Solar Energy Struggles Homework

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Solar Energy Struggles
Background The manufacturing of solar energy is characterized with high innovativeness in a diverse industry. It entails the established technologies such as the photovoltaic cells, solar thermal energy as well as concentrating solar power.
In the context of photovoltaic cell market, the renowned traditional crystalline silicon cells which accounts for approximately 93% of the total markets share volume. The new incoming film cells attract a market share of 7% only.
The concentrating solar power is generated through the utility scale of solar installations that involves reflective mirrors or modified concentrating lenses. On the other hand, the thermal solar energy acquits to solar energy generation through a direct tap of sunlight for a pool, water as well as space heating.
The solar thermal may also be employed in making cooling systems. Through a recent technology, the solar chemically converts solar-heated water to a preempted water conditioning.
Besides the use of these technologies,
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Besides the use of these technologies,
modern research indicates focuses on the development of advanced technologies in the production of cells characterized with greater conversion efficiency with regard to the conversion of solar energy into electrical energy (Miller 2009).
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modern research indicates focuses on the development of advanced technologies in the production of cells characterized with greater conversion efficiency with regard to the conversion of solar energy into electrical energy (Miller 2009).
The prices of solar cells globally have also plummeted as a result of global economic recession, the widened low cost production and subsequent fluctuations in the government subsidies.
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The prices of solar cells globally have also plummeted as a result of global economic recession, the widened low cost production and subsequent fluctuations in the government subsidies.
The solar panel factories also demands millions in the startup capital.
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The solar panel factories also demands millions in the startup capital.
As a result,
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As a result,
majority of the leading companies are forced into maintaining both domestic R and D facilities while at the same time outsourcing commercial additional commercial production in the foreign destinations.
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majority of the leading companies are forced into maintaining both domestic R and D facilities while at the same time outsourcing commercial additional commercial production in the foreign destinations.
In 2011, the Evergreen Solar Corporation declared its plan to relocate about 800 employees from the Massachusetts plant to a new location in China. This was done through the Chinese Government loan.
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In 2011, the Evergreen Solar Corporation declared its plan to relocate about 800 employees from the Massachusetts plant to a new location in China. This was done through the Chinese Government loan.
This followed the General Electric Corporation announcing its intent to open the biggest solar plant in US the same year.
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This followed the General Electric Corporation announcing its intent to open the biggest solar plant in US the same year.
Indeed, the established solar plants have been considerably successful with the largest manufacturer of thin film cells globally.
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Indeed, the established solar plants have been considerably successful with the largest manufacturer of thin film cells globally.
In this regard, while the cost of solar power has been playing a central role in the definition of the solar energy supply chain model,
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In this regard, while the cost of solar power has been playing a central role in the definition of the solar energy supply chain model,
the location of such plants are mainly demand-driven (Wasserman 1979).
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the location of such plants are mainly demand-driven (Wasserman 1979).
Solar Energy Supply Chain-Existing Gaps The solar energy supply chain has been playing a crucial role in the modern environment especially when top manufacturers have geared up to achieving gigawatt scales.
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Solar Energy Supply Chain-Existing Gaps The solar energy supply chain has been playing a crucial role in the modern environment especially when top manufacturers have geared up to achieving gigawatt scales.
In the year 2000, there was a successful installation of about 170 megawatts of the photovoltaic capacity in one year.
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In the year 2000, there was a successful installation of about 170 megawatts of the photovoltaic capacity in one year.
In subsequent development, 10 gigawatts that is equivalent to 10,000 megawatts were also established. In Suntech today, a single building contains a capacity of one gigawatt.
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In subsequent development, 10 gigawatts that is equivalent to 10,000 megawatts were also established. In Suntech today, a single building contains a capacity of one gigawatt.
The two scales have exerted more pressure on the solar energy supply chain in order to deliver the components through shorter lead times (Clery 2013).
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The two scales have exerted more pressure on the solar energy supply chain in order to deliver the components through shorter lead times (Clery 2013).
Consequently, this aspect necessitates the OEMs to conduct a usual local sourcing as opposed to an extensive outsourcing.
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Consequently, this aspect necessitates the OEMs to conduct a usual local sourcing as opposed to an extensive outsourcing.
Indeed, there are particular components which must meet stringent quality standards. While at it, some components in the supply chain of solar energy are renowned to be driven by cost.
