Borrego Solar Company Analysis: Domestic and International Markets

This report provides a comprehensive analysis of Borrego Solar Company, a leading commercial solar energy provider in the US. The report examines the company's operations, including its focus on manufacturing, building, and maintaining solar and storage projects. It delves into the company's potential for international expansion, specifically analyzing market entry strategies for the developed Australian market and the emerging Indian market. The report utilizes Porter's Five Forces and PESTLE analysis to assess the competitive landscape and the political, economic, social, technological, legal, and environmental factors influencing Borrego Solar's market entry decisions. The analysis covers the US domestic market, as well as the developed and emerging markets, providing insights into the challenges and opportunities for the company's growth. The report highlights the importance of renewable energy and the company's role in reducing electricity bills and promoting sustainable practices.

Running head: ANALYSIS OF BORREGO SOLAR COMPANY
ANALYSIS OF BORREGO SOLAR COMPANY
Name of the Student
Name of the University
Author Note

1ANALYSIS OF BORREGO SOLAR COMPANY
Table of Contents
US domestic company................................................................................................................3
Porter five forces for the industry to enter the domestic market of U.S....................................5
Porter forces for the industry to enter a developed market........................................................6
Porter’s forces for the industry to enter a emerging market.......................................................7
PESTLE analysis for the industry to enter the domestic market of U.S....................................7
PESTLE’s Forces for the industry to enter a developed market................................................8
PESTLE ‘s forces for the industry to enter a emerging market.................................................9
References................................................................................................................................10

2ANALYSIS OF BORREGO SOLAR COMPANY
US domestic company
One of the domestic company in US is Borrego Solar. The company is 40 years old and a
leading commercial company which maintain, build and manufacture solar energy projects
and storage projects. The commercial solar energy helps the people of that area to continue
their business and also allow the communities to flourish. The company produce commercial
power that also help to reduce the electric bill of the people. These company also employ in
promoting the engagement of more employees and help to give a sustainable and green
position to the company. The company Borrego solar have grown 76% according to a report
in the year 2016. These company is one of the best company in finding solution that is cost
effective for its clients (Borrego Solar, 2019)
The primary industry in which the company competes is solar power generation
industry. These type of industries engage with engineering, constructing and maintaining
solar projects that will give high performance (Adefarati & Bansal, 2016). The manufacturing
company produces power with the renewable resources and help the environment to remain
green. These type of industry have division for storing energy. They aim to storage
leveraging that also enables the penetration of energy resources which are renewable. These
industries also help in providing profit to a large scale and also employed in producing power
in a large volume. They mainly allow the people to get power sources at a more cheaper rate.
Australia market is one of the developed market that can chosen by Borrego to enter
for increasing its production. The Australian market is expected to produce 5-miilion units of
power by the end of the year 2030. In the year 2015 the country have produced a 69 MW
solar power. The contribution of the renewable sources of energy is 49% to the total
production of power within the year 2030. Thus Australian market will give a wide range of
scope to the industry of solar power generation production. The industry will enjoy gain

3ANALYSIS OF BORREGO SOLAR COMPANY
significant gain some regions of Australia because these industry have a huge demand in the
commercial and residential sectors. The declining cost of the solar power help in the
reduction of the electricity bills. These will give the industry a wide range to improve the
future and settling in the market of Australia.
The emerging market for Borrego solar to enter is the market of India. The energy
consumption of India per capita is one-third of the total energy consumption of the need the
whole world. India is using renewable source of energy for meet the need of energy
consumption. India have got a 23 GW of Solar installation that produce a solar power of 40
GW. It is expected that India will achieve a target of producing 100 GW by the end of the
year 2022. These will made India a good choice for entering an emerging market.
The company produces power with the help of renewable energy resources. There is a
increased need of power over the world and producing it with solar energy will help the
clients of the company to reduce the electricity bills. Due to increased demand for power
generation in a green way the company need to expand internationally. For generation o to
the of power renewable resources is considered to be one of the best technology. The
Borrego company produces clean and renewable energy that do not have any negative impact
on the society. The company make the most from the existing geographic, technological and
the financial resources. Borrego is one of the top most solar company and the company have
financed Agreement for purchasing power, leases operation and assessing financing for
cleaner energy. To ensure that the owner of the solar asset get the most out of the company
they provide 600 MW utility scale (Twidell & Weir, 2015). The company also focuses on
installing commercial solar energy throughout the nation. The company make use of the
unproductive land for the production and storage of electricity. There is a huge need of this
type of company all over the world which will and produce and store the power by not
violating the environment.

