Pl communicate immediately to all your batchmates :

A case study will have to be read, understood, analysed and presented on Monday
6.12.2010 by a couple of teams (which team will be decided by me on Monday morning).
Therefore,
all students may please work on this during this week-end and come prepared, The case
study is :

Page 159 & page 160 of the book "Crafting and Executing Strategy" by Arthur A
Thompson, Strickland, John E Gamble and Arun K Jain (prescribed text book)

Topic : India's Alternative to Expensive Motor Fuel

Chapters to be read : Chapter 5 The five generic competitive strategies (this chapter 5
should be read after reading chapter 4 thoroughly)

Some of the questions on this case study would relate to the following:

1) if you are a CEO of a company holding patent for biofuel production from jatropha
plants, what kind of appropriate strategy you will develop? Why?
2) What precautions you need to take for the company to sustain competitive advantage, if
any.
3) what are the factors that would affect your company's prospects?
4) what are the driving forces of competition?
5)How will you assess the potential competitive forces and plan for the future?
6) what competitive advantages you foresee for your company?

I request every one to come for the Monday class well prepared.
With best wishes
Prof P K Jayaram

Page 1 of 13
In India Professor Pushpito Gosh, director of the Central Salt and Marine Chemicals
Research Institute in Bhavnagar Gujarat, has researched the characteristics of all
the domestic non-edible vegetable oils and found Jatropha to be the most
promising. He is now working on the first Jatropha project in the region supported
by the German DEG – German Investment and Development Company. Using
existing conditions and then converted into biodiesel through a pilot plant using a
cold press method. Fuel specialists from Daimlerchrysler AG tested the end
product which met EU standards.
In Tanzania, Ghana, Malawi and Indonesia the German company Energiebau
Solarstromsysteme GmbH has supplied systems for decentralised power and
introduced hybrid systems with solar and Jatropha biodiesel generators.

Energiebau Solarstromsysteme GmbH

Heinrich-Rohlmann-Str. 17
50829 Köln
Tel. +49(0)221 98966-0
Fax +49(0)221 98966-11
E-mail info@energiebau.de
Website: http://www.energiebau.de/

India may have solved cheap energy question Financial Times

Page 2 of 13
09-Mar-2008
By Amy Yee in New Delhi

When police bring the traffic to an abrupt halt in Raipur, capital of the
remote Indian state of Chhattisgarh, drivers know what to expect next. Soon,
flashing red lights atop speeding government vehicles come into view. Raman
Singh, Chhattisgarh's chief minister, is passing through.

Government motorcades are a common sight in Indian capitals. But what is

different about this one is that all of Chhattisgarh's official vehicles,
including the chief minister's Tata Safari jeep, are run on oil from the
wrinkled black nut of a shrub-like tree called jatropha.

Unlike biofuels made from crops such as soybeans and maize, jatropha is
inedible, grows on non-arable land and needs little water or care. "It has
good potential, no doubt about it," says Suhas Wani, principal scientist at the
International Crops Research Institute for the Semi-Arid Tropics, near
Hyderabad.

Chhattisgarh is well positioned to become the country's biodiesel hub. Its

fleet of 40 or so jatropha-powered cars reflects the state's push to develop
alternative energy sources that also include solar, wind, small hydroelectric,
biomass and industrial waste.

India, which imports more than 70 per cent of its oil and gas, is trying to
launch one of the world's biggest jatropha biofuel projects in order to bolster
energy security. The country's Ministry of Rural Development has proposed
spending $375m (£186m, €245m) over five years to plant 1.2m acres of
jatropha across India and research the crop's viability as a biofuel. If the
experiment is successful, the government would aim for 30m acres of
jatropha plantations and seek to commercialise cultivation.

If 10 per cent of India's estimated 60m hectares (148m acres) of non-arable

land is cultivated for jatropha or other biofuels, the country could produce
4m-5m tonnes of biodiesel a year, or about 10 per cent of current diesel
demand, says Winrock, an Indian non-governmental organisation.

