Harley Davidson Case Study

Harley Davidson case study Submitted by Edwin Nash MGT 527

Introduction:

Harley Davidson Company was set up in 1903 by William Harley and Arthur Davidson. In 1920 the ompany beame very !amous as the lar"est and most important motoryle manu!aturers in the world. #hey spread aross li$e wild!ire in many ontinents b y ma$in" themselves available as !ranhises. It was $nown as a very stron" and !inanially stable !irm. #hey were reo"ni%ed as the heavywei"ht manu!aturers o! motoryles. #hey have invested sums o! money in researh and development so as to help them boost their !inanial per!ormane. &'ihael( Duane ) *obert(201+,. #he ase evaluates and e-plains the strate"i plan that is available !or the !irm to use. It has maintained operations when ompared to other motoryle !irms that werent very suess!ul. #he Harley Davidson !irm has two se"ments that they deal with. #he !irst is their ran"e o! motoryles whih inludes their per!ormane bi$es and aessories and parts and seond is the !inanin" department. #he !inanin" department provides !inanial help to dealers( retailers and independent distributors. #hey also o!!er motoryle insurane and loans to their ustomers. #he Harley Davidson !irm is a ma/or "ame player in Ameria to produe motoryles and have setup their businesses "lobally !rom whih ma/ority o! the sales ome !rom Asia( atin and orth Ameria and urope &'ihael( Duane )*obert( 201+,. Due to its brand loyalty the !irm has e-periened hu"e "rowth and suess. #hen in 200 the !irm !aed trouble and had to lose down some o! their !atories due to reession in the 45 eonomy. 5o this in turn a!!eted the !irms "rowth as the onsumers were not ready to spend on a leisure and lu-urious item. #hey saw a drop in sales by 67 and inome delined by 2.37. However they ame out o! the reession by maintainin" produtions below demand &'ihael( Duane )*obert( 201+,.

Current Situation/Issues/Problem:

8elow are the !ollowin" 1. #he urrent issue is that the !irms produts were e-pensive( unreliable and not o!  per!ormane when ompared to their ompetitors li$e the :apanese motoryle ompanies. When it was a;uired by A'< &the Amerian mahine and .( )Byon"Beun( C. &201=,. #he mediatin" role o! pereived value in two di!!erent prie settin"s. International Journal Of Sort! Marketing " Son!or!#i, 15&3,( 1?1F16+. :ae @oun"( C.( :un"woo( 5.( ):on"su( . &2013,. 5trate"i mana"e ment o! new produts -F ante simulation and mar$et se"mentation. International Journal Of Market Re!ear$#, 55&2,( 29F31=. doi10.2+01JI:'*F2013F02= 'ihael A. Hitt( *. Duane Ireland( *obert . Hos$isson( &201+,. 5trate"i 'ana"ement Competitiveness and lobali%ation Conepts. Cen"a"e earnin" leventh dition