scholarly journals A Comparative Study of Renewable Energy Industry Regulation on Feed-In Tariffs Based on Pricing Strategy of Value Standard Method

2013 ◽  
Vol 2013 ◽  
pp. 1-9 ◽  
Author(s):  
Peng Sun
Keyword(s):  
Social Welfare ◽  
Standard Method ◽  
Energy Production ◽  
Pricing Strategy ◽  
Energy Industry ◽  
Pricing Strategies ◽  
Optimal Price ◽  
Industry Regulation ◽  
Regulation Type ◽  
Renewable Energy Industry

Based on pricing strategy of value standard method, we establish a three-stage game model of energy production to compare the differences of optimal regulated price and social welfare under three regulation types of feed-in tariffs. We show that the optimal price levels under three main regulation types are different. But the choice of regulation type does not impact the optimal social welfare. So policymakers with different preferences may make regulation decisions in different ways. This successfully explains why many regulation types exist in different countries. Moreover, although it is difficult to determine the optimal price by the value standard method in practice, the conclusions of this paper also provide a judgment criterion for other pricing strategies on how to choose a suboptimal regulation type.

scholarly journals The Competitive Effects of Variance-based Pricing

2020 ◽  
Author(s):  
Ludwig Dierks ◽  
Sven Seuken
Keyword(s):  
Cloud Computing ◽  
Social Welfare ◽  
Pricing Strategy ◽  
Pricing Strategies ◽  
Theoretic Analysis ◽  
Competitive Effects ◽  
Game Theoretic Analysis ◽  
Game Theoretic ◽  
Demand Fluctuations ◽  
Pricing Rule

In many markets, like electricity or cloud computing markets, providers incur large costs for keeping sufficient capacity in reserve to accommodate demand fluctuations of a mostly fixed user base. These costs are significantly affected by the unpredictability of the users' demand. Nevertheless, standard mechanisms charge fixed per-unit prices that do not depend on the variability of the users' demand. In this paper, we study a variance-based pricing rule in a two-provider market setting and perform a game-theoretic analysis of the resulting competitive effects. We show that an innovative provider who employs variance-based pricing can choose a pricing strategy that guarantees himself a higher profit than using fixed per-unit prices for any individually rational response of a provider playing a fixed pricing strategy. We then characterize all equilibria for the setting where both providers use variance-based pricing strategies. We show that, in equilibrium, the providers' profits may increase or decrease, depending on their cost functions. However, social welfare always weakly increases.

Pricing Strategy of Online Knowledge Market

2009 ◽  
pp. 2556-2570
Author(s):  
Zuopeng (Justin) Zhang ◽  
Sajjad M. Jasimuddin
Keyword(s):  
Best Practice ◽  
Pricing Strategy ◽  
Pricing Strategies ◽  
Optimal Price ◽  
Different Levels ◽  
Knowledge Market

This article addresses the different levels of pricing strategies for an online knowledge market. Based on the best practice from Google Answers, an online knowledge market is modeled as a marketplace where consumers ask and researchers answer questions to make knowledge transactions. Consumers optimally price their questions to obtain answers, and a firm maintains the online knowledge market by determining the optimal price allocation to researchers. Our study identifies two types of consumers, spin-off and mainstream, based on whether additional utilities will be derived from the market. In addition, we investigate how the firm can use minimal and maximal posting prices to regulate the knowledge market.

Firm Discrimination Pricing Strategies with Network Effect

2006 ◽  
Vol 532-533 ◽  
pp. 941-944
Author(s):  
Xiao Jun Pan ◽  
Hong Min Chen ◽  
Li Xu
Keyword(s):  
Social Welfare ◽  
Price Discrimination ◽  
Equilibrium Price ◽  
Network Effect ◽  
Pricing Strategy ◽  
Pricing Strategies ◽  
Uniform Pricing ◽  
Competitive Price ◽  
The Social ◽  
Differentiated Goods

We explore the price and welfare effect of price discrimination in a differentiated-goods oligopoly market with network effect and the effect of network effect on the equilibrium price, profit and output. We show that competitive price discrimination and network effect may intensify competition and the price discrimination increases the social welfare under oligopoly market with network effect. If firms differ in which markets they target for aggressive pricing strategy and competitive firm’s reaction is strong, prices in all markets may fall. So both firms agree on the strategies of setting the uniform pricing.

