M8-S2 - Case - Harley-Davidson
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Success drivers:
- Brand recognition
- Exciting products and services
- Mutual beneficiary relations with suppliers
Business strategy:
- Increase demand
- Enhance production
- With the goal of growing earnings faster than revenue
- Increase brand exposure through events
- Due to limitted production capabilities dealers could ask for up to 20% premiums over suggested retail price
Purchasing:
- Conducted online through traditional or internet based EDI
- Suppliers expected to be Harley-Davidson trading partners
- Reduced the number of suppliers from 4000 to 800
- Reduced defect rate
- Reliable forecasts for suppliers through e-commerce
e-business/e-commerce strategy:
- Online catelog
- Online 'branding' and life style reading
- Online purchase of complementary assets (motor races)
- Online insurance
- Communicate with dealers on service tips
- Later added online purchase of assecories and merchandise
- Stimulation purchase with dealers: "selling the harley davidson" experience
