Harley Davidson Case Study Solution

1015 Words3 Pages
bulb-icon

Recommended: Harley davidson strategy for the future

Introduction A recent external and internal environment change has given Harley-Davidson both threaten and opportunities. The thorniest problem Harley-Davidson face is shrinking a market, caused by the reduction of profitable customer, slow development of the potential customer as well as the intense competition of the heavyweight motorcycle market. However, the increasing demand of emerging countries has offered Harley-Davidson the opportunity. Factors such as retaining the existing profitable customer and developing the potential market will be received emphasis in future strategic decision. However, corporate strategy of profitable market and potential market vary widely because of different demography, consumer behaviour and the regional difference. With the relatively small scale company in the motorcycle industry, customer segmentation and product development will be a significant point. The purpose of the case analysis was to discuss the causes of a shrinking market as well as provide a solution. The definition of the problem The major problems which Harley-Davidson needs to address is the shrinking market. Market growth will be stagnant or decline if Harley- Davidson does not resolve the problems. The reasons …show more content…

The younger generation is predicted to be a primary profitable customer in the future decade, who prefers the lightweight motorcycle with small size, fast speed and innovative design. Unfortunately, the skill and technology of the lightweight motorcycle possessed by Harley-Davidson have lagged behind the competitor. Apart from that, the shortage of the economic scale will be an obstacle, when Harley-Davidson competes with Japan 's companies that promote the lightweight motorcycle with lower price. Moreover, the brand image- American lifestyle- is not accepted by the younger group and emerging market. (Harley-Davidson, Inc., May 2012,

Show More
Related

  • Cultural Differences Between Harley Davidson And Milwaukee, Wisconsin

    2009 Words  | 5 Pages

    When one thinks of classic Americana, they reminisce about the 1970s and 1980s and the notion of the nostalgic past in terms of what is the classic American image. It was a time of economic prowess where the blue collar factory worker would work 9 to 5 and then go to the local bar with his coworkers. However, times have since changed. The industrial plants that once dominated the Great Lakes economic region has become a shell of its past to the point where it is now none as the Rust Belt as industry left and white collar jobs became the norm. Since this degradation has settled into this once industrial cities, many cities and companies have sought to rebrand themselves in order to build from their reputations in the past to appeal to the nostalgia felt today. One such case where these is a correlation between a company and city are that of Harley Davidson, founded 1904, and Milwaukee, Wisconsin. Both have sought to rebrand themselves to the public and consumer, with Milwaukee seeking to transformation its image into that of a young and vibrant and city while Harley targets a new clientele. It is this shift to Harley’s "cult branding" to attract new clients that parallels Milwaukee's attempts to integrate itself to a service sector economy based on touristic leisure and the consumption of

    Read More

  • Insurance in the US Industry Market Research

    1102 Words  | 3 Pages

    Allstate insurance is the second largest property and casualty insurance company by premiums in the United States. Allstate insurance handles about 12% of the U.S home and auto insurance market. (Allstate, 2014). Many of Allstate’s customers fall under what one could refer to as a traditional selection of insurance for automobiles. Recently, Allstate has noticed a major shortcoming in lifestyle insurance, which includes coverage for motorcycles, boats, and other recreational vehicles, in comparison to its competitors. The motorcycle insurance sector is a 10.4 billion dollar industry and growing (PRWEB, 2012). The U.S. Department of Transportation website reports some astounding figures, including that 5,370,035 motorcycles were registered three years before the article, 7,138,476 motorcycles registered at the time of the article, and grew to 9,477,243 registered motorcycles at the end of 2012 (NHTSA, 2013). It is obvious as to why Allstate would identify motorcycle insurance as a worthy lifestyle product to devote marketing research dollars into in order to develop new strategies for cornering a share of the market.

    Read More

  • The power of Film in Modern American Culture

    1067 Words  | 3 Pages

    ...es how powerful of a symbol it has become. You wouldn’t consider the fact that someone drives a Honda Accord a defining characteristic of his or her identity but somehow that changes when it becomes a Harley Davidson Heritage Softtail. "Four wheels move the body two wheels move the sole" (Harley Davidson Ad/ 1992). It becomes clear that the motorcycle is much more than a vehicle; it is a manifestation of American values. When you break it down nothing seems more American that freedom, and brotherhood. Film has fully capitalized on these characteristics helping make the motorcycle a powerful image that has had a defining impact on American culture.

