Harley Davidson manufactures 4 classes of motorcycles: 1) Standard

2) Performance 3) Touring 4) Custom

The Standard model is the basic Harley Davidson due to its limited features and relatively low costs. Performance is one step above the Standard Model with better acceleration and handling. Touring is a comfortable motorcycle used for long journeys. The Custom bike is a personalized and unique one.

Harley Davidson's prices range from $5,350 to $18,500. Although there is a broad price difference between the models the product can be classified as an exclusive product due to its distribution system and price.

We believe the purchase of a Harley Davidson is a high involvement product due to such considerations as price, image, opportunity cost, availability and fashion. Existing Harley Davidson owners possess some of the following salient beliefs: freedom, adventure, social scene, and power.

Harley Davidson has been a market leader in the U.S. since 1903. Over

HDI should use an aspirational leader such as George Clooney in their magazine advertising campaign in Europe. The reason for choosing a celebrity such as George Clooney is that he is well - known and fulfills the characteristics of our target market. Push strategy: HDI should review their supply management to ensure that supply = demand.

Performance bikes should be positioned as a "Made in America" brand as it generally indicates reliability and high quality. HDI should emphasize this fact throughout all its marketing activities. HDI's performance bikes should be have a high market positioning to maintain its integrity and exclusiveness.

These dealerships will maintain the high HD standards, as strict restrictions will be imposed on all their activities to ensure that HDI's brand name is not damaged. This will allow HDI to concentrate on weaker areas of their channels such as their supply management. From the 3 forms of franchise HDI should use manufacturer - sponsored retailer franchise system like BMW uses. These dealers are independent business people who agree to meet various conditions of sales and service. HDI should attempt to forge long-term partnerships with their franchisees to create a marketing system that meets the needs of both the manufacturer and the franchisee.

Harley Davidson uses the just-in-time approach for all of its custom models. They focus on producing only when ordered. They have a lower capacity utilisation but no surplus production goes into inventory. This strategy allows them to reduce excess costs needed to maintain warehouses and extra employees.

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Approximate Word count = 2542
Approximate Pages = 10 (250 words per page double spaced)