Harley-Davidson Case Essay

Decent Essays
Harley-Davidson Mini Case
Question 1 The international business environment that Harley-Davidson faces includes several challenges and obstacles. These challenges include trying to increase sales in nations that already offer well-known brands of motorcycles at cheaper costs. Besides having to compete with local brands, in places such as Europe each specific country may have different preferences on styling, size, and the type of performance. Other obstacles include high tariffs in some emerging markets, potential for piracy and counterfeiting of designs, environmental and regulatory sanctions due to high greenhouse gas emissions, and the need lower carbon footprint standards. Should Harley attempt to increase its international
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With respect to Europe Harley could expand the presence of its HOG club as well as begin to offer lines of motorcycles geared toward European tastes that are lighter weight, smaller, and faster. They have already shown signs of doing this with the purchase MV Augusta Group in 2008. For the nation of Japan Harley can expand its local distribution network and subsidiary. An introduction of the HOG club there may also boost interest in the brand. The company can also focus on cutting production costs and offering their motorcycles at lower prices to compete with the local Japanese brands that are considerably cheaper. It would also be wise for Harley to maintain its path of lowering its greenhouse gas emissions and carbon footprint to appease the Japanese government and to appeal to the Japanese public.
Question 4 Harley can compete against firms such as Lifan and Zongshen in a few ways. In one regard Harley can stick to its core business of heavyweight bikes and attempt to rely on its brand name and history to attract customers. These bikes would be more expensive and Harley probably would not make large gains within these markets. Simultaneously Harley could also attempt to open local assembly plants, distribution networks, and subsidiaries to utilize the same low-cost labor as their emerging competitors. As they did in Europe, Harley could also purchase one of these competitors to adhere to the tastes of the local market. Harley should look
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