home

//Hello group! We can use this to add information to our outline.//

Porters 5 Forces -

1 - Threat of entry of new competitors

2 - Intensity of competitive rivalry

3 - Threat of substitute products or services

4 - Bargaining power of buyers/customers

5 - Bargaining power of suppliers

My initial thoughts - All 5 forces are driven almost completely by government policy at this point. If the govt. put more money into biodiesel, entry of new competitors rises, competitive rivalry decreases, threat of substitutes is about the same. The power of suppliers will be low until the overshadowing power of the govt. decreases, and buyer power is proportional buyer demand.

Cool

http://en.wikipedia.org/wiki/Biodiesel ^Really good info, at least as a place to start.

Chemical formula of biodiesel How it is made It comes from veg. Oil, animal fats/oil Allows for muti use of bio-oil, but it is less consistent after 1 st use Higher flash point than diesel Different % mixes Standardization problems/innovation Market size Make-up US, Brazil, China, Europe Europe is the largest current consumer Largest producer?????
 * Major characterisctics - **

Biodiesel Compared to Petroleum Diesel Advantages • Domestically produced from non-petroluem, renewable resources • Can be used in most diesel engines, especially newer ones • Less air pollutants (other than nitrogen oxides) and greenhouse gases • Biodegradable • Non-toxic • Safer to handle Disadvantages • Use of blends above B5 not yet warrantied by auto makers • Lower fuel economy and power (10% lower for B100, 2% for B20) • Currently more expensive • More nitrogen oxide emissions • B100 generally not suitable for use in low temperatures • Concerns about B100's impact on engine durability

2009 total production= 15760 million L Germany, us, france, argentina, brazil=68.4%of world biodiesel Spain and canada are emerging markets Us is EU biggest supplier of biodiesel 700million euros worth of fuel to a total market worth 5billion euro http://en.wikipedia.org/wiki/Biodiesel_by_region ^We should look at the sources of this Wikipedia article, because it's exactly what we need, but having Wikipedia cited looks bad.
 * Production/Consumption - **

Largely driven policy at this point.
 * Competitive landscape - **

“The Growth and Direction of the Biodiesel Industry in the United States” Growth, pushed by govt. Policy EU imposed import tax on us biodiesel imports, reduced blend target to 6.3% (2010) China new automaker subsidy for new cars w/ biofuel tech Germany just passed legislation to tax biofuels, rough time.
 * Global trends - **

**Pricing trends -**

[]

[]
 * Supply chain dynamics - **

**Future outlook** - More policy issues

Europe France- diester industries - 2250 mil L/Y Ger - ADM Biodiesel - 1130 mil L/Y in EU, global is 1700 mil L/Y (brazil, US, india, indonesia) Swiss- Biopetrol Industries Ger- Verbio Ger- Cargill - 420 Mil L/year Italy- Ital Green Oil
 * Major Mkt segments - **

Total EU CAPACITY= 23500 mil L/Y, 276 production facilities