When the team was selected for Australian tour, this is what they said about Indian batting line up :-
".....The one considerable silver lining is that the batting is extremely strong. Never has an Indian batting line up in cricket history seen its top five batsmen in the order - Ramesh, Gandhi, Dravid, Tendulkar and Ganguly - all have a Test career average of 50 plus. The reserve batting -- Ajay Jadeja, Vijay Bharadwaj and VVS Laxman - just about passes muster..... "
So I dont see why it was such a bad selection, MSK Prasad was very much a Tendulkar choice, so were Kanitkar, Agarkar and Vijay Bhardwaj.
In the home series vs. SA he had Jaffer, VVS, Dravid, Tendulkar, Ganguly, Jadeja, Azhar, Mongia, Kumble, Srinath, Agarkar, (Murali) Kartik, Chopra, Kaif. He lost 2-0.