Strategic Audit of Harley-Davidson Case 16 Strategic Management MGMT 436 Group 5 Current Situation (Jw Hayes) A. Current Performance 2008 Revenue 2008 $5.59 billion down from $5.73 billion in 2007 Net Income $654.7 million down from $933.8 million in 2007 Earnings per stock share $2.70 down from $3.74 in 2007 Motorcycles sold 303‚470 down from 330‚619 in 2007 http://investor.harley-davidson.com/ReleaseDetail.cfm?ReleaseID=360949 B. Strategic Posture Mission We ride
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1. Describe and evaluate Harley’s operations strategy (using the framework of Chapter 1) It is helpful to adopt three different yet complementary views of operations strategy: The resource view of operations comprises 4 key questions: • Sizing –Due to the volatility and cyclical motorcycle business‚ Harley-Davidson attempts to expand capacity without taking on further debt. Thus‚ it would expand capacity first through internal process improvements and restructuring‚ and externally only if needed
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Segmentation‚ Targeting and Positioning Introduction 1. To succeed in today’s competitive marketplace‚ companies must be customer-centered‚ wining customers from competitors and keeping them by delivering greater value. a. Sound marketing requires a careful‚ deliberate analysis of consumers. b. Since companies cannot satisfy all consumers in a given market‚ they must divide up the total market (market segmentation)‚ choose the best segments (market targeting)‚ and design strategies for profitably
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Harley-Davidson Mini Case Question 1 The international business environment that Harley-Davidson faces includes several challenges and obstacles. These challenges include trying to increase sales in nations that already offer well-known brands of motorcycles at cheaper costs. Besides having to compete with local brands‚ in places such as Europe each specific country may have different preferences on styling‚ size‚ and the type of performance. Other obstacles include high tariffs in some emerging
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Segmentation‚ Targeting and Positioning; This essay will illustrate the extent to which effective marketing must incorporate Segmentation‚ Targeting and Positioning. Marketing effectively differs from one organization to another as each has their own separate goals‚ which they pursue. To answer how important each of the afore mentioned marketing tools are‚ one must define what Marketing is and then take into account how each is applied and why if not applied in an organizations approach to selling
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Harley Davidson Motor Company: Enterprise Software Selection Saddle up in style and innovation – With all THE DUST BLOWN OFF The Criteria: In order to select the provider of an enterprise –wide procurement and supplier management system the case study deals with two aspects: * Functional criteria and * Qualitative criteria The implementation of the new systems‚ involves the heavy change‚ which must be understandable‚ compatible‚ and it has to adhere with the requirements of the company
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Harley-Davidson-From Dysfunctional to Cross-Functional. (Pages 212-213). Questions: 1. During Teerlink’s tenure as Harley’s Chief Financial Officer‚ was the organization structure flat or tall? Centralized or decentralized? Explain your answers. During Teerlink’s tenure the organizational structure at Harley’s was flat and decentralized. This was because he introduced a structure that had Cross-functionality‚ lifelong learning‚ and shared leadership fuel the so-called "circle organization"
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Harley Davidson was founded in Milwaukie‚ Wisconsin in 1903‚ and has been manufacturing motorcycles continuously since conception (Harley Davidson DVD‚ 2008). The company is now one of the world’s largest motorcycle manufacturers and controls 26% of all motorcycle sales in the USA‚ and a massive 50% of the heavyweight segment (Armstrong & Kotler‚ p129). The Harley Davidson name is an incredibly strong brand in the world today. Not many people in western culture could hear the name Harley Davidson
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Harley Davidson was the only American brand for heavy weight motorcycle manufacturer. However‚ Harley Davidson faced problems on positioning in its core market segment‚ that is‚ those middle aged male baby boomers‚ since Harley try to gain business from new segments by targeting on female and young users‚ with new bike that acquired features that is small in size‚ which totally contrast with the products being offered by Harley previously. The troubles faced by Harley had been stated and emphasized
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Summary “Harley-Davidson is the iconic American motorcycle manufacturer. Founded out of a small shed in 1903 by William S. Harley and Brothers Arthur and Walter Davidson in Milwaukee‚ Wisconsin. The Motor Company produces traditional cruiser motorcycles utilizing air-cooled V-Twin engines. When Harley and Davidson produced and sold their first motorcycle in 1903‚ they were one of many small motorcycle marques springing up across the country. Flash forward more than a century and the Harley-Davidson
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