IBS Unit 2 Tasks
Internationalization at Harley
Group Members:
•
•
•
•
•
Jong Kwang Park
Hassan Al-Heidous
Kun Wang
Liping LI
Hongzhi Wang
1. What is the nature of the international business environments Harley faces? What types of risks does the firm face?
•
The nature of the international business environments is competitive for diverse preferences of customers with brands, prices and types of bikes.
Types of risks Harley faces
1) Trade barriers – some countries apply high import tariffs for motorcycles and strict greenhouse gas emissions standards
2) Competitive environment – most of its competitors are from
Europe, Japan and China where they can influence their home markets
3) Limited customers due to high prices – it makes difficult to penetrate developing countries where disposable income is relatively low.
2. How can Harley benefit from expanding abroad? What types of advantages can the firm obtain? What advantages acquired abroad can help Harley improve its performance in its home market?
•
Expanding abroad can increase opportunities to sell more bikes compared to home market where three-quarters of its total sales are made. Additional advantages can be increased brand awareness, reduced risks as the investments and sales are well spread in worldwide. Increased sales can also lead to more employment in its home market as most of the bikes are manufactured in the US.
3. How can Harley effectively compete with rivals from Japan and Europe? What strategies should management apply to grow the firm’s sales in those regions?
•
•
Japan – environmental friendly, mystique and unique concept of Harley
Europe – study diverse preferences in each nations and adapt different management styles according to those preferences.
4. Competitors such as Lifan and Zongshen are beginning to emerge from China, where they enjoy competitive advantages like low-cost labour and extensive experience with emerging markets. How can
Harley compete against such firms? Should Harley more
Group Members:
•
•
•
•
•
Jong Kwang Park
Hassan Al-Heidous
Kun Wang
Liping LI
Hongzhi Wang
1. What is the nature of the international business environments Harley faces? What types of risks does the firm face?
•
The nature of the international business environments is competitive for diverse preferences of customers with brands, prices and types of bikes.
Types of risks Harley faces
1) Trade barriers – some countries apply high import tariffs for motorcycles and strict greenhouse gas emissions standards
2) Competitive environment – most of its competitors are from
Europe, Japan and China where they can influence their home markets
3) Limited customers due to high prices – it makes difficult to penetrate developing countries where disposable income is relatively low.
2. How can Harley benefit from expanding abroad? What types of advantages can the firm obtain? What advantages acquired abroad can help Harley improve its performance in its home market?
•
Expanding abroad can increase opportunities to sell more bikes compared to home market where three-quarters of its total sales are made. Additional advantages can be increased brand awareness, reduced risks as the investments and sales are well spread in worldwide. Increased sales can also lead to more employment in its home market as most of the bikes are manufactured in the US.
3. How can Harley effectively compete with rivals from Japan and Europe? What strategies should management apply to grow the firm’s sales in those regions?
•
•
Japan – environmental friendly, mystique and unique concept of Harley
Europe – study diverse preferences in each nations and adapt different management styles according to those preferences.
4. Competitors such as Lifan and Zongshen are beginning to emerge from China, where they enjoy competitive advantages like low-cost labour and extensive experience with emerging markets. How can
Harley compete against such firms? Should Harley more