PVT Case Study Quiz

Pages: 2 (441 words) Published: April 28, 2014

1. What could be the reasons for the unfavorable evaluation of PV technologies by Greg Morgan?
The bid prices of the BJ Solar’s & SOMA energy products ( which are the competitor of PV technologies ) were significantly lower than PVT’s.

Solenergy was steadfast to a renewed focus on expense control and the upfront cost differential was significant.

An enhanced maintenance schedule, coupled with a proactive quality control program designed to identify potential performances issues before they occurred, should compensate for the inferior performance characteristics of the less costly inverters.

The enhanced oversight and extended maintenance schedule would raise operating cost, the lower net ownership costs argued in favor of selecting the lowest cost product.

2. Evaluate alternative course of action available to PVT to gain favorable evaluation by Solenergy for the Barstow Project?

The four alternative course of action available to PVT:

Scenario 1. PVT should offer to extend the original warranty at internal cost from 10 to 20 years, which no other competitor is giving. This has exceptional advantage over the competitors who are giving warranty for 5 yrd only.

Scenario 2. PVT should offer a 99% uptime guarantee at no cost, which is a unique selling point given by PVT only, keeping in mind that competitors would not match the offer.

Scenario 3. PVT should accelerate the introduction of a new product, scheduled to release shortly , with higher capacity at 1.25MW @ 98.5% efficiency. It would be the most reliable, efficient inverter in the market and cost effective. This will not only show PVT competency in high capacity system but also establish them as unbeatable player.

Scenario 4. PVT should tactfully initiate a dialogue with Morgan to confirm the reported findings of the elevation. But there can be ethical issue if Morgan find out the news from PVT executive.

3. What short term and long term policies...
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