Harley Case Study

Topics: Harley-Davidson, Customer service, Buell Motorcycle Company Pages: 9 (2574 words) Published: July 19, 2012
Executive Summary

Mission, Quality Mission & Vision Statement:
“We ride with our customers and apply this deep connection in every market we serve to create superior value for all of our stakeholders.” “Customers for life…Harley-Davidson values the deep emotional connection that is created with our customers through our products, services, and experiences. We are fueled by the brand loyalty and trust that our customers place in us to deliver premium quality and the promise of a fulfilling lifetime ownership experience. We exemplify this commitment by embracing a culture of personal responsibility and stewardship for quality in everything we do.” “We fulfill dreams inspired by the many roads of the world by providing remarkable motorcycles and extraordinary customer experiences. We fuel the passion for freedom in our customers to express their own identity.” Strategic Managers:

The board of directors consists of 11 members. Nine are external and two are internal. The two internal members are James L. Ziemer, CEO, and Thomas E. Bergman, CFO. At this time, the board members serve three year staggered terms. Non-employee board member are paid $100,000 of which half is in common stock. The Top management is a highly skill group with includes James C. Ziemer Assessment of External & Internal Factors:

External Environment Assessment for Harley-Davidson Inc. 2008 A. Natural Environment
1. Weather/Natural Disasters- Tsunamis, Flooding, Rain Storms, Climate (Heat/Cold) 2. Global Warming- could cause seasons to change sooner or make them disappear B. Social Environment
1. Economic
a. Individual world economies becoming interconnected and one country can affect man others. b. Recession in the United States and European Union funding issues- consumers may choose not to purchase nice to haves c. Current conditions may make it harder to obtain raw materials and other components from suppliers 2. Technology

a. Use of E-Commerce to entice younger consumers
b. Just-in-time inventory system
c. Advance technology advance to produce more innovative product lines 3. Political/Legal
a. Increased efforts to patent technologies
b. Vigorous global program of trademark registration and enforcement c. Create awareness through licensing brand name on merchandise d. Federal, state and local environmental control requirements related to air, water, and noise (National Highway Traffic Safety Administration (NHTSA) and Environmental Protection Agency (EPA) 4. Sociocultural

a. Developed brand awareness throughout world
b. Product for all demographics
c. New Millennium bikes enticing for more European riders
d. Rider training and Safety Programs
e. Harley Owners Group (HOG) and other motor cycle events
C. Task Environment
1. Continue to expand domestically and globally (O)
2. All demographics love product (O)
3. Rivalry High. Honda, Suzuki, Yamaha, Kawasaki (T)
4. Buyers’ Power Medium. Technology and materials can be sourced worldwide; however, due to economic conditions it may be harder to obtain (T) 5. Power of Other Stakeholders is medium. Quality, safety program, and environmental regulations increasing. (T) 6. Distributors’ Power High. Additional indoor showrooms and independent dealers and distributors (O) 7. Threat of Substitutes Low. No exact alternatives. (O)

8. Entry Barrier is medium. It is difficult for any new additions to the market. (T) Internal Environmental Assessment for Harley-Davidson 2008
Corporate Resources
A. Marketing
* Younger customers and women (S)
* Baby Boomers (W)
* Museum opening in 2008 (S)
* HOG and BRAG (S)
* 2000-2007 collaboration with Ford (S)
* Dealer promotions, customer events, magazines, direct mail advertising, cooperative programs, * television, sponsorships,
* promotional events, rallies (S)
* Rental Programs (S)
* Rider training programs (S)
B. Finance
* wholesale financial services for dealer customers (S)
* Extended...
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