Preview

Case 21 Harley Davidson

Good Essays
Open Document
Open Document
2367 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Case 21 Harley Davidson
Case 21 Analysis: Harley-Davidson

By: Joyce Morgan

This case study is about Harley-Davidson, Inc., which is the parent company for the group of companies namely Harley-Davidson Motor Company, Buell Motorcycle Company and Harley-Davidson Financial Services. Harley-Davidson Motor Company, the only major U.S.-based motorcycle manufacturer, produces heavyweight motorcycles and offers a complete line of motorcycle parts, accessories, apparel, and general merchandise. Buell Motorcycle Company produces sport motorcycles and Harley-Davidson Financial Services provides wholesale and retail financing and insurance programs to Harley-Davidson dealers and customers.
Harley Davidson Inc. was founded in 1903 by William S. Harley and Davidson brothers- Walter, William and Arthur and since then the company has produced the most recognized motorcycles in the world and has been named to Fortune 's list of "100 Best Companies to work for" and has also been ranked #3 in automotive quality behind Rolls-Royce and Mercedes Benz by Harris Interactive, a worldwide market research and consulting firm.
Looking into the company 's history, we see that the vibrations and distinctive rumble of a Harley engine were accepted by the market in the early 1900s and continued to appeal to motorcyclists in the early 2000s. Also by relying on exports and sales to police departments and the U.S. military, Harley-Davidson became one of two U.S. motorcycle companies (the other being Indian) to survive the Great Depression however Harley-Davidson 's innovative new models let to the Indian 's demise in 1953 at which time Harley-Davidson would remain the sole U.S. manufacturer of motorcycles until 1998, when the Indian brand was revived.
Harley-Davidson continued to win races throughout the 1960 's, but its reputation began to erode soon after its acquisition by American Machine and Foundry Company (AMF) in 1969 because they became known for leaking engines, unreliable performance, and poor

You May Also Find These Documents Helpful

  • Good Essays

    Harley-Davidson, Inc. (Harley-Davidson) is one of the leading manufacturers of heavyweight motorcycles in the world. Harley-Davidson is the parent company of the group of companies including Harley-Davidson Motor Company (HDMC) and Harley-Davidson Financial Services (HDFS). The company offers more than 30 models of touring and custom Harleys through a worldwide network of more than 1,600…

    • 1002 Words
    • 5 Pages
    Good Essays
  • Good Essays

    Due to the longevity of Harley Davidson’s existence they are faced with numerous challenges. Over the years it have become quite difficult for Harley Davidson to maintain their position of high profitability within the United States. The company that once marketed their motorcycles to higher end leisure riders which included a vast majority of baby boomers are now seeking ways to expand their offerings (Hitt, Ireland & Hoskisson, 2015). Problems continues to…

    • 866 Words
    • 4 Pages
    Good Essays
  • Powerful Essays

    The Harley-Davidson company was created 1903. The company was acquired by AMF Inc, which favored short-term profits instead of investing in research, development and retooling. Harley-Davidson’s focus was on sales, while competitors were continuously improving the quality of their motorcycles (echeat, 2008). This resulted in a downturn of the company with weak profits. Harley-Davidson Inc. acquired the Buell Motorcycle Company…

    • 7537 Words
    • 31 Pages
    Powerful Essays
  • Satisfactory Essays

    Introduction-Where did harley Davidson begin? Harley Davidson is a motorcycle brand started in Milwaukee, Wisconsin in 1903. Only 2 major motorcycle companies survived the great depression harley being one of the 2. In 1901 william S. harley made plans to build a small engine that was supposed to mount easily to a pedal bicycle. William and his childhood friend arthur davidson spent the summer designing a bicycle in a friends machine shop henry melk the shop was located in milwaukee the first bike was finished in 1903. With the help of arthur's brother walter. The bike was unable to go up the local hills in the area without pedal assistance. They called their first bike a learning experience…

    • 218 Words
    • 1 Page
    Satisfactory Essays
  • Powerful Essays

    History of Harley-Davidson:Today it is hard to imagine Harley-Davidson (Harley) as a low-quality motorcycle manufacturer in severe financial trouble. But that's exactly what Harley was in the beginning of the 1980's. Harley motorcycles were of such poor quality that over half of all the cycles produced were effectively inoperable because of missing parts or poor assembly. When Japanese motorcycle manufacturers entered the US market with reliable and well-built bikes, past and potential Harley customers switched over to the foreign brand. The only customers that remained with Harley were its most loyal, technologically savvy ones who were committed to the Harley brand name. As a result, between 1973 and the early 1980's, Harley's market share dropped from over 75% to under 25%. By 1984, sales had dropped to $294 million and profit was merely $2.9 million. The future of Harley was nothing but bleak.…

    • 1748 Words
    • 5 Pages
    Powerful Essays
  • Satisfactory Essays

    Questions on Harley-Davidson

    • 161568 Words
    • 545 Pages

    Historically, how did Harley-Davidson manage to dominate the U.S. market? How did it do so and what were its sources of competitive advantage? And starting in the 197-s Harley Davidson got into trouble, what change? Internally? Externally?…

