Internet's growth has been unprecedented with 35 million users worldwide today compared to only 9 million at the end of 1995, Another 150,000 new members are joining every month. Its CAGR is predicted to be 54% through the year 2000 [1]. The Internet access market is predicted to grow from $123 million in 1995 to $4 billion by 2000. Its growth rate has outpaced the historical rates of radio, TV and cable thereby making it THE NEXT MASS MEDIA.

Being the leading Industrial Tools & Machineries supplier in Indonesia, PT. Kawan Lama Sejahtera (PT. KLS) has perceived the importance of using the Internet technology as a new delivery channel and determined to launch its e-commerce site.

The objective of this report is to show the "fit" between PT. Kawan Lama's Corporate Strategy and E-commerce strategy (that should be implemented) as well as comprehensive'recommendations to help the firm achieve their corporate objectives.

This study based on in-depth internal interviews and a survey collection of both existing and potential customers of PT. KLS.

The respondents' locations are well dispersed including Jakarta, Botabek areas and outside Jabotabek.

Based upon the findings on PT. KLS's objective towards e-commerce and the Customer Values, Behavior as well as Perceptions, our analysis suggests an interaction shift from transactional into partnership -which requires changing roles, skills, measurements and most important: changing the mindset.



Research Location: PT Kawan Lama Sejahtera

Supervisoe: Ir. Rudianto Prabowo, MSIS & Amalia E. Maulana, MM, MBA

Accepted: 20 January 2000



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