4ANALYSIS OF BORREGO SOLAR COMPANY
Borrego Solar need to expand in the developed market of Australia and in the emerging
market of India. There is a great opportunity to increase its production by entering these
countries very high. Australia is one of the most developed market in terms of economy and
capital. The income of the country is very high and Borrego can also earn a huge profit from
these companies. Australia is open for the foreign ownership, allow easy capital movement
and also allow efficient market institution. The emerging of India have some characteristics
of developed market (Bhattacharya et al., 2016). The market of Australia offer a huge range
of options for increasing the productivity of the company. The market is advancing and it will
offer a great opportunity to the company.
Porter five forces for the industry to enter the domestic market of U.S.
 Competitive Rivalry- 17% of electricity generation was from renewable energy
sources and the competition is less (Ghasemi et al., 2015). So the industry will face
less competitive rivalry as the other industries will be less in number
 Supplier power- The source of raw materials is natural and hence do not depend on
the supplier. Therefore the industry do not have to depend on the supplier and they do
not have to waste their time in finding the other supplier.
 Buyer Power- Huge demand due to less price. The buyers enjoy the low cot of the
product in such industry as the source of the production is renewable resources. S the
industry can offer a good rang of price too its customers.
 Substitution threat- The substitution threat is high because power is generated from
many other sources in large quantity. So if the industry do not able to meet the need of
the customers it can easily get replaced. They have to give their production in a large
scale so that they can meet the demand of the customers.

5ANALYSIS OF BORREGO SOLAR COMPANY
 New entry threat- The U.S market is a developed market and the business to enter the
market is not easy (Klein & Coffey, 2018). The industry can enjoy the advantage of
ruling thee market. They will get many advantage as in a developed market there are
many more opportunity.
Porter forces for the industry to enter a developed market of Australia
 Rivalry among competitors-There will be several competitors of solar power
generation industry in the developed market of. As it a developed market and there is
16 MW power generation from the other sources in that country. Therefore the
industry will have many competitors (Anderson & Sutherland, 2015). Australia solar
power generation market size make a progress that is swift and goes in the direction
of competitiveness in the sector of electricity.
 Supplier power-There many potential supplier in the market of Australia that can
provide them product and services. Large scale solar power generation is a technology
that is growing significantly and thus gaining large amount o investment from the
investors (Kabir et al., 2018).
 Buyer power-The industry have many buyers as they offer their product and services
at a very minimal cost. The buyers will get attracted to the product of the industry as
they generate power by not violating the environment (Friedrich, 2016).
 Threat of Substitution- Though there is many industry that produces and generate
power but these industry generate power with the help of renewable source that do not
affect the environment. The major threat of substitution of Australia’s solar power
generation include Jemena, CitiPower and Powercor Australia, AusGrid, The
Endeavour Centre, Horizon Power, Western Power, , Aurora Solar Inc., SA Power
Networks, Essential Energy and Ergon and many more.

6ANALYSIS OF BORREGO SOLAR COMPANY
 Threat from new entry-It is tough for the other industry to enter the market of Canada
as it is a developed market and thus the existing industry enjoys the economic
facilities by remaining in a good market position.
Porter’s forces for the industry to enter a emerging market of India
 Competition among the rivals- There will be several competitors of solar energy
manufacturing industry in the developed market of Canada (Deng & Yang, 2015).
 Power of the supplier-There many potential supplier in the market of Canada that can
provide them product and services. So, the industry will not face any problem
regarding the supply of the product.
 Power of the buyer-The industry will get many buyers for there product as it will get
opportunity to attract the customers as the market is emerging. India have gained the
2nd position for running the solar power generation.
 Threat of substitution- Industry is facing problem because solar energy cannot be
available throughout the whole day And thus suffer a fear of getting substituted.
 Threat from new entry-It is tough for the other industry to enter the market of Canada
as it is a developed market and thus the existing industry enjoys the economic
facilities by remaining in a good market position.
PESTLE analysis for the industry to enter the domestic market of U.S.
 Political factors-. There are political factors that of U.S is affected by the market of
abroad. The political factors can affect the business process that is conducted by the
industry (Bamiatzi et al., 2016).

7ANALYSIS OF BORREGO SOLAR COMPANY
 Economic factors- the market of U.S provides a large number of economic facilities to
the industries as it is a developed market and provide greater opportunity to earn
revenue (Nadtochy et al., 2016)
 Social factors- The culture, demographics and lifestyle of the people in U.S. provide
several opportunities to the solar energy production industry.
 Technological factors- There can be increased used of the technology that will
increase the productivity scale of the industry and hence giving it a large scale of
profit.
 Legal factors- The legal factors will be less as U.s will be the domestic country and
the industry will face a little issue to settle there.
 Environmental factors- As the industry uses renewable resources therefore there is a
less number of environmental issues..
PESTLE’s Forces for the industry to enter a developed market of Australia
 The tax and the employment laws that are there in the country do not affect the
industry while entering. Supportive policies of the government and people’s initiative
with demand increasing for solar systems that are present for residential application to
surge the demand of electricity consumption.
 The country offer several trading options to the manufacturing industry. So the
industry can enjoy good economy while entering the market (Korinek, 2018).
 The industry will be suitable to the lifestyle of the people living in Australia
manufacturing of power using renewable sources industry will get a lot of scope there.
These will improve the social factors that can arise.