    Read More

  • Specialized Bicycle Components Inc.

    1279 Words  | 3 Pages

    This case study is about “Specialized Bicycle Components Inc.” known as Ride the Red “S”. Specialized was founded in 1974 by Mike Sinyard. According to Chris Murphy, director of marketing for Red “S”, specialized is for serious riders. He says, “The customer is buying the ride from us, not just the bike.” The company began to produce its own bike parts by 1976, and introduced the first major production mountain bike in the world in 1980. Specialized now has an extensive global distribution network of 5000 retailers in 35 countries in Asia, North America, South America, and Australia. They maintained a reputation as the technological leader in the bike and bike accessories. The formal mission is still the same since they established the company “To give everyone the best ride of their life.”

    Read More

  • Harley Davidson Case Study

    1355 Words  | 3 Pages

    "Harley-Davidson: At Last" as presented in Hartley's Marketing Mistakes and Successes presents the circumstances around HD's near collapse and since rinse to near mythic success. This case is a great example of marketing myopia; HD saw them-selves as ‘full-size motorcycles' manufactures, not in the transportation, or even the entertainment industry. They believed no one bought motorcycles for transportation, but rather for leisure time use.

    Read More

  • Harley Davidson Market Analysis

    1808 Words  | 4 Pages

    During the 1970's, HD was facing a decline in market share due to increased competition with Japanese companies. By phasing out weak models, becoming more selective, and limiting sales and promotions, HD was able to carve out a niche in the marketplace which it enjoys today. Now again faced with a period of decline, HD is relying on its newly adopted marketing objectives. First, HD needs to expand its potential customer base to include enthusiasts and non-enthusiasts young males, and females into buying HD motorcycles over any other competitor. This thought is accomplished through the introduction of the VRSC’S, and the lower and narrow Sportsters, Dyna’s, Softail’s and positioning them in the market to a younger demographic. Secondly, HD needs to position the VRSC’S, Sporster, Dyna and Softail to also appeal to first time buyers of motorcycles. HD's strong brand identity can help pull in new clients.

    Read More

  • The Alliance Between Honda And Rover

    2434 Words  | 5 Pages

    Honda, like other automotive companies, also came to the conclusion of firming a joint venture. At the moment, Honda was already famous for motorcycles in UK, but it was less well known in terms of the automobiles. While Honda’s cars enjoyed reputation for good quality and durability, the import restrictions limited its success it the European market. However, the European market was essential for the company’s global expansion. With the joint venture, Honda could avoid the restrictions on the import quota by assembling cars locally, because these cars would be considered locally produced. Moreover, a local partner could assumedly offer a better insight of the market.

    Read More

  • Tesla Motors Marketing Challenges

    715 Words  | 2 Pages

    Having both marketing strategies and both products analyzed and the history of the important marketing decisions made and techniques used by the company written down, it will be interesting to perform a critical analysis of how the market and business realities made an impact on the marketing of Tesla Motors, why it happened and what was the effect. The presence of the CEO and the impact he makes on the public and investor confidence will also be critically reviewed. Based on the results, a list of recommendations will be composed for both representatives and marketing specialists who work in the same or similar

    Read More

  • Harley Davidson Case Analysis

    1730 Words  | 4 Pages

    The motorcycle industry offers products which can be viewed as luxuries or wants as opposed to necessities. When concerning Harley-Davidson, most motorcycle owners have purchased their bikes as a second vehicle, using them more during weekends and off-time instead of during the work week. This implies that the motorcycles serve for recreational purposes and thus are an item which can be expendable at times. This has hurt the industry recently with the slight recession the United States economy is facing. Another interesting thing to note about the motorcycle industry is the different appeal bikes carry in different global regions. In the United States for instance, Harley-Davidson has had much success because of the market trends and tastes people enjoy. Harley-Davidson has benefited from a U.S. market which enjoys casual and recreational riding. This isn’t necessarily the case overseas, as in Europe the trendy pick is a sleeker street bike, with a focus on speed and handling as opposed to power and comfort.

