CONTENT

ARGUMENT ……………………………………………………...…2
PRECIS ……………………………………………………................3
INTRODUCTION ………………………………………………...…5
CHAPTER 1 THE HARLEY-DAVIDSON STORY ……..………7
CHAPTER 2 THE THREE M`S OF HARLEYS SUCCES …..…10
MANAGEMENT ……………………………………10
MARKETING ……………………………………….14
MANUFACTURING ………………………………..17
CHAPTER 3 HARLEY-DAVIDSON: A BUSINESS CULTURE
TRANSFORMED INTO A WAY OF LIFE ……………….………22
CHAPTER 4 H.O.G. …………….………………………………24
CONCLUSION ………..……………………………………………28
APENDIX …………..………………………………………………32
BIBLIOGRAPHY …..………………………………………………33

1
 ARGUMENT

Ever since I was a little child motorcycles represented an attractive domain in

which I was very interested and the desire of having one of my own was
irresistible. At the age of 16 I finally received one from my parents as a birthday
gift and this made me realize what riding a motorcycle means. Suddenly I
became much more interested in bikes. But the main reason for which I have
chosen this theme is that Harley Davidson represents the peak in motorcycling
experience. Even thought I don’t own a Harley and I will probably never afford
one, I once rode a Harley Davidson motorcycle and that was the moment when I
realized what a Harley really represents. It represents the American dream of
freedom, the liberty of spirit

2
 Précis

The whole work is structured in four chapters all being focused upon the history
of the Harley-Davidson trademark, the company which emphasizes heavy bikes
designed for cruising on the highway and known for their distinctive exhaust
note, and the marketing ideas and innovations that made it a living legend. In
addition to this the work contains precious information about the Harley
Owners Group (H.O.G.) a group which transformed a Harley-Davidson bike
into a way of life due to organized group rides, exclusive products, product
discounts and H.O.G. Tales newsletter.

The first chapter introduces us in the glorious world of Harley-Davidson with a

short presentation of the manufacturer’s history. Arthur Davidson and William
S. Harley were schoolmate friends that shared a mechanical passion and strong
desire to join the other motorcycle pioneers. They rekindled their relationship
while working at the same factory in Milwaukee. Together they began to study
mechanics focusing on motorcycle engines. In 1901 they had four engines
designed and ready to be fitted to bicycle frames. In 1903 the first Harley-
Davidson motorcycles were built. The rest is history…

The second chapter points out three important factors that stood at the base of
Harley-Davidson trademark success: management, marketing and
manufacturing. Although all three methods are not new concepts in the business
world, just-in-time inventory, employee involvement, and statistical operator
control are the attributes of the productivity triad. Just-in-time inventory was the
driving force of Harley's quality-improvement program.

No driver is more proud of their vehicle and more devoted to a brand than the
owner of a Harley-Davidson... Having a Harley means much more than driving
a motorcycle... It means belonging to a select group of people with similar
characteristics and affinities, but, above all, with a common denominator: their
devotion to the same brand. How did Harley-Davidson achieve the miracle of

3
having the most loyal and devoted customers in the world? You cant find out in
chapter three.

The final chapter is focused upon a much more detailed presentation of H.O.G.
(Harley Owner Group). The group is dedicated to promoting responsible
motorcycling activities for the Harley Owners Group members, through local
and national H.O.G. events. H.O.G. members are concerned with helping those
that share this earth with, as well as the obvious... riding bikes and having fun.

4
 Introduction

Motorcycles come in all sizes, several shapes, and plenty of colors.

From the 50cc Gritzner Monza Super Sport to the 1300cc Suzuki Hayabusa, the
only common
factor is an engine and two wheels; although adding a third wheel in the form of
a sidecar doesn’t appear to
affect the definition.
They are motor and cycle. Getting the two to work effectively, and together, has
always been a challenge
for designers and engineers. Using them effectively has been the challenge for
riders. Three bhp with no
suspension or brakes on rutted and dusty roads in 1990 was probably just as
daunting as 120 bhp a century
later.
Motorcycles have always been more than just a means of transportation.
From that moment in 1885 when Gottleib Daimler's
son set off on the first motorcycle journey, a 10-km trip during which the rider's
seat caught fire (definitely the first "Hot Bike"),
motorcycles have moved us literally as well as metaphorically. Motorcycles
tickle something in boys and men especially, but in girls
and women too. It is probably to do with escape, excitement, and technology;
the combination of their physical form, their extraordinary
ability, and the meaning that they have acquired in the 20th-century culture.
Throughout the history of the motorcycle there has been a common quest
from rider and engineers -- performance. That is performance
relating to power, performance relating to reliability, performance relating to
comfort. Motorcycle buyers have also had a more-than-passing
interest in good looks; what's the point of a great performing bike if it's ugly?
Along the way some people also demanded economy, but it was
never a top priority for anyone who was interested in chasing his mates down
the by-pass or impressing girls. Racing and competition have
always driven the development of the machines and the desires of the buyers.
From that bizarre moment when two pioneer riders met on

5
a dusty road and immediately began boasting of performance of their bikes,
there has been motorcycle racing. The direct result of that
competition has been technological leaps driven by the need for racing success,
but which soon transfer to sporting road bikes and eventually
to the simples moped. Sometimes those developments have been small, a
change in the shape of a carburetor throat or a modification to the
material used for the wheel spokes. Sometime they have been huge -- the
appearance of disc brakes, float carburetors, or telescopic forks.
Sometimes the manufacturers didn't move fast enough. Owners would fettle
their bikes, improving performance, changing the looks,
tailoring the bike to their needs whether for cosmetic or functional reasons. Few
motorcyclist have ever been able to resist customizing
their bikes in however small a way. And racers have always looked to make any
allowable alterations to give them the competitive edge.
Some people have built their own bikes. In the early years of 20th century,
with little competition, it was comparatively easy to become
a motorcycle manufacturer. A selection of bought-in components thrown
together with a unique name on the fuel tank was almost all you needed
to qualify. Now you need a unique vision to justify the development process and
cost necessary to produce even a few bikes with your own name
on the tank. Fortunately some people still have that drive and new names still
crop up from around the world. Look at the amazing Britten. It is not
just a functional race bike, but an amazing high-tech sculpture.
For most people, performance is not the only buying criterion. In fact, in the late
20th and early 21st century, when the performance of many
machines exceeds the ability of many riders, it is not even the main criterion no
matter what the buyer may say. Looks, and what they mean, are
vitally important. People have always been concerned about what their choice
says about them. What did it mean to buy a Harley-Davidson compared
to an Indian in 1920s America? And what does it mean to buy a Ducati
compared to a Suzuki in the 21st century? Psychologists can and do write
these on motorcycles and their owners.
The motorcycle as cultural icon has been influenced by films like "Easy
Rider" and "The Wild One", and although the bikes
depicted in these films weren't really performance machines, they have affected
our ideas about why we want a motorcycle and how we want that bike
to look. For me the most desirable bike is a Harley Davidson Road King, for
others it is a Ducati 916. There are no rights and no wrongs, but in every
class of machine, throughout the evolution of the motorcycle, there has been a
class leader. An acknowledged champion to which people aspired.
The hottest bike in the class.

