Bài tiểu luận topic times will answer a harley davison case study

 Increased production capacity would also lead to more efficiency and effectiveness – especially for controlling overhead costs  Controlled overhead costs would lead to competitive pri

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Bài Tiểu Luận Topic: Times Will Answer- A Harley Davison Case Study

Subject: Basis Marketing

Lecturers: Phùng Nhật Hải

Class: 21BBAV03

Student: Nguyễn Hoài Thương

Lê Minh Thành

ID: 2100009961

2100010840

1 Introduce your business, initial market, and marketing environment in the full forecast.

1.1 About the business.

Harley-Davidson, Inc (H-D), or Harley, is an American motorcycle manufacturer founded in 1903 in Milwaukee, Wisconsin It was one of two major American motorcycle manufacturers that survived the Great Depression, the other being Indian The company has survived many ownership arrangements, subsidiary arrangements, periods of poor economic health and product quality, and fierce global competition to become one of the leading manufacturers of the largest motorbikes in the world and

a famous brand known for its loyalty There are car owners clubs and car events around the world, as well as a company-sponsored brand-focused museum

Harley-Davidson is noted for a custom style that has created the chopper style of a motorcycle The company has traditionally marketed heavy-duty, air-cooled cruiser motorcycles with engine displacements greater than 700 cm³, but it has also expanded its offerings to include other platforms contemporary VRSC (2002) and mid-range Street (2015)

Harley-Davidson produces its motorcycles at factories in York, Pennsylvania; Milwaukee, Wisconsin; Kansas City, Missouri (closed); Manaus, Brazil; and Bawal, India Construction of a new factory in Thailand is expected to begin at the end of 2018 The company markets its products worldwide and licenses and markets merchandise under the Harley-Davidson brand, including apparel, home and decorative items, accessories, toys,

motorcycle models of all sizes, and video games based on the motorcycle family and community

1.2 Initial market

In today's competitive market, it is essential for a company to target the right market—the differential targeting strategy used by Harley Davidson

Harley Davidson's positioning among consumers is as a premium motorcycle brand known for its advanced technology and design Harley Davidson has achieved this position by launching hit after hit products, each of which is excellent and beloved for the

customization it offers

Harley Davidson uses psychographic segmentation to meet

changing consumer needs, primarily because they are a lifestyle brand You choose a Harley over others because you like to ride and you like to buy high-end motorcycles that exude classic elegance The distinctive and innovative design has helped the company make Harley-Davidson motorcycles popular around the world

1.3 Marketing environment.

Developing countries are emerging markets and these developing places are targeted by 2-wheeler companies as sales of developed countries gradually become stagnant due to a large number of players share from each other The high bargaining power of suppliers and government regulation are also making it difficult for players to maintain Emerging countries are the only hope and greatest opportunity that, if exploited, will bring sustainable advantages to the company

Harley distributes its bicycles and motorcycles through its

independent showrooms and dealerships located worldwide

Premium agencies are supported by HDFS to enable them to run their business efficiently and control their operating costs

In some markets, non-traditional stores such as ARO’s (Alternative Retail Stores) and SRO’s (Seasonal Retail Stores) are helping the company penetrate deeper into the target market These stores are extensions of the main dealers

1.4 4PS MARKETING MIX

- Product: bicycles with large displacement engines Designed like motorbikes

- The prices of the cars are in the mid-range, in a time when cars are developing, HD cars are the right choice

- Promotion: Targeting the age group from 18 to 34, belonging to all professional groups, from actors, dentists, or company directors Different in age and occupation, but these people have one thing in common: they want to Truly "return to my true self" with a Harley Davidson, traveling for miles in a feeling of freedom and a bit of "rebellion"

- Place: Harley Davidson has global coverage, especially in the US

Over decades, HD cars have continuously developed and become a tradition of the American people with their dusty style The cars are constantly improving to better suit today's market, along with branches around the world, HQ cars are gradually covering the world The following are the highest-grossing cars sold

2 The product/ market expansion

2.1 market penetration

One of Harley-Davidson's five long-term strategic goals is "Business Development"

Without Increasing the Impact on the Environment.”

