Internal Analysis

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, Inc. since its inception has specialized in selling dream motorcycles that are of high quality and distinctive in styles. The company in the past have seen turbulent business environment to the extent of leveraged buyout, infiltration of foreign made bikes as well as government regulations. Yet despite these factors, Harley-Davidson continues to reap profits, yield high growth of approximately 15% a year and retain its customer base (Official Website 2004). This position in the market is however limited to the US whereas in other countries of the world Harley-Davidson products remain luxury item requiring emotional attachment with American iconism.

Harley Davidson been in business for over a hundred years. The company operates in several related markets. They sell motorcycles, motorcycle parts and operate a financial component. Additionally the company operates in Europe, North Africa, the Middle East and Asia. All Harley-Davidson business segments operate internationally.

By 1907 they had manufactured up to 100 motorcycles, and their backyard garage had doubled in size because production was growing. These are some strengths that Harley-Davidson experience as a growing company.

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 treats the dealers not only as partners, but also as customers. Harley has developed a very effective marketing strategy, but it is the responsibility of manufacturing to produce high quality and reliable motorcycles.

The Harley motorcycle had a unique look and the sound of the engine too was different attracting the customers especially the older males.

Celebrating their 100th anniversary next year, Harley-Davidson is a true American success story. From their modest beginnings in Milwaukee, Wisconsin to one of the most recognized company names worldwide, they have been passionate about motorcycles. Harley offers an experience like none other with the one of a kind look, feel, and sound only available on a Harley. Besides their main business of building and selling motorcycles, they have began to offer financing and insurance through Harley-Davidson Financial Services, and they also offer a full line of accessories and apparel to make the Harley experience complete.

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.

Harley-Davidson has managed to dominate the U.S. market by investing in research and development, experimenting with its designs and

The website of Harley Davidson gave us a new concept of Motorcycles! The extension of this website is exceptional. The virtual Customer Service in this website is notorious and extremely helpful. From other motorcycles websites this is one of the most professionals ones where the customer can get a flavor of the company from products up to their businesses profits and others...Harley Davidson publishes material related to all aspects of their motorcycles and provides to their own and the general public good information, expanding their products and other services with local information for countries around the world. Their information and technology, including digital libraries, metadata, authorization and

The success of Harley Davidson (HD) is due to the American motorcycle icon’s effective Strategic Management. HD’s vision, mission, goals and objectives strive to exceed the requirements of its main stakeholders. Although these needs are not always met, the company has unique relationships with is stakeholders. The company stays on course with its strategic plan, despite the economy and the decline of American manufacturing and what might be considered its dwindling U.S. consumer base.

Motorcycles are one of the most affordable forms of transportation and one of the most common types of motor vehicle. There are approximately 200 million motorcycles (including mopeds and motor scooters) in use worldwide, compared with 590 million cars. Most motorcycles are concentrated in the United States and Japan. The

Milwaukee is where it all started for Harley Davidson. In 1903, William Harley Walter and Arthur Davidson created the first of millions Harley Davidson. It was one of the two major motorcycles that were able to survive the great depression. Since 1977, the only motorcycles sold to the public under the Harley-Davidson brand have been heavyweight motorcycles, with engine displacements greater than 700 cc, designed for cruising on highways. It is one of the most well known brands in the world of motorcycles and otherwise as well. Harley-Davidson maintains an enormous brand community, which keeps active through clubs, events, and a museum. The worth of Harley Davidson brand and its logo was somewhere around $40 million which was 0.8% of the

| * Outstanding core competencies in design and racing * Engagement of Yamaha’s employee’s toward the satisfaction of the end consumer