The paper "NewCo Business Plan: Due Diligence" is an outstanding example of a business case study. The mobile phone has been touted as one of the devices that have been and will continue transforming the underdeveloped countries (Wyche & Murphy, 2). Income generation, health and education are some of the areas it is deemed to impact the most. NewCo targeting unelectrified rural areas in Kenya is a strength since most people will certainly welcome the idea of being able to charge the phones at a cheaper cost and they do not have to waste time while at it.
Although the Kenyan government has rolled out a rural electrification project, it has not kept pace with demand for electricity in many of the Kenya villages (Wyche & Murphy, 4). Again, as Wyche and Murphy say, the solar power solution to charging mobile phones have been seen as ‘ the’ solution to lack of power in rural areas. This businesses idea is not only important for the needs it meets, but it is also important since it meets these needs using renewable energy, thus it does not add to the climate challenges of the developing nations. Technology and Appropriability The solar power technology in mobile phone charging is not new in Kenya.
According to Innovation and Renewable Electrification in Kenya (IREK) (3), solar energy utilization in Kenya started in the 1980s. People in the rural unelectrified areas use solar panels to generate electricity to power their homes, this is only done by the few who can afford. Portable mobile chargers have been introduced by a number of mobile phone companies like Nokia. Additionally, mobile network providers like Safaricom have introduced the solar energy mobile phones that come with an inbuilt solar charging system.
Nevertheless, the use of a mobile device like Solaris for mobile charging business is relatively new. The solar mobile phone charging kiosks are not common in the Kenyan market, and especially in the rural areas. Currently, a lot of local and global environmental conservation groups have been lobbying for business ventures that do not only promise the economic value, but also those that provide a solution to the environmental problems. In this case, solar energy is clean and would be embraced especially if because it demonstrates how it supports economic, environmental and social sustainability (Warneck & Houndonougbo, 362).
In situations where the business venture would need to source for funding, it would have choices from economic groups, environmental bodies and social or community support groups. The entrepreneur does not have the freedom to operate. First, the entrepreneur relies on the engineering team in the UK to come up with the Solaris design and manufacturing company in China. The business plan does not indicate whether the workers would be sourced in the respective countries and the legal requirements for their operations or work permits.
Although there are plans for a signed agreement of the IPR rights, it could be easy for the idea to be altered or changed. The financial plan allows for a protection strategy in that it is segmented yearly and for the first five years. This would allow for financial decisions to be made at the end of the business year. However, the plan estimates the first and second years would not yield as many returns, which means the first and second years are risky.
Although there is a development plan, it is not clear enough and does not show the timelines for product development and the necessary resources to accomplish the tasks.
Innovation and Renewable Electrification in Kenya, “A Desk Assessment on the Overviews of Current Solar and Wind Energy Projects in Kenya”, (IREK), http://irekproject.net/files/2015/11/Solar_and_wind_energy_projects_Kenya-IREK1.pdf.
Bose, Tarun Kanti. "Market Segmentation And Customer Focus Strategies And Their Contribution Towards Effective Value Chain Management". International Journal of Marketing Studies, Vol. 4, no. 3, 2012, p. 115.
Kenya Power and Lighting Company. "Electrification Project | Kplc.Co.Ke". Kplc.Co.Ke, 2016, http://www.kplc.co.ke/content/item/1119/electrification-project-.
Warnecke, Tonia, and Ahiteme N. Houndonougbo. "Let There Be Light: Social Enterprise, Solar Power, and Sustainable Development." Journal of Economic Issues (M.E. Sharpe Inc.) 50.2 (2016): 362-372
Wyche, Susan and Laura Murphy. "Powering the Cellphone Revolution: Findings from Mobile Phone Charging Trials in Off-Grid Kenya’". Changing Perspectives, 2013.