6
 Chapter 1
The Harley-Davidson Story

In the world of motorcycling there is a manufacturer and their bikes that stand
out over all the rest. Harley-Davidson motorcycles are the best motorcycles in
the world because of heritage and tradition, the come back after a difficult era,
and the support from the bike owners that is a carefully maintained cult.

Arthur Davidson and William S. Harley were schoolmate friends that shared a
mechanical passion and strong desire to join the other motorcycle pioneers.
They rekindled their relationship while working at the same factory in
Milwaukee. Together they began to study mechanics focusing on motorcycle
engines. In 1901 they had four engines designed and ready to be fitted to
bicycle frames. In 1903 the first Harley-Davidson motorcycles were built. The
brand appeared in ads and articles describing the motorcycle that would become
a legend. Three motorcycles were produced between 1903 and 1904 and were
sold before they were even built. During this time Walter C. Davidson Sr. and
William A. Davidson joined Arthur Davidson and William S. Harley and on
September 17, 1907 the Harley-Davidson Motor Company was officially
registered with the U.S. Trade and Company Register Office. The management
rolls were assigned at the registration with Walter C. Davidson as President,
William A. Davidson as Vice-President and Works Manager, Arthur Davidson
as Secretary and General Sales Manager, and William S. Harley to serve as
Chief Engineer and Treasurer. Even though the titles were assigned, each
person could intervene in all sectors.

Harley-Davidson began participated in motorcycle racing in 1904 and benefited

from commercial implications of the numerous victories won by their bikes. It
was not until 1913 that the company decided to establish an official racing team.
Early racers such as Ralph Hepburn and Eddie Brink put Harley on the track
and won races with these machines, later Joe Petreli and Red Parkhurst. Joe
Petreli first raced on an Indian motorcycle, and then made a name for himself
by racing Harley-Davidson's. Harley interrupted their racing from 1926 to 1931

7
and Petreli raced for the Excelsior Company, which shut down in 1931. Petreli
again race for Harley when the company started their race teams back in 1931.
Red Parkhurst became a big winner for Harley and had a long career of
motorcycle racing for Harley. Participating in motorcycle racing gave Harley an
edge on research and development of their motorcycles.

In 1914, war broke out in Europe and in 1917 the United States declared on
Germany. During this difficult period of time Harley-Davidson equipped many
of their machines with military equipment. Harley studied the needs of the
military and adopted their motorcycles to meet the needs of the soldiers in the
field. During this time period Harley established a service school to train
mechanics to repair the machines that had breakdowns from a hard and
demanding use. Twenty thousand motorcycles were used in this conflict.

In this time period, which was the beginning of motorcycling in America, there
was the big three in motorcycling, Indian, Excelsior and Harley-Davidson.
Excelsior disappeared in 1931 and Indian in 1953 leaving only Harley-
Davidson. Almost one hundred years later the legend continues.

This year Harley-Davidson introduced a new motorcycle, which they have

named the V-Rod. Harley has always enforced a considerable amount of
research and development when introducing a new model and the V-Rod was
put through the works. The V-Rod has a new engine, which is built around the
engine that the Harley-Davidson race team has been using. V-Rod had to have a
special frame to accommodate the new engine and so began the design. After
the machine was built it was driven several hundred thousand miles and then
ran through testing which included water testing. After being sprayed with high-
pressure water nasals for over twenty-four hours, the V-Rod started
immediately. The V-Rod was in development for six years. No other
motorcycle company spends the kind of time and money in development that
Harley-Davidson does.

In 1960 Harley-Davidson negotiated with an Italian company to build and

distribute lightweight motorcycles. The American company was only making
the big V-Twins and there was thought that to be more competitive they needed
to be producing a mid-size line. People begin to see Harley's that they did not
recognize, bringing to question where the company was going. There were
younger people who were interested in more of a leisure machine and these
lightweights met their needs.

In 1967 the Harley-Davidson Company after several lean years was threatened
by bankruptcy and accepted an offer to buy out the company by AMF
(American Metal Foundries). This buyout ended sixty-two years of the private

8
family owned company. AMF realized some of the problems the company had
and decided that the way bring it back to the top was to produce large numbers
of motorcycles quickly and cost-effectively. For the first time three letters
appeared beside the Harley-Davidson name on the gasoline tanks, AMF. Harley
was now trying to compete with the Japanese, which they could not do on their
own ground, which was mass production. With the speeding up of the assembly
line, it became apparent that the quality control which Harley had always been
so concerned with was not deteriorating. As production increased there was a
significant drop in quality. Since there was not enough space for working on
this amount of machines, they were pushed through without adequate time or
careful assembly. From this analysis, the only solution was to keep developing
motorcycles that had built the company's success and legend, solidity, quality
and reliability.

In 1981 the Harley -Davidson executives who were disappointed with AMF
decided they would try to buy the company. Because the company was
considered to be beyond recovery, they were able to purchase it at a good price.
After the buy, some critised AMF for not taking better care of the classic
company. Harley-Davidson began its new beginning and reclaimed its good
name.

The people that ride Harley's have always supported the motorcycle and the
company, even through the lean years when they did not agree with
management of the company. There are Harley riders that believe that riding
this brand of motorcycle is a way of life, which is the American way. There are
several big events that take place every year that celebrate the glory of Harley-
Davidson motorcycles. A lot of these events began as gatherings for all kinds of
motorcycles but now have mostly Harley owners attending. There is the
Daytona Bike Week and the Sturgis Rally in South Dakota, which regularly
attracts over one hundred thousand participants.

In 1983 Harley-Davidson started the official club, which is know by the

acronym H.O.G. that stands for Harley Owners Group. Ten years after the club
was established the club had more than one hundred fifty thousand members
and almost 700 chapters. These chapters have organized rallies and drives with
the profits going to several charities all in the name of the famous motorcycle
company. The evidence shows Harley riders clearly love their bikes and the
company that for almost one hundred years has been producing the motorcycle
that has been called Milwaukee Iron.

