Case Study Harley Davidson
Mackenzie Wolter
Case Study 3: Harley Davidson
8/7/12
Comeback Analysis
1. JIT Inventory – “lean production” allowed for product diversification, drastically cut
“throughput time,” and provided for job enrichment amongst employees 2. EI – decentralized operations and communication lines 3. SOC – helped detect defects early on in the manufacturing process 4. Supplier Relations – “preferred suppliers” and long-term contracts 5. Labor Relations – “close cooperation” 6. Marketing – expanded product line and created H.O.G. 7. Dealer Relations – store remodels 8. Tariff Protection – ITC and government help with Japanese imports Strengths •
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Domestic & International market share High brand affinity/loyalty and image HOGs Product quality Broad product & service portfolio Complementary merchandise to continually offer to riders Rider events and get-‐togethers create family camaraderie
Weaknesses •
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Opportunities •
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Women & younger riders International market, especially Europe Continually improve quality parts Greener, more fuel-‐efficient motorcycles New product launches
Difficulty gaining market share in European countries Dependence on domestic market Heavy-‐weight motorcycles are less environmentally friendly modes of transportation
Threats •
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Average buying age is increasing Some competitors have larger financial and marketing resources and are more diversified Environmental protection laws Market saturation in domestic market
Porter’s 5 Forces Model
Rivalry Among Existing Firms
• 4 major competitors in heavy-weight motorcycle segment: Harley Davidson, Yamaha,
Suzuki, and
Case Study 3: Harley Davidson
8/7/12
Comeback Analysis
1. JIT Inventory – “lean production” allowed for product diversification, drastically cut
“throughput time,” and provided for job enrichment amongst employees 2. EI – decentralized operations and communication lines 3. SOC – helped detect defects early on in the manufacturing process 4. Supplier Relations – “preferred suppliers” and long-term contracts 5. Labor Relations – “close cooperation” 6. Marketing – expanded product line and created H.O.G. 7. Dealer Relations – store remodels 8. Tariff Protection – ITC and government help with Japanese imports Strengths •
•
•
•
•
•
•
Domestic & International market share High brand affinity/loyalty and image HOGs Product quality Broad product & service portfolio Complementary merchandise to continually offer to riders Rider events and get-‐togethers create family camaraderie
Weaknesses •
•
•
Opportunities •
•
•
•
•
Women & younger riders International market, especially Europe Continually improve quality parts Greener, more fuel-‐efficient motorcycles New product launches
Difficulty gaining market share in European countries Dependence on domestic market Heavy-‐weight motorcycles are less environmentally friendly modes of transportation
Threats •
•
•
•
Average buying age is increasing Some competitors have larger financial and marketing resources and are more diversified Environmental protection laws Market saturation in domestic market
Porter’s 5 Forces Model
Rivalry Among Existing Firms
• 4 major competitors in heavy-weight motorcycle segment: Harley Davidson, Yamaha,
Suzuki, and