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The Stunning Turn Of B2B: Boom To Bust Still, business-to-business e-commerce keeps boosting companies.(A)(B2B-YE)
By Murray Coleman
Investor's Business Daily
As a college theater arts professor, Larry Biren couldn't imagine a much more dramatic moment than shutting down his family's 77-year-old Philadelphia-based food service equipment business.
But that's exactly what he was called in to do early in 2000. Sales of productsmade by Penn Scale Manufacturing Co. had been flat for years. So Biren and hiscousin Andy Levin were asked to step in for the family
and help wind down operations.
"But we found out that by putting our products on the Internet, we could make it a more viable company," Biren said. "Our sales jumped 35%, and our company started to grow for the first time in over a decade."
Penn Scale Manufacturing isn't the only one to marvel at the technological advances being made to let buyers and sellers wheel and deal over the Internet.Business-to-business e-commerce took off in 2000. AMR Research estimates that $333 billion in merchandise was bought and sold online between companies, 65% more than in 1999.
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