Hog Tales is a bi-monthly magazine, which is strictly for Harley-Davidson

owners. In the magazine you will find articles that relate to Harley owners and
the motorcycles they love so much. So many of these owners have brought their

9
families in to circle of motorcycling and you can find stories that relate to wives
or even daughters who have started riding with their husband or father. The
magazine keeps Harley owners in touch with what is happening such as the
rides and rallies, which are taking place across the country and where they will
take place. It also describes rallies that have past and all the happenings that
went on for those who were unable to attend. There are articles that feature
riders, introducing them to the rest of the Harley family describing something
special they participated in. Harley riders love nothing better then to get on their
machines and with a group or even solo ride to some special place to see
another part of this beautiful country. The magazine describes special programs
such as the fly and ride program which allows people to fly to a shop to buy the
Harley of their dreams and ride it home.

The Enthusiast is a magazine that Harley has been publishing since 1916, which
offers articles like Hog Tails but also highlights different machines.

The 1960's brought a lot changes to the American civilization such as the wider
spread of Rock and Roll, the thought that if it feels good do it and Harley
owners begin to change the way their motorcycles looked. Harley's became the
chose of motorcycle in which to modify, thus appeared what was known as the
chopper. The chopper was a Harley-Davidson motorcycle, which had the frame,
cut and re-welded to extend the front forks. These motorcycles were covered
with as much chrome as the owner could afford and was always a works in the
making. Few other motorcycles offered as much custom attraction and only
Harley's were know as true choppers.

These are some of the reasons that Harley-Davidson motorcycles are the best in
the world. There are no other motorcycles being built that can compare with a
Harley.

10
 Chapter 2

THE THREE M'S OF HARLEY'S SUCCESS

MANAGEMENT
MARKETING
MANUFACTURING
Management
Although Harley was very profitable during World War I and World War II,
this status quickly changed during the 1970's. After the leveraged buy-out,
Harley's new owners realized that in order to make the necessary improvements,
they had to determine what went wrong. After careful analysis, the management
team developed the following list of practices which were main contributors to
the problems previously experienced:

• Corporate management focused mostly on short term returns.

• Management did not listen to its employees or give them responsibility
for the quality of what they made.
• High inventories of parts gobbled up cash and reduced productivity.
• Belief in quick fixes for problems, such as throwing in computers and
state-of-the-art machinery to improve productivity.
• High break-even point that left the company vulnerable to unpredictable
market fluctuations.
• Management that woke up too late to the threat of foreign competition
because of the "it can't happen here" syndrome.

As with anything in life, recognizing the problems to any given situation is only
half the battle. The development of methods for improvements and gaining
company wide support for implementation was the key. The first
accomplishment was for management to learn the importance of relationships.
Strong relationships with workers can aid in the advancement of new company
practices. A good example can be seen in the following conversation between a
machinist and the Vice President of the power train plant at Harley. "You are
new here, aren't you?" asked the machinist. "Let me buy you a cup of coffee!"

11
(Filipczak 38). It was a simple gesture which quickly taught the new VP how
important "relationships" were in the workplace; one of the major components
of Harley-Davidson's corporate culture.

Harley's new management realized to survive they needed to become a

perpetual learning and improving organization. Open communication between
all levels of employees was essential. Everyone needed to understand their roles
and the consequences their roles contributed to the company. But to develop
employees to a greater degree, management had to get them to understand the
business environment of the corporation.

Harley-Davidson wanted the ability to develop processes and people which

would ensure employees would have the capability for rapid, effective change
based on an understanding of the whole business environment in which they
operated. In order for that to happen, Harley-Davidson realized that individuals
needed to have a shared vision of the company values: tell the truth, be fair,
keep your promises, respect the individual, and encourage intellectual curiosity.
Management needed to earn the respect and trust of their employees.
Incorporating all of these high moral values into the entire company structure
and expecting nothing less from employees, at all levels, helped emphasize
Harley's commitment to its team of workers. Since Harley's workers were
unionized, this could have been a major problem. But, because the unions stuck
to Harley-Davidson when times were tough, Harley today sticks to them. The
unions even censure their workers for shoddy performance. This commitment
allowed for Harley to switch to "self-managed" teams. The plan was to create
semi-autonomous workgroups, who were cross-trained and could set their own
work schedules. Therefore, Harley-Davidson created the Harley-Davidson
Learning Center. This is a facility dedicated to life-long learning. Its primary
role is to serve employees who want to keep their skills current. In some cases,
this means remedial training in basic skills, but mostly the Learning Center is a
place to come with requests for specific job-training courses.

Continuous Improvement

Harley-Davidson is driven by a constant vision of what an excellent company

should be: one that is never satisfied with the status quo but is always searching
for ways to do things better. This is best exemplified by a manager's comment,
"The day we think we've arrived is the day we should all be replaced by
managers of greater vision" (Reid 38). All companies can and should learn from
this position and adopt the idea of continuous improvement.

Continuous improvement demands involvement from employees.

Management's dilemma was how to align employee motivation with company

12
goals. In Harley-Davidson's case, all employees take part in a gain-sharing
program and are paid cash incentives for attaining and maintaining quality,
profitability, and product delivery goals. In 1995, more than 2,000 of Harley's
4,694 employees took training and education programs from the Harley-
Davidson Learning Center. These courses helped the company to be more
competitive and to foster employees' personal growth and development.
Extensive team-building has taken place at all levels of the company, including
team-building for union leaders, negotiation committees, and stewards. Open
communication, at all levels, is used as a major key to achieving teamwork and
employee participation. For example, engineers are located right in the plant,
within walking distance of machine operators. The practice of open
communication is also represented in the relationship between top management
and the union.

Harley Davidson has an untypical relationship with the union. Continuous

improvement techniques could have been stopped if the company did not have a
good relationship with the union. The union viewed management as a partner
instead of an adversary. Management's good-faith dealing's with the union was
a factor in this special relationship. Harley-Davidson has a history of in-
sourcing; it tries to bring as much work as possible into the plant to forestall any
layoffs. The union has considerable control over what kind of work is
outsourced to other companies. So the union is able to create a "job security" by
choosing the work that is done in-house. Bob Klebar, the president of the union
stated, "When times are good, we´d outsource it. But if things get tougher, we´d
look at those projects and maybe bring them in-house to keep the employment"
(Filipczak 41). He also mentioned that "instead of focusing on what we think
we have a right to, his people work closely with the production department, and
everyone concentrates on the final customer. It really binds us together and
makes us go in the right direction" (Filipczak 41). Teerlink, Harley-Davidson´s
CEO, said that total employee involvement (EI) cannot exist until management
and labor can agree that they have a mutual goal: the long-term success of the
company (Reid 173). In this joint process, joint union-management study
groups identify issues or problems and then research all possible solutions.

