Professional Documents
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MBA
External Analysis
Ankita Moore
Dr. C. West
competitive analysis
What is the external force or element addressed in the article? (PESTLE analysis)
Some of the external force or element addressed in the article “Future Scope of Solar
Energy in India” are economic, social, technological and environmental factors. As India aim to
better the country solar power capacity of 100 GW by 2022; it is expected to be 235 GW by 2021-
22. This means that it will account for three-fourths of the planned renewable energy capacity of
175 GW by 2022. Secondly, with the growing appetite for electricity in India and its plans to
become one of the largest solar power markets in the world received a massive boost to its latest
solar power potential. India is said, to have a tremendous scope of generating solar energy due to
its geographical location which put them in a good position to benefit from generating solar energy.
Primarily, the National institute of Solar Energy in India has determined the country’s solar power
potential at about 750 GW. Additionally, the solar power potential has been estimated to using
the wasteland availability data in every state and jurisdiction of India. Likewise, by implementing
this renewable technology, it means that the one-fourth of the nation households will have quality
supply of electricity. Finally, solar energy systems are environmentally friendly and offers
extreme benefits in comparison to the conventional energy sources that can pollute the air., e.g.,
release of CO2 and other harmful gases. Therefore, implementing solar energy would make it
suitable for India since they are one of the worlds most polluted countries.
India is said to need as much as $200 billion to meet its target of installing 100,000MW of
solar power capacity and around 60,000MW of wind power capacity by 2022. Based on this new
initiative the porters five force analysis would have a major impact on this industry. This being
consumer buying power, competitive rivalry and threat to entry to the solar industry. Firstly, the
bargaining power of buyers/consumers would be great since running solar energy is the best
alternate means of power generation in India which would cause consumers to switch easily to a
cheaper source of energy. This means that the solar energy that would be available in a year would
exceed the possible energy output of all fossil fuel energy reserves in India. Secondly, as this is a
relatively new venture, the competitive rivalry would be low since many businesses are still
establishing and laying the foundation in this industry. As a result, the industry has not reached
the level for highly competitive rivalry since the countries average solar power plants would be
generating a capacity over India’s 0.25 kWh per m2 of used land space. In addition, the low rivalry
would in turn eliminate any threat to entry into the solar industry subsequent to the high cost of
How may it impact India Renewable Energy? Opportunity or threat? (SWOT analysis)
There is much scope for solar energy being promoted in India, since the use of such natural
resources can reduce the use of firewood and dung cakes by rural household. Naturally, it provides
a massive opportunity to tap into this potential since it is an inexhaustible source of energy and
can act as the best replacement to other non-renewable energies. As the cost of oil is soaring higher
it has forced India’s government to depend on solar resource that will allow the country to generate
electricity, naturally. In addition, there is a lot of potential to expand solar energy initiatives in
India as the industry has been experiencing a boom and seems to be continuing to do so for a long
period.
Running head: EXTERNAL/INTERNAL ANALYSIS & Page |4
References
Singh, Prof Bharat Raj & Singh, Onkar. (2016). Future Scope of Solar Energy in India.
https://www.researchgate.net/publication/308302825_Future_Scope_of_Solar_Energy_in
_India
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