Harley Davidson Case Analysis
The core problems that Harley Davidson faces on an ongoing basis are maintaining their market position in North America while expanding their market segments to a younger and broader scope of riding enthusiasts and their ability to expand their market position in international markets.
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 …show more content…
New generation riders that exists in Asian markets is more attracted to sleeker, less costly and a more swift motorcycles. Although there is a high potential for Harley Davidson to be profitable in Asian markets they are faced with barriers to trade. Such barriers includes government regulations and trade guidelines which limits foreign manufacturer’s ability to penetrate the market. Additionally one of Harley Davidson’s biggest competitors in the Asian market is Yamaha which is a Japanese motorcycle manufacturer. Due to this Harley Davison is confronted with arduous rivalry. Yamaha targets customers that are at the lower end market and focuses their manufacturing on affordable motorcycles with smaller engines, electronic capabilities and lighter reinforcement in contrast to Harley Davidson’s heavy steel frames.
Harley Davidson’s competitive advantage is represented in their ability to produce top quality motorcycles and also provide full service after their products are sold which enables them to maintain their brand …show more content…
This is represented in the different engine models such as the evolution, twin cam and the revolution engine. Harley Davidson is also able to maintain their competitive advantage by executing the just-in-time inventory method into their process design which enables them to eradicate inventory cost. Additionally, Harley Davidson also implemented a level management structure where management is based on team work and promotion inspiration. This was implemented to reduce costs associated with upper level management and heighten continued excellence throughout the company. Harley Davidson also maintain a competitive advantage by their assurance to design motorcycles conventionally. By implementing this method of designing Harley Davidson is able to maintain simplicity during
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 …show more content…
New generation riders that exists in Asian markets is more attracted to sleeker, less costly and a more swift motorcycles. Although there is a high potential for Harley Davidson to be profitable in Asian markets they are faced with barriers to trade. Such barriers includes government regulations and trade guidelines which limits foreign manufacturer’s ability to penetrate the market. Additionally one of Harley Davidson’s biggest competitors in the Asian market is Yamaha which is a Japanese motorcycle manufacturer. Due to this Harley Davison is confronted with arduous rivalry. Yamaha targets customers that are at the lower end market and focuses their manufacturing on affordable motorcycles with smaller engines, electronic capabilities and lighter reinforcement in contrast to Harley Davidson’s heavy steel frames.
Harley Davidson’s competitive advantage is represented in their ability to produce top quality motorcycles and also provide full service after their products are sold which enables them to maintain their brand …show more content…
This is represented in the different engine models such as the evolution, twin cam and the revolution engine. Harley Davidson is also able to maintain their competitive advantage by executing the just-in-time inventory method into their process design which enables them to eradicate inventory cost. Additionally, Harley Davidson also implemented a level management structure where management is based on team work and promotion inspiration. This was implemented to reduce costs associated with upper level management and heighten continued excellence throughout the company. Harley Davidson also maintain a competitive advantage by their assurance to design motorcycles conventionally. By implementing this method of designing Harley Davidson is able to maintain simplicity during