A context strategic analysis: Of fossil fuel substitution by biofuel

Rami Ali

Student thesis: Master thesis


This thesis investigates the Danish biofuel industry in 2009-2010. Danish energy policy formulated in 2008, calls for improvements to the energy sector and a greater focus on sustainability. The most ambitious goal stated was the desire to make Denmark completely independent from fossil fuels in a realistic long-term perspective. One of the hardest sectors to convert to sustainable energy is the transport sector. This is because fuel energy used to run vehicles must be portable, able to be stored, and have a high power to volume/weight ratio. What more is that this sector dominates one third of Denmark’s gross energy consumption and, 95% of its consumed energy is non-sustainable fossil fuels. The thesis evaluates bioethanol’s candidacy as a possible sustainable solution for fossil fuel substitution. It does so by first stating what the circumstances are, that are calling for such a change in energy policy. This is done in part I and Part II. Otherwise, most of part I acts as an introduction to the topic and illustrates the thesis’s framework. Thereafter in part II, detailed descriptions of what biofuels are, what process they are made by and how the industry looks today is presented. To complete the industry description there is a brief look at the legal framework the industry is to operate by. In part III a theoretical framework in an empirical context is formulated. This will predominantly look at strategic considerations and scenario planning. Secondarily it looks at governance from a managerial perspective Part IV is where the strategic analysis comes to fruition and a strategy is formulated. The strategy is formulated based on the industry description in part II and the strategic analysis in part III. Finally, the concluding thoughts on the thesis are presented.

EducationsMSc in Strategy, Organization and Leadership, (Graduate Programme) Final Thesis
Publication date2010
Number of pages91