Shaping the Future of Solar Power: Climate Change, Industrial Policy and Free Trade Harvard Case Solution & Analysis

The bankruptcy was a major embarrassment for the Obama administration which had touted renewable energy businesses like Solyndra as the wave of the future, and had invested billions of dollars in government loan guarantees to promote them. The Chinese government, nevertheless, had outpaced the U.S. in providing loan guarantees and subsidies to solar manufacturers and helped transform the nation's nascent solar production business into a world leader. Chinese dominance in the solar market finally triggered a high-stakes trade war between China and the United States but neither state could hold the huge downturn in the solar market that began in 2012.

The case provides an in-depth accounts of the intricate and frequently competing plans on climate change, industrial policy and free trade which fueled the politically energized commerce conflicts between the U.S. and China. Against the backdrop of the global environmental challenge, the case includes details on the Obama administration's trademark energy subsidy plan and the factors that led to Solyndra's fall. Additionally, it follows the rise of China's solar industry along with the trade complaints made by the U.S. against China at the World Trade Organization and the subsequent Department of Commerce decision to inflict punishments against Chinese solar panel manufacturers.

Shaping the Future of Solar Power Climate Change, Industrial Policy and Free Trade case study solution

PUBLICATION DATE: May 16, 2013 PRODUCT #: HKS757-PDF-ENG

This is just an excerpt. This case is about GLOBAL BUSINESS

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