Harley-Davidson (Harley), a leading automotive company, which produces heavyweight motorcycles, motorcycle parts, accessories, apparel and general merchandise. The company also provides financial services such as wholesale and retail financing and insurance programs. The company primarily operates in the US and Europe. It is headquartered in Milwaukee, Wisconsin and employs about 9,755 people as on 31st December 2007. The company recorded revenues of $6,143 million during the fiscal year ended December 2007, a decrease of 0.7% over 2006. The decrease in revenues was driven by a 5.3% decrease in wholesale shipments of Harley-Davidson motorcycles over last year. The operating profit of the company was $1,426 million during fiscal year 2007, a decrease of 10.7% compared with 2006. The net profit $934 million in fiscal year 2007, a decrease of 10.5% compared with 2006.
Harley-Davidson, Inc. Is an action-oriented, international company, a leader in its commitment to continuously improve our mutually beneficial relationships with stakeholders (customers, suppliers, employees, shareholders, government, and society). Harley-Davidson believes the key to success is to balance stakeholders interests through the empowerment of all employees to focus on value-added activities.
Harley-Davidson is known for selling motorcycles to all sorts of people. Their Vision Statement includes their assertion that they provide “extraordinary motorcycles and customer experiences.”
What they are Doing
Harley-Davidson is one of two American producers of motorcycles, and the nation's #1 seller of the cruiser style of motorcycles. The organization offers 35 different models of custom and touring bikes through a worldwide network of more than 1,500 dealers. Harley models include the Sportster, the Fat Boy, and the Electra-Glider. The company also produces sport bike style motorcycles under the brand name of Buell. Other than its motorcycles, Harley-Davidson sells a certain type of life style and attitude. Including, but not limited to, goods licensed with the company name, such as a line of clothing and accessories.
Harley-Davidson’s core rider had always defined its primary target market. That rider was most likely to be a male (91 percent), although his mate, if he had one, tended to be as enthusiastic about the bike as he was. The advertising invariably addressed itself to those riders who lived the credo, who in fact already owned a Harley. Yet there was a secondary target market the advertising also reached, the segment of the broader market that was interested in Harley-Davidson motorcycles because of their reputation. In many ways this segment was every bit as important as the primary group, for it was from this group that increased sales came. Existing Harley owners might buy a new bike from time to time, but they would never fuel 10 percent or higher annual growth. This market also tended to be predominantly men who had grown up with the Harley legend in some form or other but who did not own one. It was a tribute to the company, the advertising, and the motorcycle itself that these men did not need to be convinced of the superiority of the product, as they might if they were shopping among Japanese bikes. They merely needed to be exposed to the legend frequently enough. Strengths
•Net income of 2003 was $760 million; it’s more than 30% as compared to the previous year 2002. •The standard and performance segments of Harley Davidson make up 70% of the European heavy weight motorcycle market •Harley-Davidson operates in two segments: Harley-Davidson motorcycles & related products and HDFS (Harley-Davidson Financial Services). •Harley-Davidson is the only major American heavyweight motorcycle manufacturer. •Strong brand name.
•The HOG (Harley Owners Group), which have a 7,500,000 members worldwide is the industry’s largest company sponsored...