The Internal Environment Harley-Davidson’s Strengths and.doc

Analysis of the Harley-Davidson Corporation Business Decision-Making Professor Barbour 11/21/06 The Andrews Team: Abdulaziz Abukar Nikki Behr Lei Bowman Josh Monacella Table of Contents Executive Summary……………………………………………………………….3 Company History………………………………………………………………….4 Corporate Governance……………………………………………………………7 A. Board of Directors…………………………………………………………………7 B. Top Management………………………………………………………………….10 External Environment: Opportunities and Threats (SWOT)…………………11 A. Opportunities………………………………………………………………………11 B. Threats……………………………………………………………………………..14 C. Porter’s Analysis……………………………………………………………………17 Internal Environment: Strengths and Weaknesses (SWOT)…………………...20 A. Corporate Structure and Culture………………………………………………..21 B. Key Strengths…………………………………………………………………..22 C. Financial Position………………………………………………………………25 D. Key Weaknesses……………………………………………………………….33 Recommended Strategy…………………………………………………………...36 Implementation…………………………………………………………………….37 Appendixes…………………………………………………………………………42 Appendix A: Financial Ratios…………………………………………………..42 Appendix B: EFAS Table………………………………………………………43 Appendix C: IFAS Table……………………………………………………….44 Appendix D: Balance Sheet…………………………………………………….45 Appendix E: Income Statement……………………………………………46 Works Cited………………………………………………………………….47 Harley-Davidson Corporation Andrews Team Executive Summary We recommend that Harley-Davidson implement a horizontal growth strategy. It should expand its products deeper into the international market by opening new dealerships in China by the end of the second quarter of 2003. The firm should also concentrate on expanding its production capacity to meet growing demand in both the foreign and domestic motorcycle markets. The company should increase the production capacity of each of its seven domestic manufacturing facilities by ten percent. This will help to e