Harley-Davidson in 2004
Case Questions & Issues
1. The Differences in the US versus the Global Motorcycle Industry
• What are the defining ECONOMIC characteristics (market segments, size, growth rate, demographics, etc) and trends for the US Motorcycle Industry?
• What are the key ECONOMIC characteristics & trends for the GLOBAL Motorcycle Industry? How are they different from the US Industry?
• What cross country DIFFERENCES and market conditions exist in the various geographic segments of the Global Motorcycle Industry?
• Who are the key COMPETITORS in the US? Globally?
• Which market and geographic segments would present the BEST OPPORTUNITIES for growth for Harley-Davidson? Why?
Hint: Segment key markets for size, types, growth, and market shares.
2. Harley-Davidson's Strategy in US versus International Markets
• Is the US (...and global) motorcycle industry a profitable and ATTRACTIVE industry? Why or why not?
• What are the key elements of Harley-Davidson's US competitive STRATEGY? Is that strategy working?
• What are the key elements of HD's strategy for the key foreign regions/countries in which HD competes? Is HD's strategy working?
• How would you classify the HD strategy in GENERIC terms?
• Should shareholders be PLEASED with Harley-Davidson's strategy, business model, and resulting financial performance and trend?
Hint: Porter's Five Forces; generic strategies; financial ratios & stock trends.
3. Harley-Davidson's Strengths and Weaknesses in International Markets
• How would you characterize Harley-Davidson's approach to these international markets and to their international competition?
• How does the company's strategic and financial performance in international markets compare to its performance in the US?
Hint: TOWS focused on International Markets.
4. Harley-Davidson's Goal to Reach Sales of 400,000 Units by 2007
• Did Harley-Davidson achieve its 400,000 unit goal in 2007, by 2012?
• What happened to the Buell brand?
• What role have international shipments played in HD's upswing in 2012?
• What specific recommendations would you make to Harley-Davidson's executive management to maintain their performance and market share in the US? ...and strategic options in order to grow more rapidly in selected international markets?
Hint: Refer to www.harley-davidson.com & https://ar.harley-davidson.com/home.php for updates thru 2012/13.