    Read More

  • Piaggio-Vespa Case Analysis

    961 Words  | 2 Pages

    Italian manufacturer Piaggio ranks as one of the world’s top four players in its core business. It has consolidated leadership in the European 2-wheeler market. Piaggio should not miscalculate its competitors. Competition in the industry is very powerful, not only nationally but internationally as well. This is due to two well-established companies in this sector which are the Japanese Yamaha and Honda. Yamaha and Honda strengths are their long-run experience in the sector and the high quality image of products. Due to participations to the motorcycle championships, these two companies constantly receive positive feedbacks to their efforts in researching for first class products. In the future, other kinds of competitors are expected to arise: Chinese companies whose ability to imitate and create similar products at highly competitive prices is getting more and more dangerous (Piaggio, 2008)

    Read More

  • The Business Model Canvas: A Feasibility Study

    1053 Words  | 3 Pages

    A business is feasible when it is able to generate profits, standstill despite of risks and achieve the founders’ goals (Hofstrand, 2009). In order to meet all of these achievements, the researcher need to investigate investment, technical market and commercial feasibility (How to conduct a feasibility study, 2015). In terms of Business model Canvas, the ‘customer segments’ component presents the market feasibility. Dell has targeted four main segments which allow the company to design, produce, promote and deliver different products with different features. In comparisons, the ‘value propositions’ contribute to the technical feasibility when the product is formed and advertised, ready to deliver. Dell has used different strategies to maintain and developed the brand including remain the same brand name for different products. This strategy is promised to stimulate customers’ awareness of the company, thus, attract numerous number of clients and increase annual profits. Finally, ‘channels’ characteristic focuses on accessing technical feasibility. Dell disposes different channels in order to reduce the transportation and warehouse costs as well as guarantee customers with aggressive on-time delivery. Consequently, as the cost has been lowered and the reputation has been improved, Dell is expected to maximize their revenues

    Read More

  • Harley-Davidson Circle Organization

    1315 Words  | 3 Pages

    James, W. B., & Graham, B. (2004). Strategic change in the face of success? Harley-Davidson, Inc. Strategic Change, 13(4), 205.

    Read More

  • Honda Case Study

    1283 Words  | 3 Pages

    Honda has established a program for its suppliers to strive for improvements in order to meet Honda’s requirements. The goals of the BP program are to improve the relationship between Honda and their suppliers, reduce manufacturing costs, and eliminate product defects. They accomplish these goals by focusing on 5 key areas: Best Position, Best Productivity, Best Product, Best Price, and Best Partners (Bounds and Arnold).

    Read More

  • Market Segmentation, Positioning and targeting for BMW

    1338 Words  | 3 Pages

    Market Segmentation, Positioning and targeting for BMW 1.1 Introduction This report aims to examine the market segmentation, positioning and targeting of BMW (automobile company). BMW will be examined giving information about the company and where it is now and any recommendations that we feel are appropriate. 1.2 BMW Company Profile BMW was formed in 1917, from the merger of two small aero engine makers. Their famous blue and white symbol stems from the colours of the Bavarian Luftwaffe and is said to resemble the view of the one of their plane through a propeller. BMW is renowned for its sporty, sophisticated & luxury image which has been built up since the 1970's with many motor sport victories ranging from Touring Car to Formula 1.

    Read More

  • Harley Davidson Analysis

    1339 Words  | 3 Pages

    Harley-Davidson institutes a pull strategy in the promotion of the FXDS-CONV Dyna Convertible. Due to the limited number of dealerships (for example, there are only five in Nashville and the surrounding communities) customers must actively seek out a location to purchase this bike. Also, because so many customers decide to customize their Dyna Convertibles, they must place a special order with the dealer, who in turn must contact intermediaries along the distribution channel in order to satisfy the customer. Further, the fact that demand for Harley motorcycles far exceeds the supply indicates that a pull strategy is in place.

    Read More

More about Harley Davidson Case Study Solution

Open Document