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Harley Davidson Executive Summary

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Executive Summary- Analysis and Conclusion
BUS499- Business Policy & Strategic Solutions

Executive Summary – Environmental Analysis

The motorcycle industry is a consolidated industry. The U.S. and international heavyweight motorcycle markets are highly competitive. The major players, such as Yamaha, Suzuki, and Honda, generally have financial and marketing resources that are substantially greater than the non-major players. Competitions in the heavyweight motorcycle market are based on several factors; price, quality, reliability, styling, product features, customer preference, and warranties.
Harley’s first segment is the motorcycle and related products business. It included designing, manufacturing, and selling primarily heavyweight touring and custom motorcycles and offering a broad range of related products that included motorcycle parts and accessories and riding apparel. The custom products charge a higher price because of its features, styling, and high resale value. Their target market is mainly in US. By the end of 1997, they have an approximate 48.3% share in the US market, 6.1% share in European, and 16.5% share in Asia/Pacific. New competitors have entered the marketplace because demand for the motorcycles has exceeded production. The demand is prospected to grow in the future, and the switching cost is low.
A host of internal and external factors influence a firm's choice of direction and action and, ultimately, its organizational structure and internal processes (Pearce & Robinson, 2004). A company must ensure the company has the right skill set and the right employees in the right positions. Employees value education and training, in part because they lead to increased compensation and job security. Providing such opportunities often increases productivity and decreases turnover. Harley-Davidson incorporates this operating strategy in the

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