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Competitor Analysis

Foreword
The worldwide demand for energy is steadily growing. At the same time, this
trend is being accompanied by rising greenhouse gas emissions. Our job is to
find the right solutions for meeting tomorrows energy needs, and to
implement a sustainable energy mix and among the available renewable
energy sources, Wind power offers great potential for tackling this enormous
challenge. Many countries have already begun to restructure their energy
systems in the direction of renewable sources.
The Big Picture
Global Wind Energy Council estimates that by 2035, renewables will be
generating more than 25% of worlds electricity, with a quarter of this
coming from wind, being the second largest renewable energy source after
hydro power according to the International Energy Agency (IEA). This will
lead to a substantial reduction in CO2 emissions.
The life-cycle concept has long been recognized as a valuable tool for
analyzing the dynamic evolution of products in the market place. The wind
energy industry is in the industry phase growth of the life cycle and there
is a huge market to capture.
Below are the
a) annual installed capacity by region for the years 2005 to 2013.

b) global annual installed wind capacity 1996-2013:

The 2013 market saw China back on top, installing about five times as much
wind power as Germany in the number two spot. The 2012 market leader,
the US, dropped back to sixth place, behind Canada (which had a record
year), and just ahead of Brazil. Despite a lackluster year, India moved into
fourth place, right behind the UK, which had a good year both on and
offshore.

c) Top 10 New installed capacity January 2013 to December 2013

d) Market forecast for 2014 - 2015

The 2013 market saw China back on top, installing about five times as much
wind power as Germany in the number two spot. The 2012 market leader,
the US, dropped back to sixth place, behind Canada (which had a record
year), and just ahead of Brazil. Despite a lackluster year, India moved into
fourth place, right behind the UK, which had a good year both on and
offshore.
(Source: http://www.gwec.net/global-figures/market-forecast-2012-2016/)

WIND ENERGY ANNUAL MARKET FORECAST BY REGION

(source for the above two pictures: http://www.ren21.net/portals/0/documents/resources/gsr/2014/gsr2014_full


%20report_low%20res.pdf)

On the whole, the market diversification trend which has emerged over the
past several years intensified during 2013, and is expected to continue to do

so over the next several years. The fight for market share and policy support
in these markets is becoming more and more intense. As a result, most of
the growth in the coming years will be in markets outside the OECD
(organization of Economic Cooperation and Development).
REGIONAL DISTRIBUTION
While global markets will continue to be dominated by Asia, Europe and
North America, new markets start to make a real difference over the next
five years. It is expected that Brazil to move up to 3rd or 4th place in the
annual market rankings over the next couple of years, and break into the top
ten in terms of cumulative installations as early as the end of 2014. South
Africa is finally taking off, and this will hopefully lead to a mini-boom in
Southern and Eastern Africa over the next five years. The real wild cards at
this point in time are Saudi Arabia, with its ambitious goal of up to 50 GW of
solar and wind by 2030; and Russia, where there are early signs that it might
begin to exploit its enormous wind resources in the not too distant future.
ASIA
Last year there was somewhat skeptical about the Chinese governments
ambitious target of 18 GW in new installations in 013; in fact they installed
just over 16 GW, rebounding from 2012s slump to only 12.9 GW. In the
meantime, the government has set a new target of 200 GW of wind by 2020,
which implies a market of at least 15.5 GW a year for the rest of the decade;
and if the past is any indication, they are likely to exceed it. Furthermore, the
Chinese offshore segment is expected to get underway in earnest in 2014.In
India, much will depend on the outcome of the present ruling government.
Because of the political rule change resulting in the stop/start policy situation
which has hampered market growth over the past two years, will hopefully
come to an end. A new National Wind Mission is a welcome step, but what
is really needed is clear, stable national policy and government investment in
infrastructure, including strengthening transmission, to continue to fuel
Indias economic growth.
All in all, nearly 120 GW of new wind power will be installed in Asia over the
five year period, and Asia will very likely pass Europe in terms of cumulative
installed capacity when we do the totals at the end of 2014.
EUROPE
The European market shrunk by almost 6% in 2013, which was less than
many expected; but somewhat worryingly, there was more concentration in
the two leading markets (Germany and the UK) than has been the case for a

number of years. Chopping and changing of policies by politicians continues


to be the bane of many markets, and the economic collapse in Spain has hit
Europes second largest market very hard. France, Italy and Bulgaria are just
a few of the promising markets which have stalled in the last year. The
offshore segment increased its annual market by 50% to install over 1,500
MW, but given the debate in a number of key markets its not clear if and
how Europe is going to meet its target of somewhere in the vicinity of 40 GW
in the water by 2020. However, it is expected that Germany will finally pick
up some of the slack in offshore and its onshore market is expected to
remain strong, along with Poland, Sweden, Denmark, Portugal and some
others; but its going to be a rocky few years until and unless the debate
over 2030 policy is decided. Regardless, the strength of the existing 20/20/20
legislation will support the installation of about 68 GW over the period from
2014 to 2018.
NORTH
AMERICA
The US finished a disastrous 2013 with its strongest ever pipeline of projects
more than 12,000 MW under construction and this bodes well for 2014
and 2015 installations. Needless to say, North America is the most difficult
part of this forecast, as it is the most volatile of all markets. Nonetheless, it is
expect to see an additional 61 GW of new wind power installations coming on
line in the region from 2014-18.
(Source: http://www.gwec.net/wp-content/uploads/2014/04/Market-forecast-2014-2018.pdf)

