Harley Davidson Strategic Analysis Essay

* Publicize the motorcycle by promoting it in Hollywood films that could portray the cool, fee lifestyle of owning the motorcycle would be which is important to the brand

Harley-Davidson is well known for its unique motorcycles. Its subsidiary, Harley-Davidson Motor Company (HDMC), manufactures five families of motorcycles, namely, Touring, Dyna, Softail, Sportster and V-Rod. These models are distinguished by their frame, engine, suspension, and other characteristics. The company shipped 233,117 motorcycles in the fiscal year ended December 2011, comprising 39.5% Touring motorcycle units, 39.2% Custom motorcycle units, and 21.3% Sportster motorcycle units.

Harley-Davidson is likely the famous motorcycle manufacturer on the planet and is situated in the headquartered in the United States, Milwaukee, Wisconsin. Even hard considers 1903 as its base year, could just as 1901 considered, because that's when Bill Harley completed the foreground of a Harley engine .In 1903, the same Bill Harley and Arthur Davidson uncovered their initially mechanized exertion, calling it the first Harley motorcycle. It was a racing bike, built in a wooden shed that had Harley-Davidson Motor Company scrawled on it. That same year, the brother of Arthur - Walter Davidson - joined the company. In no time, the first Harley-Davidson dealer opens store (1904) and manages to sell three Harley motorcycles. In true American style,

1. What is the nature of the opportunity? Could the Ducati brand be expanded beyond motorcycles? Why or why not?

Historically Harley-Davidson to be a Niche Marketer, which is they had focused in on one particular aspect of the market. Kotler and Keller identified the following characteristics of niche marketing; customers have a distinct set of needs, they are willing to pay more to the firm that best suits their needs, it is not likely to attract competitors, gains economies through specialized products and it has a size, profit and to grow. Almost all of these hold true for the “heavyweight” segment of motor cycles that Harley-Davidson produced.

In Milwaukee, Wisconsin in the 1900s a company called Harley-Davidson Motorcycles started by William S. Harley and the Davidson brothers William, Walter, and Arthur begun to build the bike and its three horsepower engine within the family shed that was only 10X15 foot (Harley-Davidson Motorcycles, 2015). This company not only had themselves in mind but the customers they would have once the bikes were built and on the market. Harley-Davidson is a company that wants to have fairness, financial transparency, and accountability for their shareholders (Harley-Davidson Motorcycles, 2015). This business is growing in that they are making more motorcycles and even more

look at other brands. Rivalry in the industry is high with low-priced competitors such as

Harley Davidson (HD) sales have endured a roller-coaster history of growth and decline since its start in 1903. From extreme growth in its initial years, to declines during WWII, HD made its come back with larger, more powerful bikes and its image of “raw power” and enjoyed a 60% market share. Its popularity soared to iconic level in the 1950’s and became a lifestyle with unique brand loyalty. New, Japanese competitors, in particular Honda moved the market towards a smaller, quieter, less expensive bike; and by 1965, Honda represented half of all bike sales.

Harley-Davidson is a major US maker of motorcycles and the nation 's #1 seller of heavyweight motorcycles. The company offers 35 models of touring and custom Harleys through a worldwide network of more than 1,500 dealers. Harley models

In 1868, a man named Sylvester H. Roper invented the very first motorcycle. He lived in Roxbury, Massachusetts. He came up with the idea of a twin cylinder steam velocipede with a cool-fired broiler between the wheels. When he came up with this idea, people thought that it was craziest idea someone could come up. He went through with it anyways. His invention helped pave the way for motorcycles today. Roper’s inventions came to a screeching halt when he passed away demonstrating one of his many inventions along with many other motorcycle inventors. Harley Davidson came about in 1903. A lot of people were riding motorcycles instead of bicycles in 1902. He helped World War I by seeing increased interests in communications and getting place to place. You rarely saw messengers on horseback anymore at that time. When World War II happened, Harley Davidson’s motorcycles skyrocketed up to 100mph. The only type of motor he still uses is an air-cooled v-twin engine. Over the years his bikes have changed and developed into much bigger and better bikes. He’s one of the many bike builders in the United States. Most people in the United States have Harleys or a different make similar to the Harley. I don’t personally care for Harleys or any other motorcycles besides a sports bike.

Harley-Davidson, Inc. (HD) mission statement: “We fulfill dreams through the experience of motorcycling, by providing to motorcyclists and to the general public an expanding line of motorcycles and branded products and services in selected market segments.” – Harley-Davidson, Inc.

Starting from a company of less than 75 workers and owning less than 20,000 SCU for production, research, quality assurance and conduct warranty work Off The Chain Bikes has doubled the plant capacity and hearing doubling the workforce within two short years. The company is successful by targeting and capturing lucrative market shares by heavily investing in the desired technical specs and design styles of one of the most influential Racing bikes. Our keen ability to thoroughly research market demands, predicting competitive strategies between the four market majority shareholders by reviewing and interpreting the marketing reports and our aggressive design and development plans have significantly increased our market share and increase shareholder value. Our core competencies and strategic goals will be realized by carefully following our established plans and aggressively price our bikes to increase total market share.

4. In terms of challenges facing Harley-Davidson as it enters the 21st Century, explain your evaluation of the Company’s strategy as described in the case?

Although the company has been in business for over a hundred years it has encountered several challenges. One weakness is its image. As described earlier this image is not conducive to one to be associated with the kindler, softer side of humanity. Another threat or weakness is the continued outsourcing of manufacturing of parts and accessories into overseas markets and companies. Although, there is no set percentage

The motorcycle industry offers products which can be viewed as luxuries or wants as opposed to necessities. Harley Davidson owns Buell motorcycle and Harley Davidson financial services. Harley-Davidson now holds 55 percent of the entire U.S. motorcycle market, and an even higher share in the U.S. heavy motorcycle market. This is the result of increasing investment in R&D. Harley Davidson now has over 6,000 employees. Harley-Davidson has benefited from a segment of the U.S. market which enjoys recreational riding. This isn’t