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Indeed, there are particular components which must meet stringent quality standards. While at it, some components in the supply chain of solar energy are renowned to be driven by cost.
The process of solar manufacturing also entails a wide application of both labor and cost of power. Since suppliers have intent to enhance profit generation while minimizing costs.
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The process of solar manufacturing also entails a wide application of both labor and cost of power. Since suppliers have intent to enhance profit generation while minimizing costs.
In this regard, local sourcing provides the OEMS with close and regular contacts with suppliers to their business. This mechanism rather simplifies the logistics in undertaking the business.
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In this regard, local sourcing provides the OEMS with close and regular contacts with suppliers to their business. This mechanism rather simplifies the logistics in undertaking the business.
Essentially, the supply chain entails a number of players both in the service and the production centers. Indeed,
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Essentially, the supply chain entails a number of players both in the service and the production centers. Indeed,
the supply chain the solar energy sector has been highly manipulated by the specific technology in use and therefore highly variable despite the fact that all technologies manipulate available software and services firms (Williams 2014).
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the supply chain the solar energy sector has been highly manipulated by the specific technology in use and therefore highly variable despite the fact that all technologies manipulate available software and services firms (Williams 2014).
There are however numerous opportunities in the solar energy sector particularly owing to its diverse nature.
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There are however numerous opportunities in the solar energy sector particularly owing to its diverse nature.
The main players in this industry include the conglomerates in which solar makes an important aspect central to the business.
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The main players in this industry include the conglomerates in which solar makes an important aspect central to the business.
This is also the case for multiple firms specializing in solar. Despite the fact that most firms in the industry are partially assuming vertical integration,
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This is also the case for multiple firms specializing in solar. Despite the fact that most firms in the industry are partially assuming vertical integration,
there is virtually no firm that exclusively spans the entire supply chain.
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there is virtually no firm that exclusively spans the entire supply chain.
Due nascent nature of the solar industry the potential chance reaches beyond the manufacturing level of the industrial frame. Consequently,
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Due nascent nature of the solar industry the potential chance reaches beyond the manufacturing level of the industrial frame. Consequently,
the establishment of the solar energy distribution demands high level of gains in infrastructural endowment, efficiencies and the energy storages in general (Steele 2005).
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the establishment of the solar energy distribution demands high level of gains in infrastructural endowment, efficiencies and the energy storages in general (Steele 2005).
In the supply chain, five distinct processes present significant gaps in the whole chain. In particular, in solar energy sector,
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In the supply chain, five distinct processes present significant gaps in the whole chain. In particular, in solar energy sector,
manufacturing involves the generation and procurement of efficient raw materials, equipment servicing capacity, training and overall distribution through the extensive marketing of PV cells.
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manufacturing involves the generation and procurement of efficient raw materials, equipment servicing capacity, training and overall distribution through the extensive marketing of PV cells.
In distributing the products, there exist many independent solar distributors and firms with scaled preference to engage in both production and distribution.
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In distributing the products, there exist many independent solar distributors and firms with scaled preference to engage in both production and distribution.
This implies that the firms dominate the entire process from production to distribution. Indeed, specialized distributors often specialize in solar while majority are also electrical distributors.
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This implies that the firms dominate the entire process from production to distribution. Indeed, specialized distributors often specialize in solar while majority are also electrical distributors.
This presents a complex chain with multipurpose players in the industry dominating the whole sector.
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This presents a complex chain with multipurpose players in the industry dominating the whole sector.
The electric distributors are renowned for breaking into solar business without specific framework of defined network (Hirt 2012).
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The electric distributors are renowned for breaking into solar business without specific framework of defined network (Hirt 2012).
The installation of solar gadget also complicates the supply chain.
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The installation of solar gadget also complicates the supply chain.
Some of the firms in the solar industry have also organized contracts with concrete utilities in focusing on the installation and subsequent maintenance of solar panels.
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Some of the firms in the solar industry have also organized contracts with concrete utilities in focusing on the installation and subsequent maintenance of solar panels.
The electrical industry has also suffered concrete level of shortage in infrastructural endowment in order to tap the available solar-powered systems.

