Harley Davidson motorcycles date back to 1903, when Harley and Davidson families in a wooden shed in the Davidson backyard built motorcycles in evenings and weekends. They were helped by Ole Evinrude, who became a well known manufacturer of outboard motors.
Starting with 1915 the production increased to 18000 machines per year and another brand, Indian joined it in dominating the US two wheel machine industry.
Harley Davidson motorcycles were used by the US army both in the first and second World War.
Harley Davidson
SWOT Analysis in the 1960’s
Strengths:
Ø High market-
Ø High quality
Ø High brand awareness
Ø Stable contracts
Ø Experience
Opportunities:
Ø Economic boom
Ø American product
Ø New categories of customers-
Ø Improved image of motorcyclist
Ø Increase in the market
Weaknesses
Ø Reluctance to change – when Honda penetrated the market with new strategies and products
Ø Low managerial skills- the result: they didn’t react
Ø No adequate promotional strategy- image
Ø Underestimate the competition
Ø No permanent marketing research
Ø No diversification of the products
Ø Bad distribution- they didn’t have many dealers, the existing dealers were located on the outskirts of the cities, where the gangs felt more comfortable
Ø Price – too high compared to the other existing similar products
Ø No policy for acquiring new customers
Ø High labour cost
Threats:
Ø The car industry started to develop
Ø Entrance of the Japanese competitors
Harley Problems
-Omission of changes
-They needed to do somethi ...