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Harley Davdson

In: Historical Events

Submitted By faridzul
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Doing Business With Harley-Davidson

WHO IS HARLEY-DAVIDSON? The history of Harley-Davidson began in 1903, in a 10' x 15' shed located in the Davidson family's Milwaukee backyard. The Davidson brothers - William D., Walter, and Arthur - and William S. Harley crafted their first motorcycle using the best tools they had available - mostly their hands and their ingenuity. Since that time Harley-Davidson has learned many lessons on how to operate a business. We are focused on providing our customers with not just a quality product, but also an overall experience. Our mission statement is as follows: WE FULFILL DREAMS THROUGH THE EXPERIENCES OF MOTORCYCLING, BY PROVIDING TO MOTORCYCLISTS AND TO THE GENERAL PUBLIC AN EXPANDING LINE OF MOTORCYCLES AND BRANDED PRODUCTS AND SERVICES IN SELECTED MARKET SEGMENTS. Harley-Davidson also lives by a Business Code of Conduct that is driven by a value system that promotes honesty, integrity and personal growth in all of our dealings with stakeholders. Our values are the rules by which we operate. TELL THE TRUTH BE FAIR KEEP YOUR PROMISES RESPECT THE INDIVIDUAL ENCOURAGE INTELLECTUAL CURIOSITY At Harley-Davidson, we are equally committed to a corporate vision that mandates how we run our business. Within this vision we emphasize the relationships that we deem crucial to our success, including our relationships with customers and suppliers. Our vision states: HARLEY-DAVIDSON, INC. IS AN ACTION-ORIENTED, INTERNATIONAL COMPANY, A LEADER IN ITS COMMITMENT TO CONTINUOUSLY IMPROVE OUR MUTUALLY BENEFICIAL RELATIONSHIPS WITH STAKEHOLDERS (CUSTOMERS, SUPPLIERS, EMPLOYEES, SHAREHOLDERS, GOVERNMENT, AND SOCIETY). HARLEY-DAVIDSON BELIEVES THE KEY TO SUCCESS IS TO BALANCE STAKEHOLDERS’ INTERESTS THROUGH THE EMPOWERMENT OF ALL EMPLOYEES TO FOCUS ON VALUEADDED ACTIVITIES.

March 1999


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...concern into a global brand; a fast motorcycle into a symbol of Italian design and tradition, extreme performance, and technical excellence. Under Minoli, Ducati had enjoyed explosive growth and profitability. Revenues had quadrupled since 1996; EBITDA had grown from 33.4 million Euros in 1997 to around 60.0 million Euros in 2000; the market share had gone from 5.1% in the sport bikes segment in 1997 to 6.7% in 2000 (see Exhibit 1). Despite this success, Minoli was concerned with the future of the company. He knew that Ducati could not grow indefinitely, and was struggling with what strategy might overtake these bounds. Minoli and the rest of Ducati’s top management team were considering different alternatives. One alternative was to attack Harley Davidson’s niche with a Ducati interpretation of a cruiser. Was this broadening of Ducati’s traditional niche the right move to sustain the profitable growth of the company? The Market for Motorcycles in 2001 The roots of the motorcycle industry date back to 1868, when Louis Perraux installed a steam engine on a rudimentary bicycle. In 1894, the Hildebrand brothers and Alois Wolfmüller produced the first motorcycle with an internal-combustion, two-cylinder gasoline engine. The motorcycle quickly became a cultural icon. As T. Krens, the curator of “The Art of the Motorcycle” exhibition at the Guggenheim Museum in New York, observed: The motorcycle is a perfect metaphor for the twentieth century. Invented at the beginning of the......

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Harley Davidson Global Competition business environment Harley faces? What types of risk does the firm face? The nature of international business environment Harley faces is domestic and international with complexly and risk involve. This is clearly shown in the variation of sales in its two major markets, one at home in the U.S and the other in Europe. As shown in the in the graph chart in 2006, Custom models accounted for 47.4% in the U.S while only 13.4% in the European market. Other sales based on style of bikes are in the U.S performance 15.1%, touring 35.5%, and standard 2.1% while its other market sales in Europe were performance 41.4%, touring 26.1%, and standard 19.2%. The reason Harley faces such diversification is clearly due to consumer preferences. The European markets desires performance bikes made for the open roads and high speed demands. The four main risk which are cross-cultural risk, country risk, currency risk, and commercial risk. 2. How can Harley benefit from expanding abroad? What type of advantages can the firm obtain? What advantages acquired abroad can help Harley improve in its home market? Harley’s can benefit from expanding abroad because it will allow them to separate their business from domestic economic slumps, but also diversifying their product to adjust with the demands of the consumers. The advantages of expanding international sales include maintaining a more sensible business archetype. By increasing internationally Harley can widen its......

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