Chhattisgarh, carved out of the poor neighbouring state of Madhya Pradesh

in 2000, hopes to generate 1,000MW, or a third of the state's existing
generating capacity, from alternative energy sources by next year. The state
has planted 160,000 hectares of jatropha. Further planting could by 2012
yield an annual 2m tonnes of biodiesel. Shailendra Shukla, director of
Chhattisgarh Renewable Energy Development Authority, says that with the
non-arable land available, "if all other states replicate this, it will change the
economy".

Page 3 of 13
Such confidence in jatropha, still untested on a large scale, may be unwise in
a country notorious for ambitious plans and poor implementation. Energy,
however, is one of the most pressing issues for India: on the back of annual
economic growth of nearly 9 per cent, energy consumption is expected to
double between 2005 and 2030, according to the International Energy
Agency. India paid up to $60bn to import crude oil last year.

"The whole economy of India is damaged because of crude oil," says Mr

Shukla, when asked what spurred him to look at jatropha in 2004, when he
made an initial test batch of 100 litres. "If we are increasing consumption of
oil, we are benefiting Arab people, not the Indian economy."

Other countries such as South Africa, Ghana, Brazil and Madagascar have
jatropha projects. But commercialisation is still unproven and questions
remain about large-scale cultivation and distribution. The potential of
jatropha and similar plants is alluring, however. As well as growing on
wasteland and requiring little cultivation, it is renewable and is produced
locally. It is also far less polluting than fossil fuels, creates jobs in poor and
remote areas and can be used by India's enormous rural population to run
farm machinery and even generate electricity.

"It's far easier to grow jatropha than drill for oil," says Akshat Rathee of
Earth 100 Biofuels, a New Delhi-based consultancy.

Alternative energy dovetails with the government's aims to develop rural

areas - including electrifying villages - to narrow a widening divide between
rural and urban India.

To show the possibilities for jatropha, Winrock in 2005 launched a pilot

project in the village of Ranidhera, four hours' drive from Raipur.
Ranidhera sits beneath high-tension electrical wire strung on pylons. But the
power coursing over the village is carried to cities while Ranidhera, like so
many Indian villages, descends into darkness as dusk falls.

With $100,000 of funding from the British High Commission and the Indian
government, Winrock supplied four generators powered on jatropha oil,
along with machines to crush seeds and filter the raw oil. Some 25,000
jatropha saplings were planted on roadsides.

Today all 110 homes in Ranidhera have electricity for four hours each
evening. Speaking from her low-roofed home, Pholbati Bai says her four
children can now study at night. Villagers pay about $1 a month for two
lights - comparable with the cost of a month's supply of kerosene.

The project in Chhattisgarh has been far more ambitious. The state and

Page 4 of 13
central government set aside an annual budget of about $20m to employ
rural dwellers to plant jatropha on government-owned land, alongside rail
lines and on bunds, the strips of land that separate farmers' fields. Mr
Shukla persuaded the state to build a $85,000 plant to produce 1,000 litres of
biodiesel a day.

Other efforts to cultivate non-edible, rain-fed biofuel plants on fallow land

are starting to take off across India. The northern states of Uttarakhand and
even desert-like Rajasthan are planting jatropha saplings, while Andhra
Pradesh and Karnataka in the south are planting pongamia, a tree similar to
jatropha.

With its large number of poor, India is reluctant to use food crops for fuel.
Oil from inedible plants is less controversial than soybeans, maize or palm
biofuel crops as it does not divert arable land - a trend that has contributed
to a jump in global food prices. "In India, we can't afford to even think of
using those," says Mr Shukla of biofuel made from food. "If you're growing
soya for biodiesel, you're wasting your time, money and land."

He points out that jatropha produces three times more oil per hectare than
soybeans. Shrubs mature within a few years, produce seeds for about five
decades and require little more than pruning. About 4kg of jatropha nuts
yield a litre of oil.