The electrical industry has also suffered concrete level of shortage in infrastructural endowment in order to tap the available solar-powered systems.
Consequently, there are unexploited opportunities within the framework of installation, replacement or even modification of equipments.
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Consequently, there are unexploited opportunities within the framework of installation, replacement or even modification of equipments.
Low supply of essential solar-powered infrastructure due to the multi-purpose focus of the solar dealers has further complicated the supply chain of solar energy among mainstream users.
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Low supply of essential solar-powered infrastructure due to the multi-purpose focus of the solar dealers has further complicated the supply chain of solar energy among mainstream users.
This scenario is pegged on the minimal affinity to convert electrical infrastructure to accommodate solar power usages (Cameron & Craig 2010).

This scenario is pegged on the minimal affinity to convert electrical infrastructure to accommodate solar power usages (Cameron & Craig 2010).
Gaps in the Solar Energy Supply Chain There have been major aspects clear in the solar energy sector and the industry at large.
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Gaps in the Solar Energy Supply Chain There have been major aspects clear in the solar energy sector and the industry at large.
The solar industry is mainly characterized with several fluctuations. Pegged on the costs of raw materials, the cost of photovoltaic panel is subject to high fluctuation.
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The solar industry is mainly characterized with several fluctuations. Pegged on the costs of raw materials, the cost of photovoltaic panel is subject to high fluctuation.
There have been frequent disparities in the sector. However, recent report shows that the solar energy sector has been encountering consistent growth in the year 2015.

There have been frequent disparities in the sector. However, recent report shows that the solar energy sector has been encountering consistent growth in the year 2015.
Consequently, with this growth, the number of logistic considerations in solar sector will venture into the equation of complicity of the sectoral performance.
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Consequently, with this growth, the number of logistic considerations in solar sector will venture into the equation of complicity of the sectoral performance.
Solar factor has also noted that the global PV panel creation has been highly dispersed globally. There has been particularly high concentration in such locations as China,
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Solar factor has also noted that the global PV panel creation has been highly dispersed globally. There has been particularly high concentration in such locations as China,
Germany and the US-based corporations that claim a significantly high market share (Tumber 2015).

Germany and the US-based corporations that claim a significantly high market share (Tumber 2015).
Essentially, the risks involved in this case are very emphatic. As a result, majority of the US-based enterprises prefer procuring panels,
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Essentially, the risks involved in this case are very emphatic. As a result, majority of the US-based enterprises prefer procuring panels,
which are manufactured domestically. In this regard, companies minimize the risks involved in the maritime shipping of the solar panel equipment.
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which are manufactured domestically. In this regard, companies minimize the risks involved in the maritime shipping of the solar panel equipment.
This as a case example presents a significant challenge to not only the US-based organizations but also other players in the entire industry hence necessitating local sourcing.

This as a case example presents a significant challenge to not only the US-based organizations but also other players in the entire industry hence necessitating local sourcing.
However,
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However,
this becomes a major challenge in many developing natures aiming at maximizing the utilization of solar energy especially because there is a huge gap in industrialization and therefore lacks supply of locally manufactured solar equipments (Onyige 1996).
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this becomes a major challenge in many developing natures aiming at maximizing the utilization of solar energy especially because there is a huge gap in industrialization and therefore lacks supply of locally manufactured solar equipments (Onyige 1996).
Besides, the avoidance of imports of solar equipments also encourages the considerations on the manner in which either rails or roads could be influenced to deliver consignments of solar panels.

Besides, the avoidance of imports of solar equipments also encourages the considerations on the manner in which either rails or roads could be influenced to deliver consignments of solar panels.
In addition, a number of solar panel producers and resellers focuses on the entire consumer markets. Consequently,
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In addition, a number of solar panel producers and resellers focuses on the entire consumer markets. Consequently,
the demand for a distribution system for delivering solar energy products incapacitates enterprises into following models, which are often used in the operations of brick-and-mortar retail processes.
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the demand for a distribution system for delivering solar energy products incapacitates enterprises into following models, which are often used in the operations of brick-and-mortar retail processes.
This kind of a system also considers the need exerted by homeowners within certain regions besides recognizing the timeframe within which subsequent installation are likely to result and subsequently procure sufficient materials towards satisfying the anticipated needs (Brown 1998).
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This kind of a system also considers the need exerted by homeowners within certain regions besides recognizing the timeframe within which subsequent installation are likely to result and subsequently procure sufficient materials towards satisfying the anticipated needs (Brown 1998).
The solar power market is highly demanding. However, one of the factors that hinder growth in the solar market is purchasing costs.
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The solar power market is highly demanding. However, one of the factors that hinder growth in the solar market is purchasing costs.
In particular, it is not feasible in practice for many average homeowners to buy solar panels and related equipments.
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In particular, it is not feasible in practice for many average homeowners to buy solar panels and related equipments.
In particular, the payment of a contractor in undertaking a procedural installation of PV panels on their roof is considerably challenging with the modest income size.
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In particular, the payment of a contractor in undertaking a procedural installation of PV panels on their roof is considerably challenging with the modest income size.
Besides, the returns on investments on the factor of the homeowners residential can also be highly ambiguous (Wheeler & Beatley 2014).

