Commercializing microgrid technology: the case of Loccioni Group

Abstract: Achieving commercialization targets and required market shares for sophisticated and new energy solutions is a challenge that requires different strategies and a good understanding of the market requirements. Research recognizes that commercialization of innovative solutions is a complex phenomenon and extremely crucial for its success. However, very few studies tried to understand what opportunities could be tapped from the current barriers through commercializing innovations. This study investigates what barriers micro grid solutions face during its commercialization process and its related equipment in both Italy and Germany. This research uses both qualitative and quantitative data to understand the barriers and opportunities phenomena faced by microgrid solutions. The qualitative data had been collected through ten interviews with key-actors in the company where the case study took place. In order to analyze and make conclusions from these interviews, a theoretical framework has been built up with theories, articles and papers regarding subjects such as innovation management, commercialization of innovations, management practices within business to business (B2B) context, industrial management and marketing, technical-systems analyses and value innovation. The empirical findings were processed and studied considering four main aspects which are technological, financial as well as regulations and policies. Results suggest that many of the key-actors consider the lack of financial incentives as a barrier regarding a faster micro grid or any of its individual components’ development in either Italy or Germany. The short comings or lack of incentives are often consequences of the absence of political regulations that favor smart investments in the electricity grid. However, this won’t stop industries from adapting such solutions in the short term because of the increased awareness of energy savings as well as its affordability after being better established. Results suggest as well that the main solution to overcoming commercialization problems could be tapped through detailed market research analyses, proper strategy implementation, a focused organization structure and a dedicated project team as well as smart financing mechanisms to give an added value and discrepancy from the many competitors in the marketplace. In addition, continue on developing new solutions that will always give the competitive advantage and raise the technical barriers among the other players in the market.