Hi Bala,
On the Machine where you have installed Weblogic, try to connect to db2 in that machine separately from db2cmd.
I feel the problem is with the db2 connection.
start --> run--> db2cmd --> db2 "connect to db_name" where db_name is the database cataloged. See whether db2 is connected or not. If not then post the error message displayed.
Thanks,
Jay
New Delhi, India