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Harley Davidson Case (document en anglais)

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17/01/2013

524250 | Margaux Monnet

Introduction

The Harley Davidson was founded in 1903 by two young American artists: William Harley and Arthur Davidson.

Like many industrial success stories, the legend of Harley began in a garage tiny Milwaukee, United States.

These two friends then aged twenty years have started their business by building a prototype motorized bicycle.

First year, they built three motorcycles, dubbed "Silent Grey" and sold $ 200 each.

This company became a family business and in 1907 Walter Davidson was the first president of the Harley-Davidson Motor Company.

The company then had 18 employees.

In 1908, Harley Davidson made his competitive debut: Walter Davidson won the "New York 's Catskill Mountain" Silent Grey Fellow of the other participants to 62. With this victory, the sales soared.

The same year, Chicago police placed an order for Harley-Davidson (which is then produced 450 copies).

In 1909, the brand launched its first twin, who was then the fastest bike on the market. The famous logo "Bar and Shield" was born in 1910.

In 1912, the company already has more than 200 dealers in the United States and in 1913; it dominates the U.S. market with a production of 12,904 machines.

During the First World War, Harley arrived in France and Germany.

In 1920, Harley Davidson is officially the largest motorcycle manufacturer in the world: its motorcycles are distributed in 67 countries.

This company is one of two motorcycle manufacturers to survive the Great Depression of 1929. It produced many more motorcycles for American and Allied forces during the Second World War.

After the war, some GI have established motorcycle clubs, the most famous is that of the Hell's Angels (the Hell's Angels).

Harley, which was adopted by Marlon Brando and Johnny Hallyday is a symbol of the United States: Harley Davidson is also part of the ten most famous American brands in the world with Coca-Cola and Disney.

The company, which celebrated its 100th anniversary in 2003, became in 2006 the manufacturer of motorcycles the most profitable in the world, with a turnover of 5.8 billion dollars.

This motorcycle legend has 2 million fans around the world. A large annual meeting held Harley bikers in Sturgis South Dakota.

In addition, the HOG (Harley Owners Group) is the largest motorcycle club in the world, with over one million members worldwide.

I/Strategy adopted by Harley Davidson

Harley Davidson strategy is organized around two axes: the product, the relational and network.

• Product policy: This is where the brand took more risk in buying the Buell brand in 1998, progressing through technical innovations. Brand products comply with the codes, but also offer its customers many accessories.

• Relational and network: The brand has the biggest fan club in the world involving more than 750,000 fans in the world despite the fact that it must contribute 60 Euros per year. The brand regularly organizes various outings, parties, barbecues and national gatherings throughout the year. To mark the centenary of an "Open Road Tour" was organized and toured the cities of Atlanta, Mexico City, Sydney, Tokyo, Barcelona, Munick ... and ended at Milwaubee. The program contained various gatherings, outdoor concerts, performances for families ... In addition, with the advent of internet the brand is more visible and can issue warnings for road safety or other institutional messages more easily. Harley is now present on social networks such as Facebook (2,758,830 fans) and Twitter (37,127 subscribers).

The company's business strategy was based on focused differentiation wherein it targeted specific groups with focused products. Through focused differentiation, Harley wanted to gain a competitive edge and be unique in its industry, experts said. The company exclusively focused on the heavyweight motorcycle segment. It concentrated on mini niches such as customized, touring, and standard motorcycles in the heavyweight division. The company's family of motorcycles included the Sportster, the Dyna, the VRSC, the Softail, the Touring, the Trike, and the CVO motorcycles...

The brand struggled during the Great Depression and the stock market crash of 1929 has reduced by more than half the sales of Harley-Davidson motorcycles. But the brand bounces before the 2nd World War, thanks to 90,000 bikes it produces for the U.S. Army. After the war, Harley back in the competition with seven consecutive victories at Daytona, which later became the temple of Harley fans. In the late '50s, the likes of Elvis Presley and Marwin Lee Harley ride. The films Easy Rider with Peter Fonda and Jack Nicholson, 1969 will significantly contribute to the foundation myth of Harley 'ride to live, live to ride. "

II/Issues and challenges faced by Harley-Davidson

In 2008, the global economic recession and an aging customer base had significantly dented Harley's sales. In October 2009, the company launched a long-term business strategy called "Delivering Results through Focus". The objective of this strategy was to enhance productivity and profitability through continuous improvement in manufacturing, product development, and business operations. As part of the strategy, Harley transformed its operations to make them more flexible and customer led. It focused on shortening product development lead times, implemented flexible manufacturing, expanded globally, and offered a premium retail experience to its customers.

As the motorcycle market in the US was demographically dependent, a major problem for the company was its aging customer base. A majority of its customers who were from the baby boomers generation were aging. Moreover, the company found it tough to attract young riders who preferred sports bikes and dual-purpose motorcycles to the heavyweight models.

Issues:

- Keep

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