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Strategic Management of Harley-Davidson - Research Paper Example

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The essay “Strategic Management of Harley-Davidson” is based on the objective to evaluate the external as well as internal environment of Harley-Davidson. The discussion shall further intend to analyze the strategic management initiatives undertaken by the company…
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Strategic Management of Harley-Davidson
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"Strategic Management of Harley-Davidson"

Download file to see previous pages Notably, the company is a US based multinational which specializes on motorcycles. The company was established in the year 1903 and is recognized to possess a strong competitive stance in the current market scenario of the 21st century (Harley-Davidson, “History”). Based on this thought, the essay shall conclusively intend to identify the major opportunities and threats existing in the US market and the strengths as well as weaknesses possessed by the company. 2.0 The External Environment 2.1 Factors of the Natural Physical Environment Affecting the Corporation and the Industry The components belonging to the natural physical environment of the USA, which affect Harley-Davidson and the motor vehicle industry, can be identified as the energy sources and the trend in its consumption and pricing. The energy sources existing in the US natural physical environment are bioenergy, fossil fuel, coal, hydrogen, hydropower, oil, solar, wind, geothermal and others. It is worth mentioning in this context that the economy maintains a strategic reserve of fuels in order to face the future challenges. This provides the company and the industry with the opportunity of minimized threats in terms of lacuna in energy efficiency of the economy and increasing prices of the fuel which in turn can hamper the future prospects of the company and the industry as a whole. On the contrary, it also raises the future threat of stringent legal barriers and increased tax rates due to the reduction in the level of reserve (U.S. Department of Energy, “Strategic Petroleum Reserve Annual Report for Calendar Year 2009”). 2.2 General Environmental Forces Affecting the Corporation and the Industry US economy is observed to be at its recovery stage, after being strongly affected by the recent global recession. The GDP rate is growing moderately with an increase in the unemployment rate. This in turn is expected to reduce the consumer purchase rate and thus prove to be a significant threat for the company and the industry in the current phenomenon (The Economic Times, “US Economy Grows 1.8% In Q1, Jobless Claims Rise”). However, political reforms can be recognized to provide with significant opportunities with facilitated investment in the technology sector (U.S. Census Bureau, “Science and Technology”). With the growing influence of the climate change and other environmental hazards, the US economy has undertaken several strategic measures to reduce greenhouse gas emissions caused by the motor vehicle industry. The measures include strict legal barriers under the regulatory bodies such as, National Emissions Standards for Hazardous Air Pollutants (NESHAP), Clean Air Act (1970) and others (United States Environmental Protection Agency, “Automotive Repair and Maintenance Sectors (NAICS 8111)”; Natural Resources Defense Council, “U.S. Environmental Laws”). ...Download file to see next pagesRead More
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