Management Involvement

Management through its words and actions must demonstrate continuous

improvement of quality and efficiency is a way of life, not just another
"program". Management must be firmly committed to the people-building
philosophy - the belief that employees are thinking, rational human beings and
therefore should be encouraged to develop and grow. All management must be
totally committed to the EI program and demonstrate that commitment by
fostering a mutual trust between employees and management. Don't let

13
management "Solutions" become the problem: their job isn't to hand down
solutions to every problem. Management's obligation is to communicate the
problem. When management and labor develop solutions together, they both
have a stake in making those solutions work (Reid 172).

At Harley-Davidson, they believe being a leader in business includes

contributing to the betterment of society. They support community causes as a
corporation, and they encourage employees to get involved as donors or
volunteers. Charitable contributors are investments in the quality of life,
benefiting all their stakeholders: customers, employees, suppliers, shareholders,
government, and the community at large.

Eagelmark Financial Services

Eagelmark Financial Services, a majority-owned subsidiary, provides private

label financial services programs, including Harley-Davidson Credit. Harley-
Davidson Credit, Eagelmark's largest division provides wholesale financing and
insurance programs, including motorcycle floor-planning, parts and accessories
trade acceptance and commercial insurance brokerage to Harley-Davidson's US
dealer network. It also provides the private Harley Card, an exclusive credit
card for use in Harley-Davidson dealerships. In addition, Harley-Davidson
offers its domestic dealers from time to time quarterly special discounts and/or
120 day delayed billing terms through Eagelmark in order to carry sufficient
parts and accessories inventories and to counteract the seasonality of the parts
and accessories business.

MARKETING

Harley-Davidson enjoyed a monopoly in the motorcycle industry for many

decades. In the 1970's, Japanese manufacturers flooded the market with high
quality, low priced bikes. From 1973 - 1983, Harley's market share went from
77.5% to 23.3% with Honda having 44% of the market by 1983. Harley-
Davidson could not compete on price against the Japanese motorcycle
producers, so it had to establish other market values and improve quality.

Simultaneously, the United States consumer base was undergoing a revolution

which mandated consumer driven products. Harley had to change from a
company which dictated what its customers could have to strategies based on
direct input from customers. A marketing philosophy was developed based on
the customers desires, gathered through surveys, interviews and focus groups.

Image

14
"The real power of Harley-Davidson is the power to market to consumers who
love the product" (Executive Excellence 6). Harley-Davidson's President and
CEO, Richard Teerlink says the bike represents to America, "the adventurous
pioneer spirit, the wild west, having your own horse, and going where you want
to go - the motorcycle takes on some attributes of the iron horse. It suggests
personal freedom and independence" (Executive Excellence 6). Brand loyalty
for Harley-Davidson is emotional. They are considered more than motorcycles-
they are legends. It is an American icon brand. The Harley-Davidson symbol is
based on a pattern of associations that include the American flag and the eagle;
reflective of the passion and freedom Americans enjoy.

It is difficult to define an average Harley-Davidson buyer. The demographics

range from a blue-collar worker to a high-power executive located all over the
world. The common thread is

a desire to escape the routine and become anyone you like. While their
competitors base their advertising on product technology and features, Harley
promotes: a mystique appearance, individualism, the feeling of riding free, and
the pride of owning a legend. With Harley, you can live out your fantasies, as
well as experience camaraderie with fellow bikers.

Customer Relations

When a person buys a Harley-Davidson motorcycle, they receive a free 1-year

membership to the Harley Owners Group (HOG), which was developed in 1983
as a program to keep people active with their Harley. Simultaneously, it keeps
the company close to its customer. HOG has 295,000 worldwide members, 900
local chapters and is the largest company-sponsored motorcycle enthusiast
group. They conduct four US national rallies, two touring rallies and 44 state
rallies. These rallies encourage people to use their motorcycles and to share in
the excitement of riding. The people are given demonstration rides, have the
opportunity to ask questions, register their bikes and buy merchandise.
According to Michael D. Keefe, director of HOG, these rallies are considered
"more like customer bonding. If people use the motorcycle, they'll stay
involved" (Berry, 104 ). " What the Harley management crew, who are masters
of marketing, do well is listen to their customers. The result is that Harley
cannot keep up with demand at current production levels" (Croghan 31).
Company executives learn from their customers by maintaining a database to
track consumer desires. Company officers spend almost every weekend from
April through October at motorcycle events and dealerships accumulating this
information.

Promotion

15
The primary promotional tool for Harley-Davidson motorcycles are the HOG
activities. Not only does it serves as a customer relations device, but as a way to
showcase and demonstrate new products. As discussed in the image section,
Harley develops a strong impression within consumers. In 1983, the company
developed a trademark licensing program which provides income for dealers
and the factory while expanding the total Harley experience. The company
program put a stop to bootlegged Harley Davidson merchandise and offered
priceless advertising.

Harley has capitalized on the fact its product/image is chic. There are numerous
examples of fashion models draped over the bikes and wearing company T-
shirts. The company is starting to advertise in magazines geared to the general
public. Twice a year, a Fashions and Collectibles catalog is produced with
various Harley merchandise. Clothes sold in stores such as Bloomingdales and
J.C. Penny exposes Harley-Davidson to people who may not have thought about
visiting a dealership. Another marketing strategy, Harley-Davidson Cafes, have
been opened in or near many dealerships to lure people into the showroom. In
fact, the Harley-Davidson Cafe in New York City won one of the 1994
Restaurant and Institutions Interior Design Awards for its American appearance.
Also, Harley-Davidson's advertising techniques are so successful they were one
of the 1995 finalists of the Kelly Award for advertising. The company is able to
promote the sale of its motorcycles by the financial services offered by
Eagelmark, a wholly owned subsidiary. The dealerships are becoming a one
stop shop for bikes, accessories, clothing and financing.

