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By akash mishra

HARLEY DAVIDSON BUSINESS ENVIRONMENT

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THIS PPT IS MADE BY ME AKASH MISHRA I PUT MY LOTS OF EFFOT TO MAKE IT IN THIS PPT IT IS DISCUSSED ABOUT HARLEY DAVIDSON BUSINESS ENVIRONMENT

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Page 1: HARLEY DAVIDSON BUSINESS ENVIRONMENT

By akash mishra

Page 2: HARLEY DAVIDSON BUSINESS ENVIRONMENT

group members

Page 3: HARLEY DAVIDSON BUSINESS ENVIRONMENT

introductionHarley davidson is an American motorcycle

manufacturer. It is one of the best motorcycle producer in world. This company not only produce motorcycle but also produce boat, t-shirt, bag, leather Jacket ,helmet and kind accessories, etc

Since 1977, the Harley-Davidson brand is mainly famous for heavyweight motorcycles, with engine displacements greater than 700 cc, designed for cruising on highways

Page 4: HARLEY DAVIDSON BUSINESS ENVIRONMENT

HISTORY OF HARLEY DAVIDSON 1901–William S. Harley, age 21, completes a blueprint

drawing of an engine designed to fit into a bicycle. 1903 – William S. Harley & Arthur Davidson (Walter) 1909 – First V-twin powered bikes, it became most

enduring icons of Harley Davidson history. 1917 – 1/3 rd of the bikes were sold to the U.S military,

at last 20,000 HD bikes were used in World War I (1918). 1920 – HD dealerships spread across 74 countries. 1930–Bill Davidson, Jr. wins the Jack Pine endurance

contest with 997 points of 1,000.

Page 5: HARLEY DAVIDSON BUSINESS ENVIRONMENT

Cont…. 1943–Harley-Davidson receives the first of its four Army-Navy "E" Awards for

excellence in wartime production. 1955–Harley-Davidson produces almost 60,000 WLA models during the war for

military use. 1987 – Entered into American & New York stock exchanges. 1998–A new assembly facility opens in Manaus, Brazil, the first operations

outside of the U.S. 2001 – Two big plants constructed in Milwaukee & Kansas cities. 2004–HD recorded its 19th consecutive year of record earnings 2009– Harley-Davidson announces expansion into India. 2010–The XL Forty-Eight is introduced, recalling the raw, custom Sports of

earlier days. Harley is the only major American Manufacturer of heavy weight motor cycles. Have more than 15,000 employees.

Page 6: HARLEY DAVIDSON BUSINESS ENVIRONMENT

valuesValues are the heart of H.D business they guide

our actions and serve as the framework for the decisions and contributions our employees make at every level of the Company

• Tell the Truth. • Be Fair. • Keep Your Promises. • Respect the Individual. • Encourage Intellectual Curiosity.

Page 7: HARLEY DAVIDSON BUSINESS ENVIRONMENT

Brand extensions Merchandise• Helmet• Boats• Clothes (Jackets…) • Mugs• Collectibles….• Lighter• Watch Beer

Bars

Page 8: HARLEY DAVIDSON BUSINESS ENVIRONMENT

Corporate governance• Although the motercycling business is fun we take

corporate governance seriously.• The board of directors is composed of accomplished

leaders from a range of industries who meet regularly to review company objective and plane for future growth

• These individuals draw on their diverse backgrounds and experience.

• They are proud Harley Davidson enthusiastic, and they work to ensure that the decision made by Harley- Davidson promote fairness , finalcial transparency and accountability to all our share holders

Page 9: HARLEY DAVIDSON BUSINESS ENVIRONMENT

CURRENT VISION We fulfill dreams inspired by the many roads

of the world dy providing extrordinary motorcycles and customers expeirences. We

fule the passion for freedom in our customers to express their own individuality.

Page 10: HARLEY DAVIDSON BUSINESS ENVIRONMENT

Current mission We ride with our customers amd apply this deep connection in everymarket we serve to

creat superior value to all of our stakeholders.

