E Commerce - Forward and Reverse Auction - A Managerial Tool to Succeed over Business Competitiveness

Over the years, several market mechanisms have sprung in electronic market space to tap new value creation opportunities. E-commerce B2B models are witnessing a move towards agent based newer market structures such as facility to conduct online forward and reverse auctions. Consequently, there is a greater need for an organization to know how to benefit from an electronic market place offering multiple market mechanisms. The paper begins with a brief description of the changing dynamics of business process in the face of globalization and then introduce the necessity of E-commerce. We follow it up with a discussion on the specific tools by which electronic B2B markets provide value over traditional business practices. We also share a first hand experience of implementation of these concepts in an Indian scenario. We identify pros and cons that these new avenues offer and finally conclude the paper with some managerial insights and implications that can judiciously move enterprisepsilas online business strategy forward.