Opportunities Harley-Davidson’s external factors come in below the average at 2.35, which indicates they need to improve in this area to meet the average industry score. According to Essentials of Strategic Management Fifth Edition, the total weighted score is 3.0 for the average industry firm. Harley has some great opportunities that they could benefit from and expand on. By expanding their product line into other areas such offering smaller bikes, and more accessories that appeal to a diverse group of people, this would increase their customer base as new products would appeal to a more diverse customer base, such as different ethnic backgrounds, women, and younger people. History has shown that most Harley owners are from the Baby
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This kind of dependence can put internal strain on the company; therefore, branching out to foreign markets would benefit and reduce the internal strain. Developing smaller size bikes to accommodate a larger customer base, such as more women and younger riders, would be to Harley’s benefit. There are more women riding bikes today than ever before and this growth is a key to Harley’s future success.
Recommendations
Looking at Harley-Davidson as a whole, they are on the right track to maintaining their presence in the motorcycle world. The first recommendation for the company would be to decrease their debt to total assets ratio by 10% each year until it is paid off, so that they would be in a better position to borrow money if needed. They appear to be financed by a lot of debt and are not in a good place to borrow money in order to pay off that debt. Continuing their quest to develop the electric powered bike would also be a recommendation. Harley should invest $100,000 in improving the battery for the electric powered bike in order to get the bike on the market. The sooner they release the bike to the market the less time their competition has to develop their own version. The electric powered engine would add a clientele base that Harley-Davidson does not currently embrace, and being at the forefront of this industry would give them the upper …show more content…
By purchasing another company who is already established in a country it would save them a ton of money. In the meantime, they could prepare their employees by sending them to gather information about the country they choose. Exposing their employees to the culture allows for an easy transition into the country. Harley should execute this over an 18-month period to allow time for employees to adjust and become familiar with the countries rules, language, and customs. Setting aside a budget of 5% to allow for the training and emersion into another country would be very beneficial to Harley-Davidson’s future. They should also consider maintaining employees from the other company, who are already familiar with the processes. Bringing new employees aboard would provide resources that could potentially benefit
This kind of dependence can put internal strain on the company; therefore, branching out to foreign markets would benefit and reduce the internal strain. Developing smaller size bikes to accommodate a larger customer base, such as more women and younger riders, would be to Harley’s benefit. There are more women riding bikes today than ever before and this growth is a key to Harley’s future success.
Recommendations
Looking at Harley-Davidson as a whole, they are on the right track to maintaining their presence in the motorcycle world. The first recommendation for the company would be to decrease their debt to total assets ratio by 10% each year until it is paid off, so that they would be in a better position to borrow money if needed. They appear to be financed by a lot of debt and are not in a good place to borrow money in order to pay off that debt. Continuing their quest to develop the electric powered bike would also be a recommendation. Harley should invest $100,000 in improving the battery for the electric powered bike in order to get the bike on the market. The sooner they release the bike to the market the less time their competition has to develop their own version. The electric powered engine would add a clientele base that Harley-Davidson does not currently embrace, and being at the forefront of this industry would give them the upper …show more content…
By purchasing another company who is already established in a country it would save them a ton of money. In the meantime, they could prepare their employees by sending them to gather information about the country they choose. Exposing their employees to the culture allows for an easy transition into the country. Harley should execute this over an 18-month period to allow time for employees to adjust and become familiar with the countries rules, language, and customs. Setting aside a budget of 5% to allow for the training and emersion into another country would be very beneficial to Harley-Davidson’s future. They should also consider maintaining employees from the other company, who are already familiar with the processes. Bringing new employees aboard would provide resources that could potentially benefit