Harley Davidson Strategic Analysis Essay

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

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,

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.

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

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

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.

The latest financial reports found in the Appendix section confirm Harley-Davidson’s successful strategies. Year 2001 sales at $3,363.4 (mil), a growth of 15.7% from previous period. Year 2001 net income at $437.7 (mil), a growth of 25.9%. Harley-Davidson has successfully captured 60% of the motorcycle market.

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.

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

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?

Regardless of their emergence in the market in the year, in 1903, Harley-Davidson together with the motorcycle industry did not have an easy start until the end of the Second World War. Many people used motorcycles during the period the war took place. Harley-Davidson was instrumental in supplying around 90,000 motorcycles to the American military during this period. Many veterans opted to buy motorcycles after returning home. This is because they enjoyed riding the motorcycles during the war and desired to continue riding them after the end of the war. This generation was called the "baby boomers" and became the primary target for Harley-Davidson to market their products.

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 was founded in Milwaukie, Wisconsin in 1903, and has been manufacturing motorcycles continuously since conception (Harley Davidson DVD, 2008). The company is now one of the world’s largest motorcycle manufacturers and controls 26% of all motorcycle sales in the USA, and a massive 50% of the heavyweight segment (Armstrong & Kotler, p129). The Harley Davidson name is an incredibly strong brand in the world today. Not many people in western culture could hear the name Harley Davidson and not conjure up thoughts of the powerful, throaty sounding machines carrying their riders across the country. One rider describes the feeling of freedom a Harley Davidson motorcycle inspires as having “the road to yourself” (Harley Davidson

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

Harley-Davidson currently possesses the largest motorcycle market in the world (fundinguniverse.com, 1). This is also due in part to the European market which has the highest demand for the bikes. Internationally, the heavyweight market has grown larger than that in the United States and has had an increasing market share in Asia as well for the past few years. Another opportunity for