INDUSTRY COMPETITION

Source: MAKE Consultants 2013


(http://www.nawindpower.com/e107_plugins/content/content.php?content.12710)

2014:

GE Wind:

GE Wind Energy is a branch of GE Energy, a subsidiary of General Electric.


The company manufactures and sells wind turbines to the international
market. In 2009, GE was the second largest wind turbine manufacturer in the
world.
Vision & Mission:

Values: External focus, Clear Thinker, Imagination & Courage, Inclusiveness,


Expertise, and the never changing one is Integrity
The entity was created as developer (not manufacturer) Zond in 1980
by James G.P. Dehlsen, who also formed Clipper Windpower in 2001.
Enron acquired Zond and the German manufacturer Tacke in 1997.
In 2002 GE acquired the wind power assets of Enron during its bankruptcy
proceedings while gas turbine sales slumped. Enron Wind was the only
surviving US manufacturer of large wind turbines at the time, and GE
increased engineering and supplies for the Wind Division and doubled the
annual sales to $1.2B in 2003. It acquired ScanWind in 2009.
In February 2011, GE also acquired Wind Tower Systems, LLC, a
manufacturer of space frame wind turbine towers. Currently, GE wind energy
product portfolio consists of 10 products and among those the three wind
turbines GE 1.5 MW (12000 are installed worldwide), GE 2.4 MW (installed
in Europe, Asia, and North America. This product is getting enhanced with
more innovative features for enabling GE to penetrate more in the existing
markets and also capture new markets(market growth), and GE 4.1 MW are
widely sold. GEs wind turbine products range from 1.6 MW to 4.1 MW. If the
current planned acquisition of the French firm Alstom would even bring in
more advanced turbines than the GEs existing 4.1 MW wind turbine. Below
is the summary of financials related to the Operating segments

In the years 2012 and 2013, the profits generated are .67% and .84% of the
overall profit. During the year 2012 and 2013, Energy management had a
drop of 0.16% in the overall profit because of no market activities within the
base country itself. Now let us look at the strengths, weakness:
STRENGHTS:
* GE is the market leader
* Diversified business
portfolio
* Strong research and
development
* A number of acquisitions
made in the previous few
years.
* Strong management &
corporate culture in terms of
people, systems, technology
and measures.

WEAKNESS:
* Underperforming in Asian
markets
* Product portfolio needs to
be increased with more
energy efficient products
* Need to localize in
several markets so as bring
down the installation cost.

VESTAS:
Vestas Wind Systems A/S is a Denmark-based company active within the
wind power industry. The Company operates within four business areas:
Finance, Sales, Manufacturing & Global Sourcing, and Technology & Service
Solutions. The Finance business area focuses on business support services.
The Sales business area is divided into six geographical units: Americas, Asia
Pacific & China, Central Europe, Mediterranean, Northern Europe and
Offshore. The Manufacturing & Global Sourcing business area is engaged in
the manufacturing of assembly, blades, components, controls and
generators. The Technology & Service Solutions business area is responsible
for the engineering solutions, platform and product management, as well as
service engineering, among others. As of December 31, 2012, the Company
operated globally through a network of subsidiaries located in Denmark,
Germany, Italy, China, the United States, Spain, Estonia, Sweden and
Norway.
Vision: To be the undisputed global wind leader
Mission: We deliver best-in-class wind energy solutions and set the pace in
our industry to the benefit of our customers and our planet.
Values: Accountability, Collaboration, and Simplicity

STRENGHTS:
*Global Player and Good position in
the biggest markets (except China)
*Local production for local markets
(In the region for the region)
*Market-leader
*Strong Brand
*Long Experience/ unique know how
*Broad product portfolio
*Strong position within the offshore
segment
*Focus on cost of energy production
and reliability
*Focus on R&D and technology

WEAKNESS:
*Small market share in
high growth markets
*Low capital backing
compared to major
competitors
*Dependence on suppliers
*High R&D costs
*High cost for securing
knowledge (patent-war)
*High wage-level in DK
*Small home market
*Dependence on subsidy
schemes

*Focus on quality Six Sigma


approach
*Focus on business-case certainty &
easy to work with policy
*Focus on customer satisfaction
*Vertical integration