To dispel doubts, Mr Shukla offered to fill the chief minister's car with the
yellow liquid. He says Mr Singh, the chief minister, told him: "You can pour
it into my car, but if anything goes wrong I'll hang you."

Three years later, Mr Singh insists on running his car only on the home-
made biofuel.

Industries: Police Protection; Admin of Economic Programs; Public Admin;

Justice Public Order & Safety Activities; Regulation & Admin of
Transportation Programs; General Government Administration; Executive
Offices;

Subjects: Government News; \

Countries: India;

FT.com
Copyright The Financial Times Ltd. All rights reserved.

Page 5 of 13
 No, Jatropha is not an illustrious King, nor is it
a war hero.Jatropha, is a weed. It grows on
almost barren land and requires very little
water and hardly any fertilizers. For many
years, Jatropha was a pain for the farmers, an
unwanted wild plant that would grow
alongside their precious crops. Its awful smell
and taste repel grazing animals, but alas,
littlejatropha’s secret was finally out. Its seeds
could be crushed to produce biodiesel!
In the seeds of that wild plant, lay the answer
to a momentous question of a periled generation of humans. This is the magic of renewable
sources of energy.
Originally grown in Central America, the Jatropha plant is believed to have reached
foreign shores across the world courtesy Portuguese explorers. Its potential to meet fuel
needs, especially in developing countries is very high. It is advantages are many. The very
nature of the plant is such, that it can be produced on infertile land, as a result of which,
fertile land as an important and limited resource needn’t be compromised on. While other
bio-diesel alternatives like palm oil, corn and sugarcane require productive land, additional
irrigational facilities and expensive fertilizers, thus impinging on fertile agricultural
land, jatropha can grow on waste land. It can survive on minimum irrigation while
nutrient-rich seed cakes, left after the seeds are crushed, serve as a fertilizer. It can even
grow alongside food crops without hampering their growth; in fact it can serve as a
repellant to keep the animals away due to its smell.
A country’s foremost worry is its food security, especially with regard to the third world.
Since this plant does not encroach on agricultural land, food crops do not suffer indicating
a better utilization of land resource. Environmentalists hail this new discovery since the
plant prevents soil erosion and does not even demand felling of forestlands, at the same
time provides an effective solution to fuel crisis hovering over our heads.
Underemployment and poverty, the two major problems faced by developing nations find
an answer in the seeds of the jatropha plant. Like tea, jatropha too is labour intensive. Its
production, distribution and various other stages of cultivation, require the setting up of
estates, at least if it is to be made commercially viable. If a bottom-up effort is worked at, it
can tackle the problem of poverty by making it an agricultural practice by the farmers. In
Mali, Africa, one of the poorest nations on earth, a number of small-scale projects aimed at
solving local problems — the lack of electricity and rural poverty — are blossoming across
the country through use of the existing supply of jatropha to fuel specially modified
generators in villages far off the electrical grid. Thus, this tiny seed can empower a tiny