Page 11: HARLEY DAVIDSON BUSINESS ENVIRONMENT

Macro environment analysis Political Considering Harley Davidson as american icon Opportunities in emerging economies (india,china) consider

Harley Davidson as an american idol so that they are not welcoming harley davidson into there soll .

Economic Global recession is effecting economic world wide therefore

Harley davidson has to sustain its position in the market The increase in price for many key row material in manufacturing GPD per capital trend in the past five year is not showing servere

variation

Page 12: HARLEY DAVIDSON BUSINESS ENVIRONMENT

Cont…. Social More diverse lifestyle, creating many harley clubs and academles around

the globe like rider Edge. Avreage purchaser of U.S Harley davidson motorcycle is a married male in

his mid-forties. This is affected by earley retirement plans and health care programs not letting the luxury option of owning a new motorcycle.

New interest from different demographic group outside U.S . LEGAL Legislation effect of helmet for motorcyclists forcing all riders by law,

otherwisefines are applied. The congress repealed financial incentives for state without universal

helmet laws. Licensing of motorcycles inside majorcity in addition to suburban

Page 13: HARLEY DAVIDSON BUSINESS ENVIRONMENT

Cont…. Environmental This industry is the first attackted by environmental activities, the

enviromental laws varies from country to country. In europe its euro in india its RS.

Harley Davidson’s one of the main problem is the environmental problems.

Technological More technological advancement because customers looking for

energyefficient and technological advance bike now a day. Harley Davidson is one of the main manufacturer and user V-ENGINE

configuration. Harley Davidson have wide variety of product according to standard,

performance, touring and custom.

Page 14: HARLEY DAVIDSON BUSINESS ENVIRONMENT

Competition in Global Motorcycle Industry

• Rivalry criteria – performance, styling, breadth of product line, image, reputation, quality of after sales services, price.

• Difficulty US and European Manufacturers had in attracting price sensitive European market.

Market Share segment

• In the North American market – Harley Davidson had 48%

• In the European market – Harley Davidson had 9.8%

Page 15: HARLEY DAVIDSON BUSINESS ENVIRONMENT

Swot analysis S.W.O.TS- Stength of companyW- Weakness of companyO- Opportunity of companyT – Threat of company

Page 16: HARLEY DAVIDSON BUSINESS ENVIRONMENT

Strength Robust cash flow Strong market position and brand image. Stronger relationship built on trust and respect with supplier

and dealers. Harley Davidson operates in two principal business segments:

motorcycle and related product, and financial services Harley Davidson is the only major american motorcycle

manufacturer Harley Davidson offers customers the opportunity to

customize there bikes.

Page 17: HARLEY DAVIDSON BUSINESS ENVIRONMENT

weakness Declining financial performancePoor credit rating (BBB+)Unfunded employee post retirement benefitsHigh price, Harley Davidson bike are the costly

bike in category.The top board of directors for harley davidson are

all menDifficult to attract and retain talented emoloyee

Page 18: HARLEY DAVIDSON BUSINESS ENVIRONMENT

opportunities The international heavy weight market is growing and

is now larger than the u.s heavy weight market. The european demand for harley davidson is the

highest in the international market, Asian economy is booming. China/india is the only

place not effected by global recession. Younger riders are increasing becoming interested in

bikes Increasing demand of bikes in us market

Page 19: HARLEY DAVIDSON BUSINESS ENVIRONMENT

threat High rise in the oil prices. Harley davidson vehicles are

hevey weight motorcycle and there vehicles are more oil consuming.

Harley average buying age is 42 years old and increasing.Some competitor of harley davidson have larger

financial and marketing resources and they are more diversufied increase H.D risks

International importing tax , and increase in labor cost. 3

Page 20: HARLEY DAVIDSON BUSINESS ENVIRONMENT

CONCLUSION• Harley- Davidson have to change American

culture and helped the future of motorized vehicles.

• Must implement latest technology & facilities.• Loyal customers are not sufficient for

company to survive.• “it’’s a journey but not a destination”

Page 21: HARLEY DAVIDSON BUSINESS ENVIRONMENT

Thank you