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Harley Davidson

Essay by   •  August 7, 2011  •  Case Study  •  1,919 Words (8 Pages)  •  1,693 Views

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Introduction :

It's a story no one on Earth could have made up. Lets have a look at the journey of one of the greatest companies on the planet...... The Unruly "Harley Davidson" Introduction

Harleys- Experience :

Harleys- Experience Harleys are, just like fun stuff for people with money and appearance. So, "rich" customers rule the market. These days, in America, Harley Davidson owns 72 % of the market of motorcycles with 850 CC or more !! Harleys aren't the fastest and manageable cycles, riding a Harley is not at all comparable with riding any other bike ...

History speaks!! :

1901: William S. Harley, age 21, completes a blueprint drawing 1903: William S. Harley and Arthur Davidson make available to the public the first production Harley-Davidson® motorcycle. 1904: Sells one of the first three production Harley-Davidson motorcycles ever made. 1905: A H-D motorcycle wins a 15 mile race in Chicago with a time of 19:02. In Milwaukee, the first full-time employee is hired. 1906: A new factory is built. Staff size is increased to six full-time employees. 1907: Factory size is doubled as well. Dealer recruitment begins, targeting the New England region. History speaks!!

The past :

1910: The famed "Bar & Shield" logo is used for the first time. 1918: Almost half of all Harley-Davidson motorcycles produced are sold for use by the U.S. military in World War I. At War's end, it is estimated that the Army used some 20,000 motorcycles in their efforts, most of which were Harley-Davidsons. 1920: Harley-Davidson is the largest motorcycle manufacturer in the world. 1922: Harley-Davidson riders sweep all eight National Championship races. 1929: One of the 2 companies survived in great depression The past

Times gone by.... :

1931: All of Harley-Davidson's remaining American competition is now gone except Indian motorcycle manufacturing company. 1933: An art-deco "eagle" design is painted on all gas tanks. 1936: HD introduces 'Knuckle head' 1941: Production of civilian motorcycles is almost entirely suspended in favor of military production. 1945: World War II ends, and Harley-Davidson has produced almost 90,000 WLA models for military use. 1950: Harley-Davidson riders win 18 of 24 National Championships and set six new racing records. 1952: HD launched Sportster Times gone by....

What went before.. :

1953: Harley-Davidson celebrates its 50th Anniversary in style. An attractive logo is created, depicting a "V" in honor of the engine. 1960: Harley-Davidson purchases a half interest in Aeronatica-Macchi, forming Aermacchi Harley-Davidson, a European division that will produce small, single cylinder motorcycles. 1964: The three-wheeled Servi-Car becomes the very first Harley-Davidson motorcycle to receive an electric starter. 1969: Harley-Davidson merges with the American Machine and Foundry Company (AMF), a longtime producer of leisure products. 1971: A new class of motorcycle, the cruiser, is born. 1981 13 executives- leveraged buyout (LBO). Struggled under heavy loans . 1982: The Materials As Needed (MAN) application is introduced to production. This dramatically lowers production costs and improves quality. What went before..

History continues.. :

1985 Came within 4 hr bankruptcy-CEO Richard Teerlink convinced new creditors for restructuring .... IPO 1986: Harley-Davidson releases the Heritage Softail®. 1987: Harley-Davidson is listed on the New York Stock Exchange. 1990: Upon its introduction, the Fat Boy® almost instantaneously becomes a modern legend of motorcycle design. 1992: JV with Buell 1993: Harley-Davidson celebrates its 90th Anniversary in Milwaukee with a Family Reunion. An estimated 100,000 people ride in a parade of motorcycles. History continues..

Slide 10:

1998: Harley-Davidson celebrates its 95th Anniversary. 140,000 plus riders are warmly received by Milwaukee to help with the celebration. A new assembly facility opens in Manaus, Brazil, the first operations outside of the U.S. 2003: More than 250,000 people come to Milwaukee for the final stop of the Open Road Tour and the Harley-Davidson 100th Anniversary Celebration and Party. 2005: Harley-Davidson and the Muscular Dystrophy Association (MDA) mark the 25th anniversary of their partnership. 2006: Harley-Davidson unveils plans for an all-new museum in Milwaukee, opened in 2008... 2008: 105th anniversary Celebration Time.....

2008 - 105th Anniversary :

2008 - 105th Anniversary

Image dilution by Bikers :

Rowdy & rebellious image of bikers 1947- outlaw image- 'Life' magazine photographs 1954- 'Wild One' movie Hells Angels made many people fearful & put bikers under close scrutiny 1969- murder by a one of Hells Angels members Hells Angel, Pagans, Banditos & outlaws- rode only Harleys Honda exploited Harleys image with slogan - "You meet the nicest people on Honda"- largest seller in U.S. in 1960s and 1970s Hells Angels image spilled over entire industry & contributed to decline in sales of bikes in U.S & Europe Image dilution by Bikers

Image building started :

Launch of movie "Easy Riders"- aided to change the image as rebellion image & appealed to young people in U.S. & Europe. Harley " Captain America" chopper ridden in movie by peter Fonda's Wyatt character helped Harley to break outlaw image & come to represent less malevolent rebellion Image building started

Industry condition in 2007 :

2007- more than 516000 units registered in U.S.& 403000 in Europe.(651+cc) Rising income level in emerging countries- major industry growth drive force Demand for heavyweight bikes outpaced smaller in U.S. from late 1990s till 2003. In 2007, Demand for heavyweight motorcycles decreased by 6.2 % in US and increased by 13.7% internationally. ( Net effect - decrease in 1.8% sales internationally ) 651+ cc accounted for largest portion of demand in North America & Europe Industry condition in 2007

New registrations in 651+cc Segment :

New registrations in 651+cc Segment

Current Data - :

Current Data -

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