The article analyzes web-based e-catalogs as an entry to business-to-business oriented electronic commerce (BEC), which will fundamentally transform supply-chain relationships. Benefits of e-catalogs, means of interaction between a user and supplier, for both suppliers and retailers include drastically reduced production costs, expanded markets, and reduced processing costs. From the supplier standpoint, the case for e-catalog use in BEC is more focused than that for consumer-oriented electronic commerce (CEC) because the number of business buyers is much smaller than the number of consumer buyers. To understand from the purchasing business standpoint, the potential benefits of e-catalogs and their use in Web-based business-to-business procurement/purchasing systems (WBPS), an evaluation model is developed and applied for a large mid-western manufacturer. The interactive possibilities of web-based e-catalogs eliminate physical storage and makes continuous updating effective and efficient. On analyzing managerial factors including tangible, intangible and critical success factors, it is found that management needs to determine the correct level of technological use. The article is concluded in stating that the organization must first determine that their use is appropriate in their organization and market and that they have the structure and technology to make effective use of e-catalogs.