Page 6 of 13
village in some remote part of India to produce their own electricity or even run their
tractors. The blessed plant can even be grown in the harsh terrain of Rajasthan.
With a little clairvoyance, we all can predict that in the near future, ‘fuel’ will be the
buzzword. With a limited supply of fossil fuel, it is essential that nations are ‘independent’
in their energy production. In the long run, by producing large yields of jatropha, countries
could cut down on their fuel imports, and maybe gradually start exporting bio-fuel.
Most experiments with the use and growth of this plant have proven to be successful. A
company based in Singapore has announced plans to plant two million hectares, about 4.9
million acres of jatropha in the Philippines. In September this year, a vehicle fuelled with
oil from the jatropha plant traveled from Atambua in West Timor to the Indonesian
capital, Jakarta, a 3200 km trip. Jakarta plans to make at least five million hectares (12
million acres) of former forestland available for palm oil, jatropha, sugarcane and cassava
plantations in a bid to create jobs for up to three million people. The government hopes
that biofuels will look after almost 10 per cent of Indonesia’s transport and electricity fuel
needs by 2010.
However, it seems that the jatropha carcus has no takers in India. The big shot
corporations display a lack of foresightedness by ignoring the demands and need for
effective investment in renewable and environment friendly sources of energy like the
jetropha. It would not be incorrect to say that most, hold huge stakes, rather have their
hands dipped in ‘oil’ at the moment.
Even if jatropha proves a success in Mali, it is still not without risks. If farmers decide that
the cultivation of these plants is more rewarding and viable than food crops, it
could have an adverse impact on the country’s food production. In light of such
undesirable effects of biofuel, the UN report states that, “the benefits to farmers are not
assured, and may come with increased costs.”
One thing is for sure, in a world where the control over limited energy source might be the
raison d’être for the third world war, the jetropha seed, could well be hailed as a messiah
of peace.
Natasha Puri
KEY STRATEGIES to SUCCESSFUL JATROPHA INVESTMENTS
As Jatropha and other non-food oil crops are poised on the cusp of
commercialization, Jatropha investors have stepped up their efforts
to develop a viable source of Biodiesel, and some are already well on
the road to success. However, with so many new projects coming up,
and a lack of understanding of the Jatropha Curcas Plant and reliable
information; lack of QPM inputs; lack of Best Agricultural Practices
and expertise & poor management techniques ; many projects are
only achieving mediocre results. Therefore, while Jatropha holds a
great deal of potential as a biodiesel feedstock, it is also important to

Page 7 of 13
acknowledge many hurdles must be overcome before the crop can
become economically viable in most parts of the world. The key
strategies planning, methods and technologies are very essential for
Successful Implementation & execution of a large scale Jatropha
Project with Maximum ROI through Improved Agronomy

After having specialized in the field of creation of Failsafe Fuel Farm

with experiences and expertise CJP has drawn a set of Key Strategies
to Successful Jatropha/other crops Investments

Jatropha and other nonfood oil crops projects with Integration

above Key-Strategies you need an authoritative agency able to
provide knowledge, expertise and technology for the predicted
Sustainability while maximizing Project ROI through Improved
Agronomy. And CJP is competent enough to be become your
knowledge & Technology provider

To engineer and execute Jatropha energy farm from ground zero to

harvesting stage we have developed a set of enhanced services with
access to our own supply chain intellectual property rights (IPR) and
exclusive expertise with technological background and experiences
in the field for creation Failsafe Energy Farms to implement project
through our level of competence and technology. Our scope of the
Project task may cover a variety of activities viz: Setting up of
Plantations from Ground Zero to Harvesting Stage just to ensure
"FAILSAFE FUEL FARM"

Couple Crop Doubles Oil Yield

Jatropha and other nonfood feedstocks have shown the potential as a
2nd gen new biodiesel crops, big investments of billions of dollars is
being made. In order to ensure more return on investment we have
been finding more solid secure and sustainable ways. CJP’s New
Couple Oil Crop Cultivation Technology (COC) is poised to feed the
biodiesel industries in a very solid and sustainable manner. The COC
Technology may provide highest oil yield of >1350 gallon per ha…

» Read More
Biodiesel Business Academy©

Page 8 of 13
 CJP has the privilege to provide most
authoritative Knowledge platform known for Development of
Sustainable Non-Food Jatropha Oil Crop Projects, Programmes and
Priorities to Feed Biodiesel Industry Worldwide and has established
the Biodiesel Business Academy© (BBA) to provide quality, impartial,
informative and enjoyable advanced level training with enhanced
technology in the field of Biodiesel production. The BBA delivers
Training to international and national participants/professionals of
green energy industry to increase and distribute knowledge and
skills. Whether you are new to the industry, have recently changed
jobs or simply wish to refresh your knowledge, our training should
become a key part of your personal or company professional
development programme …
JP has developed Jatropha Agricultural Training package to deliver
Competencies through Qualified trainers with a practical 'hands on'
approach and has created successful training division which deliver
Training to international and national participants by integrating
technical and managerial issues. CJP is very proud to announce that
2nd Global Jatropha Hi-Tech Agricultural Training Programme (JWTP)
in India at Jaipur, Rajasthan from July-14-18, 2008 was a grand
success. The word “Excellent”, which was used by many trainees to
describe their experiences, sums up the JatrophaWorld Training
Jaipur, 2008 experience.