Product

Harley found its strength was in the heavyweight division. They also identified
and exploited mini niches, such as customized, touring, sport/touring and
sport/street motorcycles, in the heavyweight end of the market. When Harley-
Davidson was formed, it only offered one color of motorcycle - gray and three
basic styles. The company learned it needed to give the customers a choice and
now offers a variety of models, including Sportsters, Super Glides, Low Riders,
Softails, Sport Glides, Tour Glides and Electra Glides, in numerous vivid
colors. Many of these models and changes were developed when Harley
realized their customers were customizing the bikes and none of the revenue
from the work was going to the company. When a style is changed or
developed, Harley always develops it around their signature image to make sure
that the product is not only a high quality piece of equipment but is also
charismatic.

Price

16
Harley-Davidson quickly learned it could not compete with the foreign
manufacturers on cost. Not only did Honda have a low priced product, it was
able to defeat Harley in advertising 40-1. Therefore, Harley developed a
strategy of value over price. This was created through the development of mini-
niches and the heavy construction of the parts. Japanese manufacturers used
plastic while Harley used steel, which is able to be rebuilt and rebore. Harley
was careful not to exceed demand in production of their motorcycles. Currently,
people must wait six to eighteen months for a new motorcycle and the price for
a year-old Harley is 25% to 30% higher than a new one. By not being able to
meet demands, an attitude of must-have has developed. Therefore, Harley has
plans to double capacity to 200,000 motorcycles annually by 2003.

Distribution

Harley-Davidson motorcycles are sold by 1,065 dealers worldwide. The

company owns 54 percent of the market share in the USA, 16 percent in Japan,
10 percent in Europe, and 38 percent in Australia. The foreign markets could be
larger, but the company has an agreement with American dealers not to sell
more than 30 percent of the bikes overseas, if the domestic demand is not met.
The company implemented in 1983 a program to concentrate on helping its
dealers develop the up-to-date business skills they need to sell motorcycles
more effectively. The headquarters sponsored training programs are dubbed
"Harley-Davidson University". The dealers are considered to be business
partners and the headquarters plays an active role in developing programs,
financing improvements, implementing support and management consultants.
The dealers also invest their own money into these programs which allows them
to feel like apart of the company. Harley-Davidson treats the dealers not only as
partners, but also as customers. Harley has developed a very effective marketing
strategy, but it is the responsibility of manufacturing to produce high quality
and reliable motorcycles.

Manufacturing

"Vroom, Vroom" this was the sound of the first Harley-Davidson motorcycle
that came off the assembly line in 1909. As we have already discussed, Harley-
Davidson started off as a family business but was bought by AMF in 1961.
However, during the late 1970's Harley was loosing all of its business to
Japanese competitors. Harley was unsuccessful at making a reliable, quality
product. After going public in 1981 and losing the financial backing of AMF,
17
Harley was forced to make a change. Harley could no longer improve quality
through expensive technology. "The traditional US management view of the
relationship between quality and productivity, as well as the view of many
managers throughout the world, was that they were inversely related" (Mefford
137). However, quality experts such as Deming and Crosby have researched
these principles and learned the important relationship between quality and
productivity, "Productivity is a measure of output divided by the inputs required
to produce it.....for every unit of defective output produced that must be
scrapped or reworked inputs are wasted. Labor hours, machine time, material
and energy inputs are wasted on poor quality product" (Mefford 138). Realizing
the validity of Deming and Crosby's theories and the complementary
relationship between quality and productivity, Harley had to learn to simplify
and master their production process. With this revelation and through hard work
and intense commitment, Harley's production process has become a source of
renowned excellence.

Original Process

Initially, Harley's manufacturing plants were designed to use a batch process in

the flow of material on its plant floor and the frequency of products made. "The
batch format has neither inflow or outflow of materials while the process is
running, and has the disadvantage of high labor costs per unit production and is
difficult with large-scale production" (Folger 8,15). Harley's batch operation
was illustrated by its grouping of machinery. "Harley's production system was a
huge, maze-like operation in which parts were tooled in large batches and
moved from one machine to another all over the plant" (Reid 156). As
illustrated in figure 1 in appendix (Reid 156), operators had to use forklifts to
move the materials around the facility. There was no straight flow process;
therefore, setup times were very high and output rates were very low causing
financial concerns for AMF. With Harley's transition from a privately financed
company into a public company, they were forced to seek an alternative method
of production to achieve quality and productivity. The first step was to
determine the specific areas which needed improvements. It was important for
Harley to understand all aspects of the business would need to be examined for
flaws in order to develop an effective flow process. An improved process was
determined and implemented, successfully, only after the synergy of what is
known as the productivity triad was conceived.

Just-In-Time

Although all three methods are not new concepts in the business world, just-in-
time inventory (JIT), employee involvement (EI), and statistical operator
control (SOC) are the attributes of the productivity triad. Just-in-time inventory

18
"was the driving force of Harley's quality-improvement program. Very simply,
as you operate with lower and lower inventories, it becomes essential that all
your inventory is usable. If you're only going to get a few parts, they all have to
be good ones" (Reid 150). Suppliers of Harley had to implement JIT into their
production process in order to compliment Harley's system. Previously, Harley
utilized a complex, computerized inventory system, Material Requirements
Planning, which was based on maintaining high levels of stock, to offset any
manufacturing problems, so the assembly line would not be halted. This system
was inefficient because it did not address the manufacturing process problems,
instead "it was a little like sweeping dirt under the rug" (Reid 151). But with
JIT, "as each problem is exposed, you are forced to identify its cause, fix it, and
move on to the next problem that is revealed" (Reid 151). After being renamed
MAN (materials as needed-to differentiate from ineffective JIT's processes
implemented by other companies.) and concentrating on "setup reduction, focus
flow processing, containerization, parts control and operator preventive
maintenance" (Reid 151), Harley recorded impressive improvements:

1. Inventory turns up from 5 to 20.

2. Inventory levels down 75 %.
3. Percentage of motorcycles coming off the line completed up from 76 %
to 99 %.
4. Scrap and rework reduced by 68 %.
5. Productivity up by 50 %.
6. Space requirements down by 25 %. (Reid 148)

Although MAN had top management support, without full employee

participation in the planning and implementation, Harley's JIT would not have
been effective.

Employee Involvement

Successful implementation of any company program occurs when there is a

commitment at all levels of the organization. Top management must not only
direct but take direction from the lower level employees. In order to feel
comfortable with this, top management must encourage education for
employees of company objectives and develop a trust that employees will
execute the right decisions. Simultaneously, employees must learn that their job
stability is dependent on the overall health of the company. Their dedication
must be expressed in learning techniques to continuously improve the quality of

19
Harley's manufacturing processes. Harley has set the following nine guidelines
to follow for successful employee involvement (Reid 163).

