Question

In: Economics

how does Costs and industry structure benefit harley davidson

how does Costs and industry structure benefit harley davidson

Solutions

Expert Solution

Harley Davidson constantly make changes in three areas: 1) structure, i.e. introduction of new programs or new services; 2) technology, i.e. alteration in automation and/or equipment; and 3) people, i.e. selection, hiring, relationships, training, and attitudes. Change management is a strategy designed by the management to transit from the status quo to certain new ideal way of doing business. Change is an ever-present feature at Harley Davidson, both at an operational and strategic level

Harley-Davidson incurs costs in accordance to the procurement of materials and supplies, the operation of its manufacturing and distribution infrastructure, the maintenance of its communications and information technology infrastructure; the implementation of marketing and advertising campaigns; the management of its partnerships, and the retention of its personnel. The use of the Cost/Differentiation as a Business Level Strategy has proven highly beneficial since the company have been in business. Harley Davidson tried to differentiate themselves from their competitors in the motorcycle industry, by producing a brand image that several competitors have failed to recreate. Harley Davidson has two different companies built into one. The first of the two companies is into the production of motorcycles at prices that are competitive against their rivals. Harley Davidson demands high standards of quality and efficiency and demand reduces costs, which eventually add to a higher quality less expensive motorcycle. Moreover has done extensive research to find out information about their average customer. Thus, an efficient costs and industry structure helped Harley Davidson in their success.


Related Solutions

Here are some historical data on the risk characteristics of Ford and Harley Davidson. Ford Harley...
Here are some historical data on the risk characteristics of Ford and Harley Davidson. Ford Harley Davidson β (beta) 1.48 0.71 Yearly standard deviation of return (%) 30.1 18.8 Assume the standard deviation of the return on the market was 15.0%. a. The correlation coefficient of Ford’s return versus Harley Davidson is 0.27. What is the standard deviation of a portfolio invested half in each share? b. What is the standard deviation of a portfolio invested one-third in Ford, one-third...
Please write about Competitive Advantage of Harley Davidson in detail.
Please write about Competitive Advantage of Harley Davidson in detail.
Visit the Harley-Davidson USA website and study how the legendary motorcycle manufacturer is targeting females and...
Visit the Harley-Davidson USA website and study how the legendary motorcycle manufacturer is targeting females and younger riders. Write an informational report in memo form addressed to Dale Bell. Which of its motorcycles does your competitor promote as ideal for women and why? How about apparel? What other ways has Harley-Davidson found to attract female riders and younger bikers?
Here are some historical data on the risk characteristics of Ford and Harley Davidson.
Here are some historical data on the risk characteristics of Ford and Harley Davidson.                                  Ford           Harley DavidsonBeta                 1.36                          0.87Annual Standard Deviation of return (%)32.4                          16.2a) The correlation coefficient of Ford’s return versus Harley Davidson is 0.41. What is the standard deviation of a portfolio invested half in each share?b) What is the standard deviation of a portfolio invested one-third in Ford, one-third in Harley Davidson, and one-third in risk-free Treasury bills?
If Harley Davidson stock is trading for $25/share and you want to buy 100 shares in...
If Harley Davidson stock is trading for $25/share and you want to buy 100 shares in your brokerage account which has an initial margin requirement of 50%, what dollar amount will the stock purchase cost you? Select one: a. $25 b. $1,250 c. $2,500 d. $5,000 Clear my choice Question 3 Refer again to question 2 (see below) supposing that you bought the Harley Davidson (HOG) stock on margin and then sold it for $30/share. What would be your return...
Discuss the structure, conduct and performance of the pharmaceutical industry. How does its structure, conduct and...
Discuss the structure, conduct and performance of the pharmaceutical industry. How does its structure, conduct and performance impact patients? Given the structure, conduct and performance of the pharmaceutical industry, predict the responsiveness of the industry to a common disease as compared to a very rare disease. Assume both diseases have very similar impacts on patients.
Discuss the structure, conduct and performance of the pharmaceutical industry. How does its structure, conduct and...
Discuss the structure, conduct and performance of the pharmaceutical industry. How does its structure, conduct and performance impact patients? Given the structure, conduct and performance of the pharmaceutical industry, predict the responsiveness of the industry to a common disease as compared to a very rare disease. Assume both diseases have very similar impacts on patients.
As the marketing director of Harley-Davidson, you need to determine what your customers would like in...
As the marketing director of Harley-Davidson, you need to determine what your customers would like in the next model. You put a survey on the Harley website. is this a good frame from which to select your sample? Explain.
As the marketing director of Harley-Davidson, you need to determine what your customers would like in...
As the marketing director of Harley-Davidson, you need to determine what your customers would like in the next model. You put a survey on the Harley website. Is this a good frame from which to select your sample? Explain and cited sources.
Harley Davidson purchases components from three suppliers. Components purchased from Supplier A are priced at $...
Harley Davidson purchases components from three suppliers. Components purchased from Supplier A are priced at $ 5 each and used at the rate of 206700 units per year. Components purchased from Supplier B are priced at $ 4 each and are used at the rate of 25,000 units per year. Components purchased from Supplier C are priced at $ 5 each and used at the rate of 10,000 units per year. Currently Harley purchases a separate truckload from each supplier....
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT