.'Discuss. What measures should the company take to expand its operations globally and become a global e-marketplace like alibaba.com, ariba.com or worldwideretailexchange.com?