Essay on Harley-Davidson Inc. Case Study

3803 Words Jun 23rd, 2012 16 Pages
Table of Contents
1.0 INTRODUCTION 2

2.0 LITERATURE REVIEW 3

3.0 CASE ANALYSIS 5

4.0 PORTER’S FIVE FORCES 7

4.1 Internal Rivalry 7

4.2 Potential or new entrants 7

4.3 Substitute products 7

4.4 Power of suppliers 8

4.5 Power of Customers 8

5.0 SWOT ANALYSIS 9

5.1 Strengths 9

5.2 Weaknesses 10

5.3 Opportunities 10

5.4 Threats 10

6.0 CONCLUSION 12

7.0 RECOMMENDATION 14

8.0 REFERENCES 15

1.0 INTRODUCTION

In year 1901, Harley-Davidson Motorcycle Company was established by William Harley and Walter, William, and Arthur Davidson, who built their first motorcycle in the Davidson family’s backyard in Milwaukee, Wisconsin. Two years later, they success
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Jesse Toprak, an analyst at the auto-pricing researcher TrueCar.com also claimed that “Market-share loss is never positive, but the U.S. automakers are still going to grow,” and “They can’t lose sight of their new emphasis, which has been improving their cost structures, making cars people want to buy and selling the product instead of the incentive.” U.S.automakers led by General Motors Co. (GM) may lose share in their home market this year, a setback that might be assuaged by holding onto some of their gains against disaster-stricken Japanese rivals in 2011 written by Craig Trudell.

According to Harley-Davidson, the iconic American motorcycle company said it was cutting 1,000 jobs and reducing planned production after reporting significant drops in sales and earnings for the most recent quarter. From the company’s statement:

Worldwide retail unit sales of new Harley-Davidson motorcycles were down 30.1 percent compared to the year-ago quarter. Retail new Harley-Davidson motorcycle sales in the U.S. were down 35.1 percent and declined 18.2 percent in international markets compared to last year’s second quarter. Industry-wide retail sales of heavyweight motorcycles in the United States declined 48.1 percent for the same period. The job cuts include 700 hourly positions and 300 salaried jobs. The sales drop comes amid an overall downturn for motorcycle

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