Final answer:
Using high-cost solar cells could initially decrease profitability due to higher upfront costs, potentially enhance the company's reputation, but may decrease long-term financial sustainability if the costs do not translate to sufficient benefits.
Step-by-step explanation:
If Pacific Gas and Electric Company decided to use high-cost solar cells that used expensive materials, it is unlikely to increase profitability in the short term due to the increased upfront costs associated with purchasing and installing the more expensive technology. Over time, however, this decision might enhance the company's reputation because investing in high-end solar technology could be seen as a commitment to quality and sustainability. There's a trade-off, though, as such investments could potentially decrease long-term sustainability if the costs outweigh the benefits and put financial strain on the company. Solar energy costs and the necessity of storage solutions, including the cost and maintenance of batteries to overcome intermittency, can further influence the financial outcome of the investment. Moreover, market factors such as the price of solar energy falling dramatically or innovations in other industries (such as new plastics made from oil) could affect the relative cost-effectiveness and market demand for solar installations.