Harley-Davidson Case Study
Introduction of the Company
In 1903 William Harley and Arthur Davidson produced the first Harley-Davidson motorcycle for sale to the public. The first year’s production was only three motorcycles with one dealer. In 1909, Harley-Davidson introduced the first? V-twin engine, which is still the company standard today. Harley-Davidson rapidly grew to the largest motorcycle manufacturer in the world by early 1920s, with 2,000 dealers in 67 different countries.
By the 1930s all of the American competition was gone. Harley-Davidson suspended production of civilian motorcycles during World War II, and only built motorcycles for the military, exclusively. When the war was over, Harley-Davidson converted back to civilian production. Harley-Davidson's growth was fueled by acquisitions as well as capitalizing on new technologies. In 1969 Harley-Davidson merged with American Machine and Foundry (AMF). By the 1970s other competitors were entering the global market, and many of them were from overseas.
In an attempt to transform the company, in 1981,a senior executive of Harley-Davidson bought the company from AMF and turned the company around dramatically. Harley-Davidson emerged with new products and innovations along with a new commitment to quality, creating the dynasty Harley-Davidson has become today.
Harley-Davidson's success continued to grow as they received tariff relief from the International Trade Commission on 700cc motorcycles. Another event contributing to Davidson's renewed success was the formation of the Harley Owners Group (H.O.G.). This company sponsored club consisted of riders who transformed motorcycling into a family-oriented social sport. It continues to be very successful with 600,000 owners and 1,200 chapters worldwide.
Internationally, Harley-Davidson revenue has exceeded $816 million, which accounts for 18% of the net revenue for motorcycles. The Harley-Davidson emblem is an international icon and the sound of V-twin engine is unmistakable. Harley-Davidson is the number one motorcycle manufacturer and is also the number one seller of heavyweight bikes in the U.S. They also sell a line of clothing and accessories as well as make bikes under the Buell nameplate. Harley-Davidson’s attire has attitude and rightfully so, there is no other motorcycle as classy as the “Harley”. One Harley-Davidson tee-shirt slogan seems to capture the spirit by simply stating, “Put your ass on some class” (Williams,2004,1).
Mission and Vision Statement
Analysis of Mission Statement
Harley Davidson’s Mission Statement states:
“We fulfill dreams through the experiences of motorcycling, by providing to motorcyclists and to the general public an expanding line of motorcycles, branded products, and services in selected market segments (David, 2003 p12).”
The components of a mission statement should address; attention to customers, products and services the company provides, technology, concerns for...