GOLDWIND:
Goldwind (officially Goldwind Science & Technology Co., Ltd.) is a wind
turbine manufacturer headquartered in Urumqi, Xinjiang, China. Goldwind
Science operates as a wind power company in Mainland China and
internationally. The company operates through three segments: WTG
Manufacturing, Wind Power Services, and Wind Farm Investment,
Development and Sales. It is engaged in the research and development,
manufacture, and sale of wind turbine generators and wind power
components; development and operation of wind farms; and provision of
wind power related consultancy, wind farm construction, maintenance, and
transportation services. The companys primary products include 1.5 mega
watt (MW) and 2.5 MW permanent magnet direct drive (PMDD) wind
turbines. It is also engaged in the manufacture and sale of wind power
equipment and accessories; trade of machinery and technology; and the

construction and operation of wind power and solar power generation


projects. Xinjiang Goldwind Science & Technology Co., Ltd. was founded in
1998 and is based in Urumqi, the Peoples Republic of China. By the end of
2013, Goldwinds accumulated installed capacity had exceeded 19GW and
had over 14,000 units of installed WTGs distributed across six continents.
Vision: Providing clean, cost-efficient energy to power the world
Mission: Preserving White Clouds and Blue Skies for the Future
Values: Research and develop better products, by providing the lowestpossible delivery costs and highest-possible power curve

STRENGHTS:
* High growth rate
* Global Player and Good position in
the biggest markets (except China)
*Local production for local markets
and large local market
*Focus on R&D and technology
*Focus on quality and process
* Core management team have
specialized in wind energy

WEAKNESS:
* tax structure
* Exchange rate fluctiations
- RMB to foreign currency

ENERCON:
Enercon GmbH, based in Aurich, Lower Saxony, Germany, is the fourthlargest wind turbine manufacturer in the world and has been
the market leader in Germany since the mid-nineties. Enercon has
production
facilities
in
Germany,
Aurich, Emden and Magdeburg),Sweden, Brazil, India, Canada, Turkey a
nd Portugal. One of Enercon's key innovations is the use of a
gearless, direct drive mechanism, used in combination with
an annular generator. This is in contrast to most other wind turbines,
which use a potentially less reliable gearbox in order to increase the
rotation speed of the generator. Other differences in Enercon's wind
turbines are their distinctive drop-shaped generator housings
(designed by Lord Norman Foster) and their towers, which are painted
with green rings at the base to blend in with their surroundings. The
product portfolio consists of seven turbine products that are available
for the customers worldwide.
Vision: economical / ecological success, develop state-of-the-art products (it
is not mentioned in the company website, but the phrases are derived from the
company profile description)

Mission: delivering top quality products to its customers and continuous


improvement. not mentioned in the company website, but the phrases are
derived from the company profile description)

Values: Integration, compliance, commitment, resources, simplicity,


development. (not mentioned in the company website, but the phrases are derived from
the company profile description)

Enercon India Limited (Enercon) is a wind power based energy company,


formed as the joint venture of Enercon Gmbh, Germany and Indian
promoters Mehra Group. The company is mainly engaged in the provision of
complete range of solutions from identification of potential site and project
development to wind turbine generator installation and maintenance.
Furthermore, the company also offer solutions such as regulatory and
statutory clearances; provide assistance in financing; infrastructure
development; civil construction; creating evacuation facilities; project
commissioning; and supply of spare parts. It has four state-of-the-art
technology manufacturing plants located at Daman. Currently, Enercon

manufactures and markets two wind energy converter and concrete tower
with ratings 330 KW (E-33) and 800 KW (E-48). The company installed over
1,800 wind energy converters in India, with total installed capacity exceeding
1,000 MW. It predominantly operates in Gujarat, Karnataka, Madhya Pradesh,
Maharashtra, Rajasthan, Tamil Nadu and Andhra Pradesh. The company is
headquartered in Mumbai, Maharashtra, India.
Financial statements for ENERCON arent available on the www

Content picked up from below URLs


http://www.gwec.net/wpcontent/uploads/2014/02/Wind_Energy_2014_Outlook_Sawyer.pdf

http://www.ren21.net/portals/0/documents/resources/gsr/2013/gsr2013_lowre
s.pdf
https://www.google.co.in/webhp?sourceid=chromeinstant&ion=1&espv=2&ie=UTF8#q=global+wind+energy+statistics+2014+pdf
http://en.wikipedia.org/wiki/Wind_power_by_country
http://www.wwindea.org/home/index.php
http://www.wwindea.org/webimages/WWEA_half_year_report_2014.pdf
http://www.ren21.net/portals/0/documents/resources/gsr/2014/gsr2014_full
%20report_low%20res.pdf
http://mospi.nic.in/mospi_new/upload/Energy_stats_2014.pdf
http://www.gwec.net/wp-content/uploads/2014/04/GWEC-Global-WindReport_9-April-2014.pdf (where I started to extract the ibfo)
http://www.marketwatch.com/investing/stock/my/profile

sort of old data 2013 : http://www.gwec.net/wpcontent/uploads/2014/02/GWEC-PRstats-2013_EN.pdf


http://www.cwet.tn.nic.in/Docu/Annual_report/English/Annual_Report_2012_2013_En
glish.pdf

more in the attached excel sheet:

Rawdata_ver1.xls