Contents Executive Summary 2 1. Introduction 2 2. Business Environment Analysis 3 2.1. Motorcycle industry 3 2.2. Competitive Business Environment 4 2.3. Business opportunity and threat Analysis 4 3. Firm Level Analysis 5 3.1. Firm Financial Status Analysis 5 3.2. Current strategy and its effectiveness 5 3.3. The firm resources, capabilities and competitive advantage. 5 3.4. Strength and Weakness Analysis 6 4. The competitive environment 7 4.1. SOWT Analysis 7 4.2. Key characteristics of environment 8 5. Key issues and selection of strategy 8 5.1. Issues Harley is facing 8 5.2. Alternative Strategies 9 5.3. Selection of the most appropriate strategy 9 6. Conclusions and Recommendations 10 6.1. Factors that may threaten strategy 1 10 6.2. Recommendations 10 …show more content…
-Environmental concerns could kick in laws not favorable for Harley. 3. Firm Level Analysis 3.1. Firm Financial Status Analysis Liquidity Ratio In 2008 -1.37 In 2007 -1.72 In 2009 -1.99 The liquidity ratio is declining which is not a good sign for the business Earnings per share has fallen from 3.93 in 2006 to 2.79 in 2008. Net income has also fallen sharply in this period from over 1 billion to 654 million. 3.2. Current strategy and its effectiveness Positive -Harley has built a strong following by selling not just the bike but the experience of owning a Harley-Davidson bike. This has made the brand image very strong and such that die hard bikers would want to identify themselves with it -The Harley Owners Group is a million strong community and is growing. This automatically makes a new Harley owner a part of a large and vibrant group. -Harley allows customization of bikes according to the customer’s requirements. This allows for charging of premium prices and also captures a market where customers want a tailored bike that suits their personality. …show more content…
3.4. Strength and Weakness Analysis 3.4.1. Strengths -Well established and known brand with a glorious history -Associated with charity and social welfare -Customer loyalty once a customer buys a Harley he is part of it -Custom bikes brings in significant amount of revenues. -Strong marketing efforts in the US via national rallies, events, dealer promotions, enthusiast groups, rides and biking academy. -Broad product portfolio including standard, performance and custom bikes -Ability to compete globally “Harley’s traditional touring bikes represents only 5% of European market. Harley is competing in the standard and performance with its expanded offerings of Harley-Davidson XR1200 and NIghtster, the Buell 1125R and MV models.” 3.4.2. Weaknesses -High pricing of the bikes -Competitors are diversified, Harley is not -Marketing efforts limited to middle aged white men -Heavily dependent on US market 4. The competitive environment 4.1. SOWT Analysis 4.2. Key characteristics of environment We will make use of the PESTLE tool for analyzing the environment the company is operating
Business Strategy Cornering saturated market Our first business strategy is for huge companies to gain a good position in current market. We are targeting to be in fortune 500 companies that buy or merge other companies in the same domain. With this mission we will be dominate the market Product Quality Differentiation Making yourself unique from your competitor is the key requirement of our business success.
This way we are able to analyze the business’ strengths, weaknesses, opportunities, and threats. We next look at the operations, the financials and marketing plan to see where the company is exceling and where they are struggling. We provide
(p.2). Strategy Applied in the
Harley-Davidson/Indian Rivalry Did Indian sue Harley-Davidson in the mid 1900’s and why or was it just a rumor? Indian did sue Harley-Davidson in the mid 1900’s because Indian saw that on Harleys new model was a carburetor of his design and Indian accused Harley of plagiarizing their design of a the carburetor so Indian sued them for steeling their carburetor design. In court Harley won because Indian did not have any contract our paper work that would secure their design.
4. Lower CC bikes: With their own set of loyal & cult followers, they can attract the young customers for whom if they can launch low end heavyweight vehicle which will help the company to increase its Customer base. 3.1.4. Threats of Harley Davidson: 1. Product Substitution: The companies in heavyweight segment going global like Yamaha, Royal Enfield, Vector Motorcycles, Triumph Motorcycles, Indian motorcycles these substitutes with their low price offering can affect the overall business of
The general environment incorporates the broad economic, political/legal, sociocultural, demographic, technological and global conditions that influence an organizations. Despite the fact that these outer elements do not influence organizations that to the degree that changes in the particular environment do, administrators must consider them as they plan, organize, lead and control. In the world today, managers are managing worldwide money matters and political vulnerabilities, natural concerns in connection to a dangerous atmospheric deviation and environmental change, security dangers, corporate ethic outrages, and mechanical headways, change is a consistent. The purpose behind this essay is to analyze two factors in Toyota Motor Company’s general environment which have an effect upon its operation. Furthermore, to discuss about the degree to which these components may have an effect upon the work of the managers in this organization.
A SWOT analysis is a tool used by organisations to identify its internal strengths and weaknesses, but also the external opportunities and threats. Therefore, this allows the organisation to assess what can be used to aid in achieving their objectives, i.e., strengths and opportunities, as well as aspects that can be improved on or potential problems that can be faced, i.e., weaknesses and threats, as they pursue on achieving business objectives and/or decision making. Explained S.W.O.T. Analysis: a) Strengths Caterpillar Inc. holds a very strong brand image worldwide that directly associates it with high quality products that they provide. In 2014, Caterpillar ranked as the number one brand in heavy equipment followed by a strong competitor,
Toms shoes are made from environment-friendly materials like natural and organic vegan substance, including the packaging that is made from 80% recycled waste. Going further on the path of social corporate responsibility, the company can broaden the range of their products and services and explore additional sustainable materials to create their products. Internal Environmental Factors: Strengths 1. Mega Brands Inc. sells a wide range of products like puzzles, building blocks, construction sets, and activity craft-based games. Due to the variation in type of the products they sell, consumers have more options to choose from.
Companies succeed if their strategies are appropriate for their circumstances they face, feasible in respect of their resources, skills and capabilities and desirable to their important stakeholders-those individuals and groups, both internal and external, who have a stake in the behaviour. or expectations of the organization’s performance and fluencies over the business. They include employees, managers, shareholders, suppliers, customers or clients, trade unions and the communities local and national in which the organisation operates. Companies fail when their strategies are failed to meet the expectations of these stakeholders or produce outcomes which are undesirable to them. So it needs to consider all implications of a shift in strategy, not simply the effect a specific stakeholders
The biggest financial worry is the presence of its challengers in the business. Also, the company has to research the goods, business approaches, and other characteristics of all possible
INTRODUCTION: Mercedes Benz is a globally known brand, originated in Germany. Benz is specialized in automobiles like cars, buses, trucks, etc. EXTERNAL BUSINESS ENVIONMENT: The automobile industry is a multi-billion industry with large brands in market. It’s important to carry out analysis on microenvironment before formulating strategies.
SUMMARY In this report, I am explaining how the impact of External Business Environment on Automobile industry in UAE. Also, how the external environment factors are dominant on the growth of an industry including dimensions of management, human resource, marketing and IT tools used in the Industry. INTRODUCTION
Evaluating HOG’s role in shaping the society for Harley Davidson brand and the company’s strategy in getting new customer base and HOG’s role in doing so. 2. a) The pros and cons of alternative solution 1 to address these marketing issues/challenges.
For motorcycle enthusiasts, it could really be heaven’s gift if motorcycles come from packages delivered by the storks… This is the kind of fantasy for those wishing hard for a baby. And indeed, once you have your dream motorcycle, we doubt if anything would prevent you from considering it as your baby. But the point of this is that, you have to go over the tough decision of buying your dream motorcycle.
Strategy also defines what kind of resources we need to achieve the goals set by the