NIncrease production capacity

 Increased production capacity will allow Harley-Davidson to reach more customers within the same market

 Increased production capacity would also lead to more efficiency and effectiveness – especially for controlling overhead costs

 Controlled overhead costs would lead to competitive pricing and would appeal to the consumers in the same market

 Increased attractiveness and competitive pricing within the same market will lead to increased sales and consumption – and thus a higher market penetration

2.2 Increased marketing investment

 Can also increase its investment in marketing and advertising activities to increase market penetration

 Should try to develop and design engaging communication content that is relevant to its various market groups

 Engaging communication and investment in marketing activities, and advertising will allow the Harley-Davidson to reach more consumers within the same market

 With higher marketing investment, the Harley-Davidson will be able to increase its market penetration within the existing markets for existing products

2.3 Enhanced distribution

 The Harley-Davidson can explore new and innovative means of distribution

 The Harley-Davidson can also explore new channels of distribution for their products

 New and enhanced distribution channels and strategies will allow the Harley-Davidson to reach new consumer segments and consumer groups in the same market – which may have been inaccessible previously

 Improved supply chains and distribution systems may lead to increased penetration within the same market by improving accessibility

2.4 Competitive pricing

 TheNHarley-DavidsonNmay introduce competitive pricing and price cuts to increase the appeal of its products

 Competitive pricing will be a source of competitive advantage for the company, and will lead to enhanced consumer engagement with the product

 At the same time, competitive pricing will increase the sales for the Harley-Davidson and lead to increased penetration

2.5 Reduce operational costs

 The Harley-Davidson can reduce operational costs to increase competitive pricing

 Competitive pricing will help the Harley-Davidson increase its sales volume and consumption

 Lower operational costs will lead to less costs being passed on

to the consumers, and will make the products offered by the Harley-Davidson more desirable and affordable

 Higher affordability and accessibility will help the Harley-Davidson increase its market penetration

2.6 Acquiring competitors

 The Harley-Davidson can acquire competing players in the market

 The acquisitions will give the Harley-Davidson leverage in reaching different consumer groups and segments

 The acquisitions will also allow the Harley-Davidson to develop leverage through diversified supply chain and distribution channels

 Acquisitions will lead to higher penetration through improving the Harley-Davidson’s accessibility of different consumer groups and segments in existing markets

2.7 Partnership and joint venture

 The Harley-Davidson can also enter strategic p[partnerships and joint ventures with other players in the market

 These can be players belonging to similar industry, or even different industries

 Strategic partnerships and joint ventures will allow the Harley-Davidson to gain access to different consumer groups, and their market behaviour and consumption patterns

 Additionally, the Harley-Davidson will be mitigating risk factors through limited investment – which in turn will safeguard it against potential losses

 Joint ventures and partnerships can provide the Harley-Davidson with guided means of increasing penetration in existing markets

2.8 New product benefits and features

 The Harley-Davidson can identify new features and characteristics in existing products for existing markets

 This identification will lead to innovative and novice product consumption purposes and behaviour

 Consumers should also be made aware of these new and innovative usage patterns and consumptions ways of theNHarley-DavidsonNproducts by the company

 Increased marketing and communication of new product use and benefits, along with characteristics and features will lead

to increased consumption in existing consumer groups and segments, as well as in new consumer segments and groups

 This will facilitate the Harley-Davidson in improving its overall market penetration in existing companies

2.9 Increased frequency of consumption

 The Harley-Davidson can also initiate communication and marketing aimed at increasing the frequency of consumption

of the products in existing markets

 Increased consumption frequency will lead to an overall increased consumption

 The Harley-Davidson will thus be able to increase the sales volume sold to existing consumers in existing markets

 The company will be able to increase its market penetration through these means

has completely replaced the confusing and noisy transmission chains with specially improved belts The history of Harley Davidson now turns to a new page with a technical miracle, it has laid the first brick for more than 20 years after the brilliant and solid success of the American tycoon

In 1999, Harley-Davidson officially parted with the EVO Big Twin engine and replaced it with a new generation of very modern EVO Twin Cam 88 engines The outstanding advantage of this new engine line is the lighter weight and has a much larger capacity than the Big Twin

In 2002, Harley released its first racing model with a Porsche engine:

1300 cc, reaching maximum torque of up to 9000 rpm and

especially a completely different cylinder angle of 60 degrees completely with the previous engine type

3 Challenges affecting the company Problems in business expansion, market acquisition, product development, and current marketing efforts may be worth mentioning.

