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8/6/2019 Presentation for Harley
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HARLEY-DAVIDSON INC.
We fulfill dreams through theexperiences of motorcycling, byproviding to motorcyclist and to thegeneral public an expanding line of
motorcycles, branded products andservices in selected market segments
MISSION STATEMENT
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VISION STATEMENT
Harley-Davidson is an action-oriented,international company, a leader in itscommitment to continuously improve [its]
mutually beneficial relationship withstakeholders (customers, suppliers, employees,shareholders, government and society). Harley-Davidson believes the key to success is to
balance stakeholders interest through theempowerment of all employees to focus onvalue-added activities.
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SWOT1. DEMOGRAPHIC FACTOR
91% of motorcycle purchaser are men(see exhibit A)
2. ECONOMIC FACTOR
2.1 They are financially stable since they have large
number of dealers worldwide
EUROPE/MIDDLE EAST/AFRICA
381 independent HD dealerships serving 32 country markets
240HD outlets serving 8 country markets
ASIA PACIFIC
LATIN AMERICA
15 country markets
CANADA
75 independent HD dealerships & 1 Buell standalone independent dealer
2.2Harley-Davidson has a wide span of suppliers, so that if one supplier
attempted to increase the price, they can easily switch to the alternate
suppliers without any problem in production
3. TECHNOLOGICAL FACTOR
They have adopted to new technological system of design thru Computer Aided
Design (CAD)
4. POLITICAL FACTOR
US Government and people are consideringHarley-Davidson as an
American Icon
CULTURAL FACTOR
Harley-Davidson served as the common denominator to motorcycle enthusiast
like HarleyOwnersGroup (HOG) which approximately has 660
,000
.00
members in different countries with diverse cultures
WEAKNESSESSTRENGTHS
1. DEMOGRAPHIC FACTOR
There are only few women interested in buying Harley-Davidson with 9%
equivalent
2. ECONOMIC FACTOR
Their competitors are offering much lower price
3. TECHNOLOGICAL FACTOR
Their competitors are also adopting highly technologically advance
system design
4. POLITICAL FACTOR
Steel tariff put in place in 2002 posed a treat to Harley-Davidson and
other user of steel
5. CULTURAL FACTOR
Noise pollution and some emission standards of Harley-Davidson bike is notup to the level of some countries across the globe.
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SWOT
THREATS
1. Major competitors in
motorcycle business
2. Inflation & economic
recession
3. Imposition of high tariff
on various countries.
3. Inflation and
economic recession
ST STRATEGY
1. Since Harley-Davidson is
financially stable, they should
continue investing in research
and development to cater to
customers preferences. (S2a, S3,
T1)
WT STRATEGY
1. Since Harley-
Davidson is financially
stable, they should
continue investing in
research and
development to cater
to customers
preferences. (W1, W3
& T1)
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External Factor MatrixKey External Factors Weight Rating Weighted Score
Opportunities
1. Large number of dealers all over the world would help Harley-Davidson to
penetrate the younger generation as their new target market..20 4 .80
2. Harley-Davidson should maintain good customer relationship with 660,000
members they can surely influence large group of younger individuals.15 4 .60
3. Since Harley-Davidson is financially stable, they can adopt to a more
technologically advance system to meet the wants and satisfaction of thecustomer.
.20 4 .80
4. Since most of the Americans who are motorcycle enthusiast idolizes Harley-
Davidson, it is would not be hard to inculcate in the minds of those "BRAND
LOVERS" and "COLLECTORS "to purchase one.
.10 3 .30
5. Given that Harley-Davidson has a wide span of suppliers, they can take
advantage over their competitors whenever they experience shortageor deficiency on the supplies of their raw ma
.05 2 .10
Threats
1. Major competitors in motorcycle business .15 3 .45
2. Inflation & economic recession .10 2 .20
3. Imposition of high tariff on various countries. .05 2 .10Total
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BCGMARKET SHARE
HIGH LOW
G
STARR H
O IQUESTION MARK
W G
T H
H
R
A L CASH COWS DOGST O
E W
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LONG TERM OBJECTIVE
To maintain being the no. 1 heavy weight
motorcycle producer in the international
market and increase the revenue by __%
inthree years
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ALTERNATIVE COURSE OF ACTION
Generally, to compete with their major
competitors, Harley-Davidson needs to invest
in research and development. If their productwill fail to meet their customers satisfaction,
then it might put their financial condition at
risk.
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CONCLUSION AND RECOMMENDATION
Since they are financially stable, the top management should support andimplement the following measures: (1) they should hire highly skilled engineers andresearch designers and they should also provide adequate trainings to existingpersonnels. (2) The Marketing Department should also strategize on the promotionand advertisement for the newly design motorcycles.
Harley-Davidson should guarantee superior quality and excellence in performanceon their motorcycles.With these, it can acquire costumers loyalty and would adjointhose Harley-Davidson fanatics to promote an activity-friendly experience.
Increase in sales does not only mean that they are doing well in business, it alsoboost the morale of their employees because their work is recognize worldwide.
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