• Management, through its words and actions, must demonstrate that

continuous improvement of quality and efficiency is a way of life, not
just another "program."
• Management must be firmly committed to the people-building
philosophy-that is, the belief that employees are thinking, rational human
beings and therefore should be encouraged to develop and grow.
• All management must be totally committed to the EI program and by
demonstrating that commitment foster a mutual trust between employees
and management.
• Employees must be thoroughly trained in specific problem-solving and
quality-control techniques.
• Managers must encourage participation from everyone.
• Employees must be given responsibility and authority for production,
quality, preventive maintenance, and other aspects of their jobs.
• Individual employees must help each other develop and grow.
• Employees must attack problems, not each other-that is, there must be no
finger-pointing when things go wrong.
• Creativity must continuously be encouraged through a free, non-
threatening atmosphere.

Statistical Operator Control

In the beginning Harley-Davidson believed that their present machinery was

unable to produce quality products. But, with the implementation of the
Statistical Operator Control (SOC) process they soon realized that it was not
their equipment but their methods. "SOC involves using simple statistical
techniques and control charts to monitor the variation in a work process" (Reid
179). Harley realized that this process would only work if the responsibility of
quality was placed upon the persons who had direct contact with the materials
(operators). Therefore, Harley decided to hand the SOC approach down to its
employees on the floor. However, it took some time for Harley to understand
that they also needed to provide their employees with extensive training in mean
charts, histograms, and other statistical methods in order for their efforts to be a
success.

With statistical methods , the operator was now able to answer two crucial
questions about the process as it was going on: Is the process in control
(operating in a stable, predictable range of variation)? and Is the process
capable (able, consistently, to remain with in the specifications) (Reid 179)?

20
The employees eagerly took on the "ownership" of quality in order to make
improvements they have long thought necessary. With the combination of
Employee Involvement and Statistical Operator Control these workers were
able to successfully monitor the process. If they found problems they could
immediately stop the process and fix or quickly inform management about the
problem. All of these concepts together lead to an improved quality in Harley
motorcycles. Over time, these old techniques, synergized, led Harley to a
production method that has turned the company around.

Improved Process

Harley's continuous flow process proved wrong the belief that "continuous
improvement in quality and productivity was an attractive concept but likely to
be uneconomical" (Mefford 137). Moving from a batch process to a continuous
flow process can be difficult. However, Just-in-time inventory, Employee
Involvement, and Statistical Operator control combined to make it possible. For
Harley's continuous flow process, U-form lines were used as illustrated in figure
2 in appendix (Reid 157). These lines consisted of 1-4 people working together
to produce a finished part. The group had containers at the starting end which
held the raw materials/ products and were taken through the "U-line",
eliminating a need for a stock room. In the example shown, you can see how the
different stages of machinery are all arranged in a "U" shape making access
easier and taking up less floor space. Each manufacturing department has a
number of these "U-lines" arranged on its manufacturing floor as illustrated in
figure 3 in appendix (Reid 157). Therefore, many different types of products
can be made at one time. The original "batch" took six weeks to four months to
produce a product, now it can be accomplished in just minutes with the
continuous flow methods. A reduction in lead time, inventory, and defects
greatly improves the quality of the merchandise. The new system also allowed
engineers to improve methods more rapidly and effectively. These new methods
have lead to a source of renowned excellence. Harley-Davidson's techniques
were proven to work when their productivity levels rose to record levels. Other
companies realizing "The Story of Harley's Success" wanted to learn these new
tactics. Therefore, Harley holds training seminars to teach other company
management personnel their improved manufacturing techniques which enabled
them to overcome stiff Japanese competition and lead themselves to excellence.

21
 Chapter 3
Harley-Davidson:
a business culture transformed into a way of
life

No driver is more proud of their vehicle and more devoted to a brand than the
owner of a Harley-Davidson... Having a Harley means much more than driving
a motorcycle... It means belonging to a select group of people with similar
characteristics and affinities, but, above all, with a common denominator: their
devotion to the same brand. How did Harley-Davidson achieve the miracle of
having the most loyal and devoted customers in the world?

Though its hard to believe, the company went through a traumatic economic
situation in the 1980s, but it has been able to overcome the situation in recent
years and return the brand to all its glory, simultaneously getting all Harley
drivers to purchase, on top of the bike, its famous jackets, sports shoes or
cowboy boots.¦

What is its secret? Among others, creating expectations. Harley Davidson

generates desire among the public and controls its launchings perfectly. With
over 60% of the market share of heavy motorcycles in the United States,
Harley-Davidson takes its time in putting its products out. It produces them as a
tailor would, and it knows that these delays contribute to making its
motorcycles an extremely coveted product.

More secrets. HOG (Harley Owners Group) brings together more than 900,000
people all over the world in a peculiar club that goes far beyond a typical
consumer group: its members share a passion for making the Harley style a way
22
of life. HOG members receive magazines like HOG Tales and Enthusiast, and
they always have the possibility of participating in rallies, excursions, events.

Members of HOG have access to a motorcycle rental program (Fly & Ride),
facilities to send motorcycles, a roadside assistance program Only in Europe,
between April and July 2005, there are a dozen events scheduled for Harley
lovers that participate in HOG. And that is not counting European Bike Week,
which in 2004 gathered more than 100,000 motorists in the Austrian Alps. In
September of 2005, Harley-Davidson hopes to break attendance records again
for this enormous European meeting.

Very recently, Jeffrey L. Bleustein, one of the thirteen founding fathers of

Harley-Davidson who acquired the company in 1981, after his dreadful crisis,
announced his coming retirement as president and general director of the
company. Bleustein has been one of the architects of Harley-Davidson’s rebirth
and of the accurate strategy that avoided the brand’s submission to the
extremely strong Japanese competition, with brands as powerful Suzuki, Honda,
Yamaha, and Kawasaki...

Under Bleustein presidency, Harley-Davidson went from 1.5 billion dollars in

revenue in 1996, to more than 5 billion dollars in 2004, with a net profit close to
900 million dollars. Part of Bleustein’s success is owed to his correct decisions
when it came to turning Harley drivers into true devotees of the brand.¦ What
company can boast that its customers wear tattoos of its brand name on their
bodies?

23
 Chapter 4

H.O.G.

