Mills can auction off their excess and secondary products. Buyers can reserve manufacturing time at several mills for fast deliveries. As on the London Metal Exchange, buyers will be able to hedge pricing on futures and options markets. Buyers and sellers will cut logistics costs by on-line negotiations with logistics companies that reduce the number of trucks returning from their runs empty. At Midwest Steel 2000, Levin argued vigorously that e-commerce need not lower prices.
Top managers can track negotiations on-line and stop salespeople from discounting.
You need to know who you're trading with. Steelmakers are fortunate to be able to choose among these four and other e-commerce firms run by people who know metals. MSO has been in business since Feb. 1997. Levin has invested millions of his own money in e-Steel, which impressed the corporate investors. Arthur Andersen audits our procedures every six months.