3.1 Challenges affecting the company.

With Honda and BMW, two famous brands with Goldwing and K1200LT cars that have been "making waves" in the luxury car segment for many years now, Victory's appearance at Cycle World this time may make designers worry For Harley, this is the return of something the company has not seen for nearly 50 years since the legendary Indian went bankrupt in 1953 - a formidable competitor with American nationality

Since the 1960s, despite facing competition from Japanese

motorcycle manufacturers such as Honda and Kawasaki, both in price and engine capacity, Harley-Davidson is still the only major American company producing motorcycles machine and this is also the factor that makes it attractive and creates a unique position for the company in the motorcycle market and many other lucrative business fields There have also been many companies trying to compete with Harley but they all failed Harley is such a strong brand

3.2 Business expansion.

But difficulties continued to come to Harley-Davidson when the US economy fell into the Great Depression in 1930, the company's sales decreased by nearly 80%, only holding on at 3,000 vehicles per year

When the crisis passed, Harley-Davidson was one of the only two motorcycle brands left on the market, but the remaining

manufacturer also soon stopped production in 1953, leaving a huge market for the motorcycle company "symbol of the United States" Harley-Davidson took a big step forward in 1970 when it

transformed itself from a "motorcycle company" to a "lifestyle brand", with a series of products such as jackets, vests, T-shirts, and many other lifestyle items by Harley-Davidson

This was a very wise move heading into the 1980s, as the economy quickly became vibrant after a long hiatus due to the war, leading to

a surge in sales

During this period, Harley-Davidson's loyal customer base exploded

to 90,000 members, boosting profits to $3 million by 1984 Harley Davidson maintained its growth rate until the early 21st century and broke all records in 2006 with profits of approximately $1 billion and stock prices reaching all-time highs

3.3 Product development.

In the 2000s, Harley-Davidson was one of the world's largest motorcycle manufacturers with many loyal fan groups around the globe This iconic brand is known for its distinct motorcycle style and manufacturing plants spread across the US, Brazil, India, and Thailand

Harley-Davidson not only dominates the motorcycle market but also owns many items such as clothing, decorations, accessories, toys, models, and video games based on the product line that has been and is being sold

capacities from 500 to 1,250cc Still has the traditional V-Twin form, but this new engine line will be liquid-cooled and likely to have

DOHC dual-valve actuated valves, instead of air/oil cooled and use OHV push trigger cam is similar to current Harley-Davidson lines Along with the engine, the company also designs several frame and swingarm styles to suit more vehicle designs

With new engines and frame systems, Harley-Davidson will also for the first time create more trendy bike designs that are popular with customers such as the Adventure and Streetfighter In particular, the Adventure will be officially named Pan America, using a 1,250cc engine Meanwhile, the Streetfighter model will have a 975cc engine In

addition, Harley-Davidson will also create a cruiser model with a muscular and modern design based on this new engine line All three models mentioned above are expected to be officially launched in 2020

3.4 Marketing market.

Harley-Davidson has become a symbol of the American economy, surviving two World Wars and continuing to grow through the Great Depression But the 2007 economic recession finally "knocked down" the motorcycle company, when for the first time since its founding, Harley-Davidson's revenue and stock price plummeted for many consecutive years

This crisis forced Harley-Davidson to stop all plans to expand customer segments, especially plans to "please" the younger generation To survive against the new threat, Harley-Davidson was forced to produce large, bulky models, focusing on the company's existing loyal customer segment

And these "oversized" car models always come with high prices and classic designs, characteristics that young users never want, as they