Solar power
Sun power is a big company that specializes in solar panel manufacturing and installations, high efficiency cell manufacturing, and silicon manufacturing. It specializes in the solar industry. Solar power is the electrical energy made from sunshine. This energy can be either direct using the photovoltaic commonly abbreviated as PV or circuitously using concentrated solar power, which also has abbreviation CSP.
The concentrated power from sunlight use mirrors, tracking systems or lenses. This is to focus bigger area of sunlight and convert it into a small beam. The photoelectric effect is what helps photovoltaic to convert light from the sun into electric current that has many uses including cooking and heating water. The concentrated commercial power plants for solar emerged in the early 80s and 90s.
International market for solar power
There is a global market initiative with the aim of concentrating power from solar. The initiative is a part of the program me known as the worldwide action that also came because of the conference on renewable energies and internationally recognized. Solar energy is widely used especially in the developing countries and people are getting information on the same. If well utilized, solar energy can help bring up a countries economy and eradicate poverty.
Since every country has solar energy or sunlight, solar power is available all over. Buying the equipments that convert the sunlight to solar energy is very expensive and that is the international market. Looking at the market share below will give more information on demand and sales. Each country that participates in the solar international market contributes some policy measures. They include; financing, tariffs, targets and regulation.
Market share
This is where solar energy gets comparison from other sources of energy. The figures represent consumption and generation, which is similar to demand and supply. All these are energy trends and most of them are from the United States of America and the European Union. In 2009, the global demand or consumption of solar energy decreased by 1.1% making it the first decline from the year 1982. While the consumption of all other energy sources, consumption of coal remained the same. In the same year, renewable sources and hydroelectric power consumption increased.
Demand for solar energy across all the countries has grown by more than 30%. This is because there is high inflation on all other energy sources. The fact that the average citizen has the awareness of the environment has helped in the development of the renewable energy, which includes solar energy. The key players in this industry include Northern American countries, Europe countries and the Asian countries. There are other countries but there is no comparison with these countries. The other countries in subject call themselves the emerging countries while the key players are the platform countries. Talking of the emerging countries, African countries top the list.
The Battle for module efficiency of conversion in the PV industry is very tough. Starting from when the sun power modules set a verification of efficiency at slightly below 20%, many companies have been fighting to get the top rank. These companies include Hyundai heavy industries, LG electronics, MILLINET solar, Samsung electronics and SHINSUNG holdings. Others like Thomson, Sony, Philips and MATSUSHITA are emerging companies and they are doing quite well in the industry. All these companies have been competing to bring the highest frequencies and modules. Sun power is of course one of them.
Sun power as a global player
For the past 20 years, solar energy has grown by an average of 30% against the rapid decline in prices and costs. There could be a possibility that the decline is because of manufacturing scale economy, improvements in manufacturing technology and solar cells increased efficiency. It is clear that in 2009, PV industry, where sun power belongs, generated more than 38 billion dollars in revenues. This was a global figure and sun power had a share in that.
Sun power plays a very big role globally in terms of solar energy. The crystalline PV cells are widely used. It is publicly traded on the SPWRA and SPWRB which are international corporations placing sun power on the global map. Sun power recognition from all over the world is a big thing and a plus but all this has happened because it is a component of the Dow Jones Oil and gas and its global index is DJUSEN. In the year 2007, the corporation got Power Light, which is a leading large-scale solar power systems provider in the whole world.
Again two years ago, which was around 2010, sun power bought sunray renewable energy, which is a leading Europe’s company for 277 million dollars. Just recently, TOTAL S.A came into good terms with sun power and agreed to buy it at 1.38 billion dollars. This has given it the position globally as a leading provider of solar energy systems. The dealings it has with the leading companies in the world makes it big and known and hence increasing its market share.
Sun power competitive positioning
The industry of PV spends a lot of time discussing the company’s merits, prospects of the firm, for example the firms that cover the spirited background and weaknesses. To remain on top of the industry, sun power must work a lot on the price and manufacturing materials. These two will market the company fully and increase its market share globally. Well, sun power has a very strong competitive power as it uses some tactics to ensure its products are different. The corporation also maintains its cost leadership and below is what it does to be where it is.
Sun power ensures there is low manufacturing cost per watt and we all know this one. Cost per watt remains the most competitive ingredient in the manufacture of PV. Sun power borrowed this from the Chinese giants who are very competitive. It also ensures there is total efficiency in conversion. It has a big and strong bankability power where it is able to finance big projects. This in other terms means it has enough capital making it comfortable in terms of financial freedom hence well balanced and stiff in competition. Bankability for example made Dow will face challenges deploying solar shingles.
Sun Power sustainable competitive advantage
Technology differentiation being a performance related plus keeps sun power moving. It is able to offer technology differently in a cheap way and at the same time making sure that it has big profits. This risks a lot in the line of discussion as it could term it redundant. If not well managed, it is a big challenge like Solyndra faces today. All these meet the local market circumstances. Sun power standardizes its products to adapt.
Sun power enjoys a ready for action plus which mainly because it is able to manufacture more efficient and powerful cells in the whole world. This alone gives the company the edge over other competitors. Sun power follows both stakeholder and stakeholder approach. Reason being it grew as a private company and on becoming successful, other shareholders joined in and bought shares.
References
Basu, R. & Wright, N. 2007. Total Supply Chain Management. Elsevier Publishers. Oxford: UK.
Chopra, S. & Meindil, P. 2007. Supply chain management: strategy, planning, and operation. Pearson Prentice Hall. University of Michigan: Michigan
Copacino, C. 1997. Solar panel Supply chain. St. Lucie Press. London:
Coyle, R, et al. 2009. Solar energy in the world. Carnage learning. Mason: Ohio.
Geunes, J. 2006.solar: models, applications, and research directions. Kluwer publishers: Miami.
