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Harley Davidson Marketing Analysis

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Since Harley Davidson prides their brand equity on providing the consumer with a sense of independence, expression, and adventure they ultimately must focus on consistency without much deviation from their core products. For this reason Harley Davidson must identify opportunities for growth within their current business, or intensive growth.

In intensive growth it is the goal of Harley Davidson’s management to review any opportunities for improving existing business. To do this they use the product expansion grid, which considers growth opportunities for current and new markets and products. Within the expansion grid there are three strategies that include “market penetration”, “market development”, and “product development.” Harley Davidson utilizes all three intensive growth strategies to increase their sales and profits.

Harley Davidson uses the “market penetration strategy” to gain more share with its current products in its current markets by doing what they do best and sticking to it. Harley management applies their marketing appropriately in accordance with their customer’s needs, and nothing more. They market to passionate riders who immediately feel an “attitude adjustment” upon starting up their hog. Through the sub culture that Harley Davidson products have created over the years they must encourage current customers to buy more by offering products other than motorcycles such as clothing, events, museums, and community gatherings that all help them obtain more market share in their current market.

When it comes to utilizing the “market development strategy” Harley Davidson has identified potential customers in their existing sales areas by offering products other than their motorcycles. By doing this they have opened up a new market where they can attract customers who find the brand appealing but are not interested in purchasing an

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