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External Analysis of the Motorcycle Industry

Like other companies, HD operates in a complex global industry. In order to develop and execute a successful strategy, the HD Motorcycle Corporation must take into account the global automotive environment. In this case assignment you are going to be asked to discuss HD from a strategic perspective.

Please read the information in the background material, look for more information, and then write a 4 to 5 pages report for your professor and the executives of HD corporation by answering the following questions:

i) What are HD's Opportunities for moving forward in the competitive motorcycle manufacturing and sales environment?

ii) What threats does the company face?

iii) Consider the Lehman Trikes case study below. To what extend do you think the alliance between HD and Lehman Trikes presented an opportunity for HD? To what exent do you think this was an opportunity for Lehman? Make sure you support your arguments.

Here is the Lehman Trikes article:

Looney, D. C., & Ryerson, A. (2011). Lehman Trikes: A story within a story. Journal Of The International Academy For Case Studies, 17(7), 45-58. (Available via the Library by way of the EBSCO database). This case case study is attached.


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i) The opportunities that Harley-Davidson has for moving forward in the motor cycle manufacturing and sales markets include Global expansion. Its heavy bikes have not been property marketed in the emerging economies. Even in countries where Harley-Davidson is available the dealers have relatively weak networks, the marketing communication is weak, and after sales service is time consuming. If Harley-Davidson markets its products globally, its sales and profits will growth. Another opportunity for Harley-Davidson is that it should develop and launch several lighter and less costly bikes for other segments of the market. New product launches in other segments of the motorbike market will make the company more competitive, and help increase its market share. Capital investment in modern plants that make excellent bikes at low cost represents a good opportunity for Harley-Davidson. It should raise more capital and invest in modern bike making plants so that the production of low cost high performance bikes comparable to the best in the world can be made. Another opportunity for Harley-Davidson is to invest in research and development and innovate. Innovation can improve bike design, bike performance, and reduce fuel consumption. Each of these elements represents a substantial new market for Harley-Davidson. Another set of opportunities is that Harley-Davidson can acquire other bike making companies that have the technical knowhow and ability to make different types of bikes. Such acquisitions will not only bring technical expertise to Harley-Davidson but will also increase its production, revenues, and profits. Acquisitions will also provide access to Harley-Davidson to new markets and distribution networks. These will also give HD access to service networks of the acquired company. One excellent opportunity for Harley-Davidson is the increase in fuel prices. It should ...

Solution Summary

The answer to this problem explains eternal factors of Harley Davidson . The references related to the answer are also included.