The JatrophaWorld Training, Jaipur, 2008 once again broke records

when we welcomed over 63 participants from 31 countries, which
was more than the double we got for fist. JatrophaWorld Training,
Jaipur, 2007 lived up to its name for being the single premier
international training of the global Jatropha fraternity. Participants
were benefited from in-depth education of Jatropha with practical
JatrophaWorld Training, Jaipur, 2008 was also UNIQUE in its trainees
profile as well. This was the first dedicated Jatropha event that
welcomed such a large concentration of multistakeholders from,
Belize, Burundi, Cambodia , Canada, china , Colombia, , France ,
Germany, Ghana, Haiti, Hong Kong, India, Iran, Ireland, Italy,

Page 9 of 13
Malaysia, Mexico,. New Zealand, Nigeria, Singapore, Slovenia,
Senegal, South Africa, Spain, Sri lanka, Tunisia, Turkey, UK, USA,
Vietnam and Zambia. Our June'2007 training Programme has been a
grand success attended by participants from 18 countries Viz: USA,
UK, SPAIN, AUSTRALIA, COSTA RICA, NIGERIA, MALAYSIA,
INDONESIA, SIGAPORE, BANGLADESH, SRILANKA, LAO PDR,
PORTUGAL, INDIA, Ethiopia, HUNDRAS, THAILAND KENYA etc.

Secure your registration for 5day Global Jatropha Hi-tech Agricultural

Training Programme 2010(JWTP10) September 20 - 24,2010 today as
seats are limited. For complete details and registration, kindly visit
GLOBAL TRAINING PAGE or mail to Director(Training
Division):jatrophatraining@gmail.com

We also provide distance learning course, In House training and

customized specific training as per your requirement …

» Read More
Full Range of Biodiesel Business Consulting Solutions

CJP’s Professional Biodiesel Business Plan Servicess

A feasibility study and a business

plan are essential steps in financing and developing a successful
biodiesel business. CJP can help clients identify the needs,
opportunities and solutions of their local, regional and national
markets. By identifying these needs and providing management
direction, CJP can help clients obtain financing in order to develop
and manage an effective and successful biodiesel facility. The most
critical component of any business plan is the pro forma, an educated
view or projection of what the performance of a company is capable
of, given a specific set of assumptions and conditions. CJP has been
involved in identifying these needs for specific projects for a number
of years and can help develop a realistic and obtainable. Performing
the right kind of analysis, using up-to-date information, and using the
most complete detailed evaluation will save time and money for your
project. CJP provides all aspects of feasibility analysis and business
development including assessments of the following: crop production,

Page 10 of 13
crushing, coproduct markets, feedstock acquisition and contracting,
technology analysis, risk analysis specific to biodiesel technology,
feedstock, markets, and general project risks, market and financial
analysis. CJP can offer the type of consulting that only numerous
years of leadership in the small to mid-size biodiesel market can
provide at an affordable price…..
Read more and important

This "Jatropha, nonfood biodiesel” is going to happen. We know there

are a lot of farmers, entrepreneurs, and investors reading this who
can cash in on this biodiesel craze. They are already doing it big time
in Europe so it's just a matter of time before it happen worldwide
using Jatropha and other nonfood oils to make biodiesel. This
industry is going to grow very quickly - start planting Jatropha TODAY
and then start making biodiesel to produce/generate your own
fuel/electricity/power.