The Factors Affect Company Performance in Renewable Energy Industry

2017 ◽  
Vol 5 (6) ◽  
pp. 188-204 ◽  
Author(s):  
YINLIN TSAI ◽  
Johnny Tung
Keyword(s):  
Renewable Energy ◽  
Capital Intensity ◽  
Performance Measure ◽  
Energy Industry ◽  
Long Term Results ◽  
Company Performance ◽  
Firm Level ◽  
Country Level ◽  
Performance Determinants ◽  
Renewable Energy Industry

Concerns about global warming and climate change are generating interest in renewable energy measures with the purpose to minimize environmental impact. Promoting renewable energy production becomes indispensable since its represent a tiny fraction of energy consumed. The purpose of this study is to identify the performance determinants are divided in country specific advantages and firm specific advantages. Companies were selected from Bloomberg and filtered due to its information ava ilability from COMPUSTAT to construct a Panel Data structure. The results proved that both country level (shares of renewable and energy consumption) and firm level (market capitalization, employee growth rate and capital intensity) determinants were signi ficant in the renewable energy industry. Through the analysis, it’s possible to realize that return on assets it’s a performance measure with long term results, but unlike it, gross profit margin is variable that demonstrate short term results. We conclude that renewable energy industry has a great potential due to its results performed.

Community Benefits and UK Offshore Wind Farms: Evolving Convergence in a Divergent Practice

2021 ◽  
pp. 2150001
Author(s):  
John Glasson
Keyword(s):  
Wind Farm ◽  
Wind Farms ◽  
Host Community ◽  
Offshore Wind ◽  
Energy Industry ◽  
Offshore Wind Farms ◽  
Onshore Wind ◽  
Community Benefits ◽  
The Uk ◽  
Renewable Energy Industry

The Offshore Wind sector is a major, dynamic, and rapidly evolving renewable energy industry. This is particularly so in Europe, and especially in the UK. Associated with the growth of the industry has been a growth of interest in community benefits as voluntary measures provided by a developer to the host community. However, in many cases, and for some of the large North Sea distant offshore wind farms, the benefits packages have been disparate and pro rata much smaller than for the well-established onshore wind farm industry. However, there are signs of change. This paper explores the issues of community benefits for the UK offshore sector and evolving practice, as reflected in a macro study of the adoption of community benefits approaches across the industry. This is followed by a more in-depth micro- approach, which explores approaches that have been adopted in three case studies of recent OWF projects — Aberdeen, Beatrice and the Hornsea Array. Whilst there is still much divergence in practice, there are also examples of some convergence, and the development of a more replicable practice. Particularly notable is the adoption of annual community benefits funds, as the key element of community benefits schemes/agreements between developers, local authorities and local communities.

scholarly journals Setting an agenda for biofouling research for the marine renewable energy industry

2017 ◽  
Vol 19 ◽  
pp. 292-303 ◽  
Author(s):  
J. Loxton ◽  
A.K. Macleod ◽  
C.R. Nall ◽  
T. McCollin ◽  
I. Machado ◽  
...  
Keyword(s):  
Renewable Energy ◽  
Energy Industry ◽  
Marine Renewable Energy ◽  
Renewable Energy Industry

THE PRICING STRATEGY OF COMPLETE PRE-ORDERED MERCHANDISE UNDER DISCOUNTED PROFIT FOR MAXIMIZING

2008 ◽  
Vol 25 (05) ◽  
pp. 613-624 ◽  
Author(s):  
MIAO-SHENG CHEN ◽  
FU-CHIEN TSAI
Keyword(s):  
Price Level ◽  
Rate Function ◽  
Pricing Strategy ◽  
Optimal Price ◽  
Price Variability ◽  
Intention To Purchase ◽  
Price Levels ◽  
Demand Rate ◽  
Potential Demand ◽  
Customer Purchases

When a customer steps into a complete pre-ordered store, he will review the merchandise and consider his demands based on the merchandise price levels and price variability at that point in time. However, after declaring his intention to purchase said merchandise, the store assistant informs him that the merchandise will not be available for a period of time. This is a typical stock-out merchandise scenario in which customers may only place an order for delivery at a later point in time. Therefore, whether or not customer purchases merchandise does not just depend on the price at that moment. It is also influenced by the expected future increase or decrease of the price of the merchandise and the length of time before the store can supply the merchandise. In this study, we will explore how to set price levels at each point in time during the stock-out period in order to maximize the discounted profit after considering the influence of the price level, price variability, and waiting time on customer demand. The main assumption in this study is that customers' potential demand rate function at a given point during the stock-out period is a linear function of the price level and price variability at that point. Also, the ratio function of customers willing to wait for the merchandise is an exponential function of the length of time before the merchandise will be delivered. Constructing a mathematical model that is concrete to discuss the above problem, to derive the optimal price function of the merchandise at each point in time, and to discuss the characteristics of this function are the main parts of this study.

Sign in / Sign up

Export Citation Format

Share Document