Nowadays “Globalization” has become the catchphrase for the last few decades. We can witness the sudden change of capital, trade and information around the world, stimulated by high-tech modernization from the global internet to direct shipment of products.
The global economy has transformed and reshaped the social, economic and political landscape in an ineffaceable and profound way. Globalization has dissected national borders; free trade has enhanced economic incorporation and the information has made geography and time irrelevant. Reflection to this, we will bring a new case study about Harley Davidson Inc, one of the biggest and oldest motorbikes company in the world.
In year 1912, Harley-Davidson has established a large …show more content…
Most of Harley-Davidson’s manufacturing and assembly plants are in the US. The company assembles its touring and soft tail motorcycle models not only in the US but also in India and Brazil. The manufacturing operations such as fabrication, painting and polishing are done there as well. Production and operation at the assembly plant Manaus city in Brazil began in year 1999. The company also owns its second international facility in Bawal city in India. The facility was built in 2011 to expand its production flexibility, market responsiveness, and operations in the Indian market. Since 2014, Harley-Davidson also began manufacturing its street motorcycle models for other markets including Italy, Portugal, and Spain at this …show more content…
Industry Rivalry:
There are four major companies in the motorbike market which are: Harley- Davidson, Honda, Suzuki and Yamaha. BMW, Ducati and Kawasaki also have high market recognition. But there is no brand that controls more than 35% of the market in the motorcycle industry.
Harley-Davidson main competitor Yamaha which have their main revenue only from motorbikes. As well as Honda, who are also a main competitor in the market, they consume most of the Harley Davidson's market share.
Suzuki and Kawasaki back then had strategic cooperation between them which lead to development of both the company in product development, engineering, design and manufacturing of the motorbikes.
2. Threat of New Entrants:
The motor industry is extremely vast and huge, it requires a high investment. But in the US we can say that it has already reached the maturity stage so we can see that there are only 4 major motor bike company for now. There are some motorbike producers, but on a small scale and they produce in very low quantity comparing to the 4 big major motorbike industries and they are no threat to