Harley Davidson Executive Summary Essay examples

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Case Analysis of Harley-Davidson, Inc.
Executive Summary Harley-Davidson, Inc. (NYSE:HOG) was founded in 1903. The home base was originally founded in and even today remains in Milwaukee Wisconsin. Harley-Davidson’s popularity grew significantly during World War I, when the U.S. infantry used 20,000 of the company’s motorcycles in its war effort (Taylor, 2010). Best recognized for its manufacturing of heavyweight motorcycles, Harley-Davidson has captured half the U.S. market and a third of the global market (Wikinvest, 2010). Harley-Davidson motorcycles are noted for their classic lines, custom paint jobs, dependability, fine craftsmanship and the Harley-Davidson signature choppy sounding engine. Most importantly, it has been
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192).
Market Analysis
Customer loyalty has carried Harley-Davidson throughout the years. However, several factors, aging customer base, less available recreational funds and an economic down turn have been the contributing factors in Harley-Davidson’s decline, (Fig. 1) (MSN, 2010).

Fig 1. Harley-Davidson Price History (10/1/2005 – 9/29/2010)
Harley-Davidson’s Annual Report (2009) indicates sales from motorcycles and related products on a continuing basis decreased 23.1 percent to $4.29 billion compared to 2008 and income from continuing operations decreased 89.7 percent from the prior year to $70.6 million (Harley-Davidson, 2010a). These losses can be attributed to HDFS and the impact of restructuring (Harley-Davidson, 2010a). However, by eliminating excess capacity, reducing administrative costs and non-core business operations, Harley-Davidson believes these steps of restructuring will reflect between $240 million and $260 million in annual ongoing savings (HD1, 2010). Nonetheless, excusing the decline in numbers, Harley-Davidson’s Annual Report (2009) states, since 1993, the company has paid a dividend every year (Harley-Davidson, 2010a).
Management Team
A long standing business practice at Harley-Davidson is “Excellent Corporate Governance” (Harley-Davidson, 2010b ). Last year (May 2009), Harley-Davidson welcomed its new President and Chief Executive Officer, Keith E. Wandell. Working with Mr. Wandell, is the Board of Directors,

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