With above steps —government support, scientific research, new

funding, and effective project management—we can make significant
progress in the near term to address the climate challenge and fossil
fuel crisis through growing green energy from non-food sources.

After having gone through the site you shall be able to know the basic
Requirements for an effective energy plantation project. Any failure
to meet out above, may lead to a disaster Yes, there is one more
reason why there may be a disaster in the waiting. Now that you own
the asset, you don't know what to do with it because you did not have
a plan about the asset...a perfect business plan is absolute

The Whole World Biodiesel Industry is becoming Jatropha; non-food

oil -centric and not just the developing countries want to grow
Jatropha and nonfood biodiesel crops with CJP’s integration;
American companies want to do business with non-food oil Jatropha
and others and with CJP’s association, EU companies want to do the
same

Because

CJP is the global authority to Provide Complete Knowledge of the JCL

System: Planting - the Science and TechnologyCJP is the only
worldwide authoritative Agency to Provide Jatropha State – Of –Art
TechnologyCJP is the one & only authentic Source of Quality Inputs
i.e. planting stock, QPM Nursery and HYV germination seedsCJP is the
internationally recognized professional Jatropha and other biodiesel

Page 11 of 13
plantation Advisor to provide long-term advisory services on
development strategy and project implementation.

What need to do to venture into the biggest business opportunity of

21st century...? Just need a proactive approach.

What one needs to do is to create setting up a successful biodiesel

Plantation...?... Just CJP’s integration

CJP is getting globally integrated in a very different way with all

stakeholders. CJP's global integration is through IPR Knowledge,
Strategic Plan to apply our tested and proven Technology and applied
Methodology and approach to achieve the aimed objectives i.e.
development of FAILSAFE JATROPHA FUEL BUSINESS

We will ensure that our operations are consistent with our values
EntrepreneurialInnovativeEffectiveResponsiveResponsibleSustainable
We place integrity, trust and respect at the core of all we do.

ENERGY
India's Big Plans for Biodiesel
Researchers are developing new methods for cultivating a plant called
jatropha.
• WEDNESDAY, DECEMBER 27, 2006
• BY MICHAEL FITZGERALD

E-mail Audio » Print

Biodiesel could be an important renewable substitute for fossil fuels. And, in

certain parts of the world, governments and some corporations consider the
jatropha plant, common in hot climates, one of the most promising sources
of biodiesel. The plant can grow in wastelands, and it yields more than four
times as much fuel per hectare as soybean, and more than ten times that of
corn. But the commercial-scale cultivation of jatropha, which has not
previously been grown as a crop, raises several significant challenges.
This year, the Energy and Resources Institute (TERI), an Indian research
group, launched a 10-year, $9.4 million project to research issues involved
in taking jatropha from seed to filling station. One challenge is growing the
plant in poor soil.
The first crops of jatropha, planted in what was wasteland, have now
flowered, says Alok Adholeya, director of TERI's Biotechnology and

Page 12 of 13
Management of Bioresources division. "It proves that we can do this," he
says. He and other researchers at TERI spent five years testing different
mycorrhiza microorganisms, symbiotic fungi that improve the ability of
many plants to grow in poor soil. Adholeya's team found that the most
effective was a fungus in the glomus species (he is not currently disclosing
the exact fungus), which improves jatropha yields by 15 percent.
The TERI project is working in rural Andra Pradesh, a state in
southeast India, collaborating with local financial institutions to develop
loan guarantees to fund seed purchases; it's also collaborating with
insurers to back the farmers against potential losses. In addition, it had to
educate the farmers on how to cultivate the plant.
So far, the project has signed up 5,000 farmers representing 1,000 hectares
of land. The goal is to have 8,000 hectares under cultivation by March 2008,
and Adholeya says that the success of the first crops has drawn interest
from many more farmers. By the end of 2008, TERI plans to have a
production facility producing biodiesel from jatropha. Eventually, it aims to
produce 90 million liters of biodiesel annually.

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