Answer & Explanation:Business Unit Analysis
Directions:
Create a Feasibility Study for Harley-Davidson using the following outline:
Part I: Differentiation Strategies
The
analysis of current strategy and competitor analysis you conducted last module
impressed the senior vice president. She now needs you to delve into the brands
and analyze them by conducting a business unit analysis and presenting your
findings in a three-part PowerPoint presentation.
Research
the Harley-Davidson (H-D) Web site for each brand, and review the annual report
for relevant details of the size, scope, target market, services and amenities,
and other salient points of differentiation. Include these details in Part I of
your PowerPoint presentation.
From the research and analysis of
the business units, identify:
·
A
description of each brand that provides a clear picture of the brand and its
place in the overall portfolio of Harley-Davidson.
·
The
target market of each brand.
·
How
the brands are alike and how they differ.
·
A
preliminary analysis of any gaps that exist in the portfolio that might lead to
opportunities to add to the brands.
·
Your
analysis of possible merger/acquisition/joint venture possibilities and what
would be achieved or accomplished through the merger/acquisition/joint venture.
Part II: SWOT Analysis
Perform a SWOT analysis for
Harley-Davidson and include this information in Part II of your PowerPoint
presentation.
·
Based
on the internal analyses of the SWOT analysis, assess the functional areas,
resources, capabilities, and strengths H-D possesses. Please be sure to cover
the following functional areas in your assessment:
o
Marketing:
New product development, integrated marketing planning, marketing
communications, and building customer loyalty.
o
Operations:
Quality, service, and consist
ent execution.
o
Human Resources: Hiring, training, developing talent, and performance planning. Avoided
lawsuits and bad PR due to its hiring practices. Is ethical in its HR
practices.
o
Executive Leadership: Industry knowledge and experience, vision about where the
industry is heading, and strategy execution.
o
Supply Chain Optimization: Strategic sourcing of input, vendor management, integrated
IS, and joint forecasting with suppliers.
o
Corporate Responsibility and Ethics: Concern for corporate citizenship and the
environment. Present any potential ethical concerns as well.
o
Safety and Quality: How the motorcycle industry is dealing with safety and quality issues.
Part III: Growth and Profitability Strategies
In
addition, the executive board is interested in your ideas about bold strategies
for the future. The strategies you recommend will have to contribute to growth
and profitability, as outlined in the Annual Report.
You will
want to pay special attention to exploring vertical integration, strategic
alliances, and the internal growth of new brands entering new geographic
markets, and/or additional acquisitions.
Consider
the following:
·
Is
Harley-Davidson, Inc., (H-D) competing in the right businesses, given the
opportunities and threats present in the external environment? If not, how can
H-D realign its diversification strategy to achieve a competitive advantage?
·
This
may include additional diversification to take advantage of opportunities such
as further vertical integration.
·
Is
the corporation managing its portfolio in a way that creates synergy among its
businesses? If so, what additional businesses should it consider adding to its
portfolio?
After you have reviewed the growth
and profitability strategies, create a list of possible strategies to present a
full range of ideas.