Investment study in India to bring photovoltaic solutions to locality

Résumé du document

Our modern global economy shows different patterns that are directly affecting the way firms internationalize. The world economy is made up of different stages of development, advanced, developing and transition economies (WTO). This classification focuses on categorizing the environment in which MNC's are evolving. In the current context, those countries appear to be really attractive for foreign investors such as MNC and SME, but to what extent? What are the key factors a company needs to consider before breaking into those emerging markets? To address these questions, the study will be taking place under an American MNC, specialized in photovoltaic solutions (Conergy Inc.), aiming an investment in India. I will carry an investment feasibility study that will critically assess all factors that the company needs to take into consideration before investing in India.

Extraits

[...] Culture wise, the company should ensure that India is willing to convert its electricity consumption into photovoltaic solutions. In fact, the company must assess what would be the best marketing strategy to reach its potential customers. Nevertheless, as an emerging country, India is not entitled to greenhouse gas emissions (GHG) reduction obligation” the Kyoto protocol suggests tackling the climate change (Indiasolar.com). This status might reduce the raise of climate change issue within the country and thus might be a threat for our company success in India. [...]

[...] However, the relatively restrain size of the new entity will match the market needs, as it will be able to provide constant support and assistance to the new users of photovoltaic solutions. In fact, the entity will also have to educate its customers to maximize the benefit of photovoltaic solutions. As a result, the entity will gain durability by making sure its solutions usage is maximised by the populations of the Talukas. Conclusion Throughout this feasibility study, I have assessed all the relevant elements for an investment decision making in India. [...]

[...] Weidersheim-Paul (1975) Internationalisation of the firm: four Swedish cases”, Journal of Management Studies, 305-22 Johnson Tellis G.J, (2008) “Drivers of success for Market Entry into China and India”, Journal of Marketing Rajvanshi A.K, (1998), “Microchips to Potato chips - Talukas can produce Article in Economic Times, 24th May. Rajvanshi A.K, (2002), “Talukas can provide critical mass for India's sustainable development”, General Article, Vol No.6 Shapiro, Alan C. (1985), “Currency Risk and Country Risk in International Banking”, Journal of Finance, 3rd July. Vietor, Richard H.K. (2007), How countries compete. Boston: Harvard Business School Press West Larry, (2007) “Will developed nations provide the leadership needed to reduce global warming?” Internet (Ecoworld Study, http://www.ecoworld.com/fuels/solar-energy-heats-up-in- india.html). [...]

[...] This term has been generally accepted, under the fact that despite the economic decline, those countries have maintained a GDP growth in the past years (Vietor 2007) and have sustained the world economy. Moreover those countries will potentially become major economic player by 2050”. (Jim O'Neill, Goldman Sachs). In the current context, those countries appear to be really attractive for foreign investors such as MNC and SME but to what extent? What are the key factors a company needs to consider before breaking into those emerging markets? [...]

[...] As a result the new entity will serve the market opportunity by delivering full photovoltaic solutions to local communities. The joint-venture will benefit both firms as they will input their expertise, the manufacturing for the Indian entity and the implementation solutions for our US firm. Nevertheless, the success of the new entity will depend on its ability to clearly define to whom the business will be directed in the first place. In our case, the new business entity will focus on addressing the Talukas' issues that aren't self sufficient in terms of infrastructure and energy. [...]