Things have come a long way since 1901 - 1903, when William S. Harley and
brothers Arthur, William and Walter Davidson built their 28 x 80ft "factory" in
Milwaukee. Or since 1907 when the first experimental V-twin was constructed.
Bucks County, named by William Penn in 1681, is one of three original
counties in Pennsylvania and enjoys a lengthy tradition as an important region
in the state. Langhorne, the alternate name of our chapter, was incorporated as a
borough in 1874 although many of its buildings date from the 1700's when it
was known as Four Lanes End. The sister borough of Penndel, was incorporated
in 1899 as the Borough of Eden. It was a portion of the land grant first settled in
1686-1687 by Thomas Langhorne, a Quaker preacher from County
Westmoreland. In 1947 "Penndel" was supposedly suggested by Mary Keating,
a contraction of William Penn and Delaware Valley.
In 1983 the Harley Davidson factory sponsored a club to make new riders feel
at home, and so began the Harley Owners Group. At 33,000 members, it was a
pastiche of the traditional bike club, with leathers and sew-on patches, but
without the oily fingernails and bad-ass attitude. 1985 saw the formation of the
first chapters and in 1999 National H.O.G went electronic with the National
office introducing their web site at hog.com. Today, no other enthusiats group
sponsored by a manufacturer can boast over 550,000 members worldwide.
Brian's Harley Davidson opens in 1984.
The Harley Owners Group Chapter of Bucks County, Pennsylvania, formed in
October 1986. The group is dedicated to promoting responsible motorcycling
activities for the Harley Owners Group members, through local and national
H.O.G. events. H.O.G. members are concerned with helping those that share
this earth with, as well as the obvious... riding bikes and having fun. They
congregate for weekly rides as well as annual rallys, social and charitable
24
events. Membership is open to anyone who shares the enthusiasm for
motorcycling.
In 1988 Harley Davidson (Eastern Harley-Davidson Dealers Association)
became a major contributor to the Muscular Dystrophy Association. Bentley
(Owner, Brian's HD) was instrumental from the inception and the resulting
annual "Ride for Life" run. In 1994 RfL was generating $332,000, of which BC
HOG was credited for $28,374. By 2001 the amount had grown to $550,000 and
$42,000 respectively.
The BC HOG Ladies of Harley formed in January of 1994. In 1995 the first
annual "Covered Bridge" Poker Run was established, a theme well aligned tothe
club and one which would aptly attract visitors. Also in 1995, the L.O.H
division was eliminated in order to concentrate on events geared for everyone.
L.O.H would reform several years later. BC HOG has also been a long time
contributor to the "Penndel" Poker Run, also known as the "Camp Joy" run.
Penndel not to be confused with our next door neighbor is a contraction of
Pennsylvania and Delaware and the dealers who sponsor Camp Joy.
New Hope began enforcing the "one vehicle per space" law around November
of 1996 (SB238 would overrule in October 2002). That was the year of the first
club PicNic. Ironically, tickets were $25 the following year which was more
than in 2001 when the PicNic was cancelled due to lack of support!?
Club meetings were first held at the German Hungarian Club in April of 1997.
Prior to that, they were conducted at the Hilltop Club. The first club Xmas party
was also 1997 and tickets were $24. In July of 1998, the new Bucks HOG Hot
Line was introduced, although this was not the first hot line the club maintained.

25
 Riding on the History of a Hog

Elvis Presley had one. A true bad boy rides one. Your mom told you to stay
away from them.
As of 1995, over 100,000 people ignored their moms and bought a Harley-
Davidson motorcycle. For the year 2000, Harley-Davidson motorcycles hopes
198,500 more people will put aside Mom’s wishes and purchase a famous
“Hog.” How could they do that to Mom?
The mechanical design of the bikes is one reason. The V-twin engine and
trademark rumbling sound of a Harley make them the ride of choice for many.
With 24 models to choose from, all with different mechanical designs, Mom
just might want one for herself.
In Milwaukee, Wisconsin, four men designed the first model of a Harley-
Davidson motorcycle in 1901: William Harley and Arther, Walter and William
Davidson. The men redesigned the frame of a standard bicycle and constructed
an engine more suitable for the new frame.
In 1903, three motorcycles were built this way, but William Harley wanted to
learn more about automotive engineering. He left Milwaukee to study at the
University of Wisconsin-Madison in the School of Engineering. To pay for his
education, he waited on tables and did drafting for a local plant. He also
continued to develop designs for Harley-Davidson motorcycles. He specialized
in internal combustion engines and developed a major component for Harley-
Davidson motorcycles, the bottom link fork, which became part of all the 1907
models of motorcycles and was known as the best in its day.
From there, the new business of Harley-Davidson motorcycles expanded. In less
than fifteen years in the motorcycle business, the men who founded Harley-
Davidson had become known as one of the world’s leaders in motorcycle
manufacturing. This was attributed to the V-twin engine that owners of the
present day have grown to love.
Harley-Davidson wanted to increase the engine size of their motorcycle, so they
decided to add an extra cylinder. Adding the extra cylinder meant a new engine
design for the motorcycles. Before 1912, Harley-Davidson motorcycles used an
engine with an inlet valve and a light spring, pushed by the pressure of the
falling piston. It was a simple engine design, but it did not make the
motorcycles go fast. With the V-Twin engines, a crankshaft and case were used
26
to join two single engines. The new design also added a mechanical exhaust
valve so engine revolutions could be increased, making the motorcycles go
faster.
Today, the V-Twin engine has evolved into the Twin-Cam 88. The engine has
more torque than other Harley engines and has the traditional 45° angle
overhead valve layout. It was designed with the world’s best computer-aided
technology. Before introducing the new engine, Harley ran 2.5 million test
miles. It would not be a Harley engine without the rumble, but the Twin-Cam
88 is quieter mechanically despite the 85-ft-lb. torque the engine creates. The
Environmental Protection Agency limits the amount of noise a bike can make,
but Harley-Davidson found a way to make the engine more powerful and stifle
the loud rumbling of the bike.
For the power within the engine, engineers used a free-flowing exhaust, but
compensated the mechanical noise of this system by installing quieter chain
driven camshafts, stiffer crankcases and a new design of the engine covers.
Harley engineers also considered emissions efficiency with the Twin-Cam 88
and reworked the exhaust and intake ports and valves.
Engines are not the only components of design within Harley-Davidson
motorcycles. There are four main lines of Harley-Davidson motorcycles that
include six different models. The Dyna has a low riding posture and features a
smooth ride. The Sportster has a narrow frame and lots of power. The Softail is
a classic body design that has a lot of potential to customize it. The other line of
Harley-Davidson motorcycles is the Touring, which also has a classic style, but
is built for riding a long distance.
Harley-Davidsons have become a part of world history; from being used by
allied forces in World War II, to being the motorcycle Elvis Presley owned or
the motorcycle that Arnold Schwarzenegger rode in Terminator II. Mom might
even like them. Harleys have style, unmistakable sound and a strong history of
mechanical design and engineering.

