Study on Entry Strategies of Coal-fired Power Plants in Regional Market (ID: 6-044)

摘要

In view of the characteristic that electric power market is regional, the strategy about how the coal-fired power plant enters regional market is analyzed. The entry strategy is researched mainly on two aspects: positioning strategy and pricing strategy. On the premise of meeting the basic positioning principle of coal-fired power plant, the condition of only two enterprises is studied. In order to succeed in the most competitive generation side market, generation enterprises have to select reasonable entry strategies (proper power plant positioning strategies and reasonable pricing strategies). Consequently, it is necessary for them to think over the influence of competitors' Strategies (or potential competitors') on their decisions. Introducing Hotelling model into regional market and complementing it with the idea of game theory, the regional electric power market is figuratively described as a [0,1] or [— 0.5,0.5] market, based on the peculiarityof electric power product and the regional nature of power market. A detailed and dynamic analysis on optimal entry strategies in all kinds of circumstances for the two coal-fired power plants is made by means of mathematic models.