    • 161568 Words
    • 545 Pages
    Satisfactory Essays
  • Powerful Essays

    Cmi Level 7 Unit 7006

    • 3287 Words
    • 14 Pages

    The history of Harley-Davidson began in 1903, in a 10 ' x 15 ' shed located in the Davidson family 's Milwaukee backyard. The Davidson brothers - William D., Walter, and Arthur – and William S. Harley crafted their first motorcycle using the best tools they had available – mostly their hands and their ingenuity.…

    • 3287 Words
    • 14 Pages
    Powerful Essays
  • Good Essays

    The Harley was first built in 1903 in a Milwaukee backyard shed by William Harley and Andrew Davidson. Unlike a Honda, that came out in 1947 while the Japanese manufacturer struggled with building their company following the Second World War. The Honda is known for its speed while the Harley is known for its particular chopper style motorcycle sound. The Honda has what some people call “crotch rockets.” They…

    • 758 Words
    • 4 Pages
    Good Essays
  • Satisfactory Essays

    Harley-Davidson was founded in 1903. During 1903 to 1981, Harley-Davidson was stepping into maturity. It gained great market share in US. But Honda had replaced Harley as market leader in heavyweight motorcycles in the US, by the end of 1970s.…

    • 322 Words
    • 2 Pages
    Satisfactory Essays
  • Better Essays

    Harley Davidson

    • 2691 Words
    • 11 Pages

    Harley Davidson founded in 1903, but it was not an overnight sensation they got their name marked in the industry until the 1980s where they got an iconic status. They now offered a range of reliable heavy weight motorcycles. The company found it profitable to tap the growing demand for nostalgia influenced styling. Throughout its styling, the company was careful to stick certain basic elements…

    • 2691 Words
    • 11 Pages
    Better Essays
  • Good Essays

    Harley Davidson Case

    • 735 Words
    • 3 Pages

    Trouble came for the company in the 70’s. Externally, in the form of massive foreign competition via the entrance of Japanese motorcycle companies. The completion from these companies began in the 50’s when these companies began to cater to other demographics Harley ignored. These companies made smaller bikes, which appealed to older males and females. These Japanese companies were also skilled at mass producing these bikes and in a more efficient manner. At this point, Harley had lost so much market and eventually was taken over by AMF. Here, Harley suffered internally, because AMF attempted to meet demand by producing more bikes. They failed to change much because the quality of the motorcycles suffered tremendously because of their use of less skilled production line workers.…

    • 735 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    Harley-Davidson is a 105 year old motorcycle manufacturer. William Harley and Arthur Davidson decided to design and build a motorcycle in 1901. By 1903, they had built and sold three motorcycles and in 1907, the Harley-Davidson Motor Company became incorporated. The company was acquired by AMF Inc in 1969, but the main focus was on short-term profits which inevitably sent consumers elsewhere and in 1981, Vaughn Beals lead a leveraged buyout to get Harley-Davidson out from under AMF.…

    • 1842 Words
    • 8 Pages
    Powerful Essays
  • Satisfactory Essays

    Swot of Harley Davidson

    • 356 Words
    • 2 Pages

    Harley Davidson was established by William Harley and Arthur Davidson in 1903 at Milwaukee, USA and the first motorized bicycle was produced. Harley Davidson provides financial services such as wholesale and retail financing and insurance programs. Harley Davidson primarily operates in the US and Europe. Market share in USA is 25% and in Europe 70%. Employs about 9.700…

    • 356 Words
    • 2 Pages
    Satisfactory Essays
  • Better Essays

    Harley Davidson Case Study

    • 1982 Words
    • 8 Pages

    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 DVD, 2008). It is the perceptions and images of the Harley Davidson products and performance that form the underlying strength of the brand (Armstrong & Kotler, 2010, p210).…

    • 1982 Words
    • 8 Pages
    Better Essays
  • Good Essays

    evyuvbe

    • 1118 Words
    • 4 Pages

    In 1901, 20 year-old William S. Harley drew up plans for a small engine with a displacement of 7.07 cubic inches (116 cc) and four-inch (102 mm) flywheels.[9] The engine was designed for use in a regular pedal-bicycle frame. Over the next two years, Harley and his childhood friend Arthur Davidson worked on their motor-bicycleusing the northside Milwaukee machine shop at the home of their friend, Henry Melk. It was finished in 1903 with the help of Arthur's brother, Walter Davidson. Upon testing their power-cycle, Harley and the Davidson brothers found it unable to climb the hills around Milwaukee without pedal assistance. They quickly wrote off their first motor-bicycle as a valuable learning experiment.[10]Work immediately began on a new and improved second-generation machine. This first "real" Harley-Davidson motorcycle had a bigger engine of 24.74 cubic inches (405 cc) with 9.75 inches (25 cm) flywheels weighing 28 lb (13 kg). The machine's advanced loop-frame pattern was similar to the 1903 Milwaukee Merkel motorcycle (designed by Joseph Merkel, later of Flying Merkel fame). The bigger engine and loop-frame design took it out of the motorized bicycle category and marked the path to future motorcycle designs. The boys also received help with their bigger engine from outboard motor pioneer Ole Evinrude, who was then building gas engines of his own design for automotive use on Milwaukee's Lake Street.…

    • 1118 Words
    • 4 Pages
    Good Essays