8ANALYSIS OF BORREGO SOLAR COMPANY
 The health and safety laws, consumer laws will not get violated by the industry
entering the market and hence it provides huge scope. That is why the industry will
not face the legal issues.
 The manufacturing of power by using the renewable sources will not affect the
environmental laws as it generate power with the renewable resources.
PESTLE ‘s forces for the industry to enter a emerging market of India
 Political factors that are there in the emerging market are trade regulations and tariffs
which can affect the industry to enter the market (Bakirtas & Akpolat, 2018).
 An intervention of government in the free market and that can affect the industry
economically as it have to pay the taxes.
 The structure of the class, hierarchy and power of the society in the country can affect
the industry.
 The technologies that are available in the market do not able to meet the huge demand
as the integration of large scale solar energy production cannot be possible with the
existing technology (Meyer & Peng, 2016).
 The legal factors that are there in the country do not affect the growth of the industry
as the industry do not violate any laws that are there in India.
 The industry is environment friendly and thus do not have any affect in the
environmental laws and hence the industry can easily enter the market.
The industry can enter the foreign market by making some changes in the
technology they used. They have to give a large scale production in a developed
market so that they can satisfy their customers. In an emerging market the

9ANALYSIS OF BORREGO SOLAR COMPANY
company have to offer low prices that will attract the potential customers. They
have to adapt the marketing strategies to increase the ell of their services.
The company can enter the developed market of Australia as it will get more
revenue and opportunity in the developed market. I have more customers and can
help Borrego solar to develop and expand its market.

10ANALYSIS OF BORREGO SOLAR COMPANY
References
Adefarati, T., & Bansal, R. C. (2016). Integration of renewable distributed generators into the
distribution system: a review. IET Renewable Power Generation, 10(7), 873-884.
Anderson, J., & Sutherland, D. (2015). Developed economy investment promotion agencies
and emerging market foreign direct investment: The case of Chinese FDI in
Canada. Journal of World Business, 50(4), 815-825.
Bakirtas, T., & Akpolat, A. G. (2018). The relationship between energy consumption,
urbanization, and economic growth in new emerging-market countries. Energy, 147,
110-121.
Bamiatzi, V., Bozos, K., Cavusgil, S. T., & Hult, G. T. M. (2016). Revisiting the firm,
industry, and country effects on profitability under recessionary and expansion
periods: A multilevel analysis. Strategic management journal, 37(7), 1448-1471.
Bhattacharya, M., Paramati, S.R., Ozturk, I. and Bhattacharya, S., 2016. The effect of
renewable energy consumption on economic growth: Evidence from top 38
countries. Applied Energy, 162, pp.733-741.
Borrego Solar (2019). Top Commercial Solar Company | Energy Storage | Borrego Solar.
[online] Borrego Solar. Available at: https://www.borregosolar.com/ [Accessed 24
Apr. 2019].
Boyce, W. (2016). 626-W17 Global Marketing.

11ANALYSIS OF BORREGO SOLAR COMPANY
Deng, P., & Yang, M. (2015). Cross-border mergers and acquisitions by emerging market
firms: A comparative investigation. International Business Review, 24(1), 157-172.
Friedrich, J. (2016). Transparency International Canada-Developing a Fundraising
Strategy (Doctoral dissertation).
Ghasemi, I., Abdi, E., Yaghmaei, O., & Nemati, R. (2015). Effects of competitive advantage
on companies superiority in the global market. International Letters of Social and
Humanistic Sciences, 57, 65-73. Keegan, T., & Campus, U. H. (2016). Strategic
Management in an International Context.
Kabir, E., Kumar, P., Kumar, S., Adelodun, A.A. and Kim, K.H., 2018. Solar energy:
Potential and future prospects. Renewable and Sustainable Energy Reviews, 82,
pp.894-900.
Klein, S. J., & Coffey, S. (2018). United States Community Energy. In Handbuch
Energiewende und Partizipation (pp. 949-973). Springer VS, Wiesbaden.
Korinek, A. (2018). Regulating capital flows to emerging markets: An externality
view. Journal of International Economics, 111, 61-80
Meyer, K. E., & Peng, M. W. (2016). Theoretical foundations of emerging economy business
research. Journal of International Business Studies, 47(1), 3-22.
Nadtochy, Y. V., Klochko, E. N., Danilina, M. V., Gurieva, L. K., Bazhenov, R. I., &
Bakharev, V. V. (2016). Economic factors and conditions for the transformation of
the education services market in the context of globalization. International Review of
Management and Marketing, 6(1S), 33-39.
Twidell, J., & Weir, T. (2015). Renewable energy resources. Routledge.