macro socio cultural l.
Download
Skip this Video
Loading SlideShow in 5 Seconds..
MACRO – Socio-Cultural PowerPoint Presentation
Download Presentation
MACRO – Socio-Cultural

Loading in 2 Seconds...

play fullscreen
1 / 26

MACRO – Socio-Cultural - PowerPoint PPT Presentation


  • 481 Views
  • Uploaded on

MACRO – Socio-Cultural. Europe The population growth in Europe has been increasing since 1999 through 2002. MACRO – Socio-Cultural. The market for motorcycles or two-wheeled vehicles has stabilized just under 25,000 after a spike in 1997. MACRO – Socio-Cultural.

loader
I am the owner, or an agent authorized to act on behalf of the owner, of the copyrighted work described.
capcha
Download Presentation

MACRO – Socio-Cultural


An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -
    Presentation Transcript
    1. MACRO – Socio-Cultural • Europe • The population growth in Europe has been increasing since 1999 through 2002

    2. MACRO – Socio-Cultural • The market for motorcycles or two-wheeled vehicles has stabilized just under 25,000 after a spike in 1997.

    3. MACRO – Socio-Cultural • Registration of vehicles increased for passenger vehicles, but a decrease for two wheelers.

    4. MACRO – Socio-Cultural • Japan • The population has been steadily increasing for the past 10 years, along with the density and also the mean age of the population. • Currently the mean age of the population is 41.43 years

    5. MACRO – Socio-Cultural • The population aged 20-24 has been steadily decreasing since 1996 • The population aged 35-39 has been steadily increasing since 1997

    6. MACRO – Socio-Cultural • High population density in Japan of 349.62 people per square km • A huge surge of car ownership of 64% in just over twenty years • Japan has an extremely strained road network.

    7. MACRO – Socio-Cultural • United States • There was significant population growth in the warmer climate states such as California, Florida, Texas and Nevada.

    8. MACRO – Socio-Cultural • Currently there are 5.5 million motorcycle owners in the U.S. but only 3.9 million are registered

    9. MACRO – Political-Legal • Europe • Transportation regulations are set out by governments and agencies of the individual countries within the European Union • Legislation has been set forth to control emissions and braking systems. • Other laws regulate the use of motorcycles such as licensing, safety regulations, and equipment requirements.

    10. MACRO – Political / Legal • Japan • There is currently a new proposal for emission standards for Japan • The legal minimum age to drive a lightweight is 16 and 18 for heavyweights • Japan has responded to many American requests regarding laws for motorcycles and motorcycle riders.

    11. MACRO – Political/Legal • United States • All 50 states require motorcycle riders to obtain a special license to operate a motorcycle • Currently under the Motorcycle Helmet Act, states have different stipulations regarding mandatory use of helmets

    12. Industry Overview • The primary NAICS code is 336991 • Motorcycle & arts Manufacturing. • The annual industry sales were reportedly worth $19.2 Billion in 2003 • 12.7% increase from 2002 revenue totals. • The annual growth rate of the motorcycle industry over the span of three years is 4.11%.

    13. Industry Overview • The 2003 industry return rates are above average when compared to other industries and are listed as follows: • Return on Assets (ROA) is 10.2%, • Return on Equity (ROE) is 22.7% • Return on Investment (ROI) is 37.9%.

    14. Industry Overview • There are 17,151 people employed in the U.S. motorcycle industry alone. • Currently under the NAICS code 336991 there are 22 firms that operate solely in the motorcycle and parts manufacturing industry. • Some examples include BMW, Suzuki, Honda and Polaris Industries.

    15. INDUSTRY – Strategic Group Map Harley-Davidson Suzuki Kawasaki Yamaha Honda BMW Rough & Tough Perceived Image Sophisticated Low High Quality of Product

    16. Value Chain Analysis Corporate HQ/ Executive 3 Year sales increase • 28 % U.S,15 % Europe, 17% Japan.

    17. Corporate HQ/ Executive • The return ratio’s are significantly higher than the competition’s

    18. Market Capitalization • The market is confident that Harley-Davidson is going to remain a long term market leader.

    19. Corporate StrategyVertical Integration • Harley-Davidson is a mid-stream company with its main focus on manufacturing motorcycles. • It would not be beneficial for Harley-Davidson to backwards integrate. • It would not be beneficial for Harley-Davidson to forward integrate

    20. Vertical Integration Potential Problems and Recommendations • The dealer/Supplier relationships is the foundation of its successful supply chain management • Harley-Davidson should continue to build positive relationships to retain the competitive advantage

    21. Corporate Strategy Horizontal Diversification • Harley-Davidson is not horizontally diversified • Harley only has one NAICS code 336991 • The industry of manufacturing motorcycles, bicycles and parts.

    22. Horizontal Diversification • Harley-Davidson products and services include: • Harley Gear –clothing • Harley accessories • Harley-Davidson Financial Services • The merchandise and financial services act as catalysts to the sale of Harley-Davidson motorcycles and to the image of the Harley way of life.

    23. Horizontal Diversification • Potential Problems and Recommendations • Harley-Davidson is dominating the motorcycle manufacturing industry. • Harley-Davidson has such a loyal customer base, strong brand name and image • it would be detrimental if they diversify into markets unrelated to motorcycles.

    24. Corporate StrategyGeographic Diversification • Harley-Davidson currently operates in three main global regions: • North America, • Europe • Asia. • Harley-Davidson operates under a global strategy • It offers standardized products across global markets • Competitive strategy is centralized

    25. Geographic Diversification • International revenue accounted for approximately 18%, of net revenue • Harley-Davidson 2003 Market Share • 50% United States • 8% Europe • 26% Asia • Harley-Davidson outpaced the industry in sales in each region in 2003 • It is recommended that Harley-Davidson remains in the European, Japanese markets

    26. Geographic Diversification Potential Problems and Recommendations • The company has expressed interest in other markets • South America, Africa and Southeast Asia. • Recommend that Harley-Davidson enters the Chinese market through a strategic alliance with Zongshen Motorcycle Group. • Not recommended entry into South American or African markets at this time