Case Analysis of Harley-Davidson, Inc.
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’s ever committed and loyal customers that have made the company one of America’s most successful manufacturers. Harley-Davidson, Inc is the parent company comprised of two business segments, Harley-Davidson Financial Services (HDFS) and Motorcycle and Related Products (www.Google.com). HDFS offers wholesale and retail financing to Harley-Davidson dealerships and allows customers to benefit from one stop shopping. HDFS provides insurance and insurance-related programs, primarily for Harley-Davidson Motor Company (HDMC) dealers and retail customers (www.Google.com). The Motorcycle and Related Products segment focuses on the design, manufacturing and selling of motorcycles to Harley-Davidson dealerships. Another responsibility of this segment is to offer customers a line of motorcycle parts, accessories (i.e., helmets, gloves, eyewear, clothing, boots, etc.), general merchandise and related services.
Harley-Davidson customers share a special bond stemming from their loyalty and passion for the Harley-Davidson brand. In 1983, Harley-Davidson established a biking community called the Harley Owners Group (HOG), which eventually claimed a membership of over 1 million (Harley-Davidson, 2010e). According to...
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