Besides, the returns on investments on the factor of the homeowners residential can also be highly ambiguous (Wheeler & Beatley 2014).
Recent studies indicate that is heading to a point where it will become cheaper than payments of electric bills costs among 47 states in US. However, this is not yet a definitive possibility.
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Recent studies indicate that is heading to a point where it will become cheaper than payments of electric bills costs among 47 states in US. However, this is not yet a definitive possibility.
This research also incorporated tax credits accruing to solar energy use, which implied that even with a drop in subsidies to about 10%,
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This research also incorporated tax credits accruing to solar energy use, which implied that even with a drop in subsidies to about 10%,
the solar energy would eventually achieve high price parity with certain conventional resources within about 36 states in the United states.
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the solar energy would eventually achieve high price parity with certain conventional resources within about 36 states in the United states.
However, this scenario of low cost simulation is mainly achievable in developed countries. Nevertheless,
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However, this scenario of low cost simulation is mainly achievable in developed countries. Nevertheless,
the developing nations are also pertinent users of the energy despite the fact that they hardly produce solar panels and related equipment to tap solar energy.
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the developing nations are also pertinent users of the energy despite the fact that they hardly produce solar panels and related equipment to tap solar energy.
In this regard, the fateful reduction of the costs attributable to solar energy use could be relatively hard in such regions which are dependent mainly on imports (Bradley & Hedrén 2014).
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In this regard, the fateful reduction of the costs attributable to solar energy use could be relatively hard in such regions which are dependent mainly on imports (Bradley & Hedrén 2014).
Finally yet importantly, there are many reverse logistics consideration eminent in the whole process.

Finally yet importantly, there are many reverse logistics consideration eminent in the whole process.
The remanufacturing and recycling processes are relevant factors that must be acknowledged in planning solar panel distribution but often overlooked.
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The remanufacturing and recycling processes are relevant factors that must be acknowledged in planning solar panel distribution but often overlooked.
Materials, which are needed in the production of PV panels, are obtained globally. Consequently,
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Materials, which are needed in the production of PV panels, are obtained globally. Consequently,
the refurbishment of outdated models could also assist manufacturers in making the most out of their endowment (Furchtgott-Roth 2012). However,
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the refurbishment of outdated models could also assist manufacturers in making the most out of their endowment (Furchtgott-Roth 2012). However,
heedlessly purchasing raw materials essential in the creation of such implementations are unnecessarily best practices since such behaviors can result in negative implications on sustainability measures in place.
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heedlessly purchasing raw materials essential in the creation of such implementations are unnecessarily best practices since such behaviors can result in negative implications on sustainability measures in place.
By virtue of comparison with Bio-fuels, supply chains that are mainly comprised of biomass matter,
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By virtue of comparison with Bio-fuels, supply chains that are mainly comprised of biomass matter,
solar energy proves to be environmentally friend but have been attributable to a series of challenges in use.
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solar energy proves to be environmentally friend but have been attributable to a series of challenges in use.
Indeed, bio-fuels play a very significant role in supplying energy globally with this category ranking second in energy supply in US.
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Indeed, bio-fuels play a very significant role in supplying energy globally with this category ranking second in energy supply in US.
Unlike the solar energy which involves delicate transportation of materials responsible for tapping the energy,

Unlike the solar energy which involves delicate transportation of materials responsible for tapping the energy,
Bio-fuels equipments are characterized with hardy products while the resource itself comprises of a supply chain possibly regulated by human activities.
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Bio-fuels equipments are characterized with hardy products while the resource itself comprises of a supply chain possibly regulated by human activities.
This involves recurrent feedstock production which is leveraged by a number of factors such as water and water pricing policies as well as domestic agricultural subsidies among others.
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This involves recurrent feedstock production which is leveraged by a number of factors such as water and water pricing policies as well as domestic agricultural subsidies among others.
On the contrary,

On the contrary, solar energy is freely availed in most regions of the world especially regions located between the tropics (United States 2007) This implies that the supply of solar power is highly influenced by demand on high end users as well as ability to tap it.
This implies that the overall demand for the resource is highly restrained as compared to bio-fuel energy which is in use at a global scale both small scale perspective and large scale perspectives as well.
In general, the bio-fuels supply chains is less complicated relative to solar energy supply.