27
 Conclusion

You can call it a brand, a cult, or a phenomenon, but it's much more than a
motorcycle.

For 100 years, the burning legend of Harley-Davidson has been fanned by the
winds of change and fueled by an American spirit of freedom, individualism,
and the quest for adventure.

What William A. Davidson, Walter Davidson Sr., Arthur Davidson, and

William S. Harley put together in the little work shed behind the Davidson
house on Highland Boulevard in Milwaukee was more than a machine. It was
the beginning of a way of life.

Even that long ago, it became apparent that Harley-Davidson® motorcycles had
a unique emotional connection to the soul of its rider. What may have started as
an economic alternative to the motorcar and a speedier conveyance than the
bicycle soon took on a wind-in-the-hair sense of freedom and exhilaration.
Early advertisements proclaimed "Get the most out of life" (1916) and "Get a
kick out of life" (l925).

This thing was fun.

Oh sure, there would always be rational reasons to buy a Harley-Davidson. But

what chance would competitors in other sports have compared to an ad that
argued "Motorcycling: The Greatest Sport of Them All" (1931)? It's that
timeless attraction, that sense of wanderlust, that's resonated deep in the genetic
makeup of every freedom-loving rider on earth. It's what makes Harley-
Davidson motorcycles relevant today in the lives of motorcyclists all over the
world. The promise is simple and true: How you feel on a Harley® is like
nothing else in the world.

Those who understand this best are Harley-Davidson's core customers, lovingly
called the "Enthusiasts." They come from all walks of life, although they would
prefer, thank you, to ride.

28
To see the faithful converge on their annual pilgrimage to Daytona or Sturgis is
to see America's "melting pot" culture at its blast-furnace best. A lifelong
member of Hell's Angels. An accountant from Atlanta. A group of riders from
London. A retired couple from Michigan with their dog. A CEO who would
never be mistaken for a CEO. Six women, who teach school in Arizona, dressed
in leather. A H.O.G.® chapter from Akron, Ohio. A newlywed couple from
Germany. Some guy in buffalo horns.

What holds them together are their common values, shared with one another
and with the Motor Company. Freedom. Individualism. The quest for adventure.

This deep and abiding sense of what Harley-Davidson represents to its

customers has been the strength of the Motor Company, and maintaining that
connection is one of its guiding principles. Throughout its history, whenever the
Company forgot that central reason for its existence, its fortunes waned. But
every time it reveled and celebrated in that connection to its customer, it would
succeed.

It's the principle they would return to, time and again. Through wars and
peacetime. Through ownership by AMF (American Machine & Foundry) and
the buyback. Through Panheads, Knuckleheads, Shovelheads, Evolution®,
Twin Cam 88s, and the Revolution V-Twin® engine. Through the introduction
of the Harley Owners Group, MotorClothes Products™ and Genuine Motor
Accessories, and an expansion of the brand's global appeal. Through it all,
Harley-Davidson would strive to remain connected and loyal to its riders.
Harley-Davidson's reward for this loyalty would be loyalty in kind.

Harley-Davidson is the one brand, the only brand, that is burned into the skin of
its enthusiasts, the famous Bar & Shield tattoo second in the world only to
"Mom." (Somehow, an advertisement in a magazine pales by comparison.)

Those of us who love the brand can only aspire to be Keepers of the Flame. We
cannot create it, we can only tend it. The brand really belongs to the riders. The
flame burns in their souls. In-2003, upwards of 500,000 of them will ride to
Milwaukee to be part of the 100th anniversary pilgrimage. Similar celebrations
will happen on five continents. The riders will heed the call from points all over
the great wide world. Just to be a part of it. Just to feel the earth rumble.

Harley-Davidson may build it, but it's the riders' motorcycle. Their brand. Their
way of life.

That's why when Willie G. Davidson and his styling team work on the next new
bike design, they are just as likely to do it at a roadside rest stop surrounded by
bikers as they are in the gleaming confines of the new Willie G. Davidson
29
Product Development Center. When they're done, they will have created the
newest incarnation of a legend. Just the sight of a Harley-Davidson pushes
buttons deep inside the faithful. And the sound of it can make them downright
misty-eyed.

Ads? Who needs ads?

A Harley-Davidson motorcycle is the perfect advertisement. It grabs the

eyeballs and pounds the eardrums and pushes a wake of attitude in front of it. A
Harley has presence. It is impossible to ignore. The easy, loping potato-potato-
potato of the V-Twin sets up some kind of harmonic between your pulse and red
blood cells. The machine seems to know it has a soul, and when it intertwines
with yours, you are hopeless to resist it.

By comparison, the attempts of we mere mortals to capture the mystique of

Harley-Davidson in two-dimensional advertising may seem small and
insignificant.

But over the years, Harley-Davidson Motor Company has found those ads that
hit the mark, those that Harley-Davidson enthusiasts pull out of the magazine
and hang on their garage walls, those that hit with a resonant "thump" deep in
the chest. Such ads can do as much to reinforce the Harley-Davidson mystique
as the next bike week at Sturgis, or a Saturday morning at the dealership, or a
wave from a brother in the other lane.

It reaffirms who you are. Or who you want to be.

The advertising is for those who get it, whether they own a Harley-Davidson
motorcycle yet or not. Don't chase those who don't understand. Don't exclude
those who want to understand. We're not trying to sell you a Harley-Davidson.
We're trying to connect with the people who want to buy one "It's not a rational
decision" (1985).

So we thought you'd enjoy seeing the 100-year journey of Harley-Davidson

Motor Company captured in the advertising signposts along the way. The
people who work at the Motor Company engineered the dramatic turnaround
that happened at Harley-Davidson in the 1980s. It was their drive their spirit,
their refusal to let this great name die. All the advertising was ever able to do
was reflect the confidence they felt in the brand.

Historians can debate over when and how the brand caught on and became the
legend that it is today. Moto-journalists will all have opinions about which
Harley was the perfect combination of engineering and tradition to define (or
redefine) its success. Advertising experts will argue over the potency of any

30
given ad. But one thing is sure. As you page through the 100 years of Harley-
Davidson advertising that follows, you will begin to experience that feeling
unlike any other. Unless you're planning to buy your next Harley soon, you may
want to take it a few pages at a time.

31
APENDIX

32
BIBLIOGRAPHY

33