Gao Jifan: The Three Keys of Private PV Enterprises' Competition to Win

The slowdown in market growth, the reduction of subsidies in Europe, and the participation of state-owned enterprises in the competition, how to deal with these multiple challenges is a common concern for private photovoltaic companies. Gao Jifan, chairman of Changzhou Trina Solar Energy Co., Ltd., one of the largest photovoltaic companies in China, said in an interview with reporters recently that innovation-driven, internationalization and quality assurance are the three core points for the private PV companies to win.

The first is innovation drive. State-owned enterprises enter the photovoltaic industry is an inevitable process, but its core advantage is strong capital, the layout will focus on the operation of the power plant. Private enterprises have already accumulated a certain amount of technology due to long entry time, and they have advantages in R&D and manufacturing. Gao Jifan said that private photovoltaic companies should actively establish cooperative relationships with state-owned enterprises. The key to our competition to win is how to specialize in advantageous areas, build core competitiveness, and jointly promote the progress of the entire industry.

The second is internationalization. Having strong international capabilities is also an advantage of private enterprises. The employment mechanism of private enterprises is more flexible. Local employees can be hired to better serve global customers, and global companies can be created with global resources. In addition, it is expected that the Chinese market will usher in greater development from 2012 to 2014, and private PV companies can actively participate in the domestic market. However, they should not rely on the development of the domestic market and strive for projects with reasonable returns on a global scale.

The third is quality assurance. At present, among the global photovoltaic market, first-class companies account for 40-50% of the total, while second and third-tier companies account for about 50% of the market. With the reduction of PV subsidy in Europe, the global PV market will surely have a relatively large decline in 2011, but the first-class corporate customer base is stable. Its development plan will not change due to policy adjustment, and will be the least affected. Gao Jifan suggested that private PV companies should not simply pursue scale and price wars, but should pay attention to product quality and develop high-end customers with high-quality products and services.

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