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Harley Davidson struggling, closing KC plant (Read 242 times)
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Harley Davidson struggling, closing KC plant
06/20/19 at 10:55:40
 

https://jalopnik.com/harley-davidson-is-fighting-for-its-life-by-building-an-...

Harley-Davidson is in trouble, and has been for some time. Young people in America don’t want the big, heavy motorcycles that are Harley’s main business, and President Trump’s trade war has been nigh disastrous. So Harley increasingly has turned to Asia. Pretty soon, the company hopes, selling bikes abroad will be its biggest market.

Harley’s in a weird spot. But like how Buick sells a ton of cars in China but is trying to get over its image as a has-been here in the U.S., Harley has found that its image overseas has much greater upside than here. What’s interesting about that strategy, is that Harley is growing in Asia and other markets by selling lighter-weight motorcycles, which is the same strategy that Honda, Kawasaki, Yamaha, and Suzuki used to nearly break Harley itself when they entered the American market in the ‘60s and ‘70s.

Now, according to The Wall Street Journal, Harley is partnering with Qianjiang Motorcycle, a Chinese company—backed by Geely, owner of Volvo—to produce a light motorcycle, with a goal to sell half its motorcycles overseas by 2027. Harley already has plants in Brazil, India, Australia, and Thailand, and said last year that it would be closing its operations at its plant in Kansas City.


Harley Davidson is selling their name brand usage to other bike manufacturers, for them to make and sell their bikes as Harleys over in Asia.  Harley is in essence peddling the Harley namebrand to make a buck.
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Re: Harley Davidson struggling, closing KC plant
Reply #1 - 06/20/19 at 11:26:07
 
Harley has been selling the same V-Twin for a very long time.  Can you imagine if Ford or Chevy or any auto company was still selling you a car with an engine design as out of date?

The US is just a tiny fraction of the worldwide motorcycle business, and Harley has been able to survive by selling the same bike to the same customers for years......that era is coming to and end.  Companies like Polaroid and Xerox weren't able to see the future and adapt - maybe Harley has gotten a bit smarter.....only time will tell if it was too little too late.  This is the second time Harley has experienced this - AMF bought the struggling company and kept if from folding in 1969 and kept is along for another 12 years.  The Baby Boomer generation gave it a resurgence, and they aren't buying them now as they sign up for Medicare.  There are so many low mileage used Harley motorcycles on the market - I don't see how the dealer can sell new ones (except to those who have a lot of discretionary money).

The only way that Harley can survive is by building a product that will sell to the world market - and all the other manufacturers have a big head start....it will be hard for Harley to design and build new bikes, create a worldwide dealer network and beat the others at the game.

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Re: Harley Davidson struggling, closing KC plant
Reply #2 - 06/20/19 at 13:53:10
 
Jalopnik is such a political website. "President Trump’s trade war has been nigh disastrous" Really? It's hitting China HARD. The following companies have announced that they are pulling all or a significant portion of their manufacturing out of China (reported just today):

Apple
GoPro
Hasbro
Steve Madden
Stanley Black & Decker
Brooks Running
Whirlpool Corp.
Intel Corp.

This is significant and is a direct result of US trade policy. Not all of these companies are moving back to the US, but the point is the tariffs, and the recognition that China doesn't respect US Patents, is causing these companies to move their business OUT of China. This is just the start. Mexico, Vietnam, India...all better places for US companies to set up off-shore manufacturing.

With regards to Harley, a company that stands still gets left behind. With the profits Harley made over the last few decades, their product portfolio should look like KTM's or Triumph's. Instead, it looks like Harley circa 1993. Harley squandered time, money and resources. Now they are in trouble.
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Re: Harley Davidson struggling, closing KC plant
Reply #3 - 06/20/19 at 14:44:10
 
Not to mention the Harley bad boy look, typically associated with the lowest common denominator, has become more of a sign of conformity than one of rebellion. It's long in the tooth and  watered down to the point of irony. It's so ironic that the Hipsters like it. But not enough to spend their trust funds on it. Triumph still controls that market segment.

If HD made a bike similar to my Hyperstrada I'd but it. Sporty handling, 110HP V-twin , 456 lbs with
good all around multi-purpose capabilities and in the same price range I'd say take my money. To have such a bike with a large domestic service network would be ideal.
Harley should have kept Buell going and it should have let him design their modern lineup. Duh! Big mistake IMO.
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Re: Harley Davidson struggling, closing KC plant
Reply #4 - 06/20/19 at 20:58:57
 
Philthy! agreed, but I think it was the dealers that didn't want Buell.  Cool
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Re: Harley Davidson struggling, closing KC plant
Reply #5 - 06/20/19 at 21:04:13
 
I don't know how Harley survived this long.  

We're getting an Indian Motorcycle Shop in Lynchburg Tn.

The Sloans Cycles in middle Tn. is selling Indians , Guzzi , Vespa , KTM , Aprilia , Clevand's , plus the big 4 from Japan.    
Almost everything but Harley and BMW's    
https://sloansmotorcycle.com/

So , if the big Harley , a GoldWing , a Indian Cheiftan , the big Guzzi , and the big BMW are all the same $$$ .... then where do you Invest your $$$  ?  Huh

Or

Do you just buy Three or Four different $5,000 - $8,000 - bikes instead.  or even 5 of them ?  Grin

So , is that giant price "why" they're having a hard time ?   But Harley is not the only high $$$ bike out there ...


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Re: Harley Davidson struggling, closing KC plant
Reply #6 - 06/20/19 at 23:00:11
 
If I can buy a basic Mustang for the price of a Harley, guess which I'd choose? Cool
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Re: Harley Davidson struggling, closing KC plant
Reply #7 - 06/21/19 at 07:31:55
 
A Hyundai?  Cheesy

Or maybe a Hyundai Davidson? Grin
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Re: Harley Davidson struggling, closing KC plant
Reply #8 - 06/21/19 at 07:56:44
 
Instead of glomming onto the Rolling Stones...
https://www.bizjournals.com/milwaukee/news/2019/06/06/harley-davidson-partner...

Shouldn't they have partnered up with a band that actually wrote a song about them?

https://youtu.be/IJqut44z99M

Grin
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Re: Harley Davidson struggling, closing KC plant
Reply #9 - 06/21/19 at 08:10:33
 
Don't you ever wonder how many dollars worth of Harley Davidson motorcycles are parked in garages with minimal miles on them, bought by guys who had no real experience with riding, just saw the ads, bought into the hype and thought they would now be cool and have some near spiritual experience because
It's a Harley,,,, ?
I wonder how many Harleys that are sitting under a layer of dust were the first bike they'd owned.
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Re: Harley Davidson struggling, closing KC plant
Reply #10 - 06/21/19 at 10:49:25
 
Makes me think of the neighbor behind me. Has Harley all blinged out that lives in a custom made bike shed with a steel door, floodlights and security cameras. Every 3rd month he comes out (in badass Harley guy costume), gives me his usual stinkeye, and actually rides the thing making as much noise as he possibly can. He goes around the neighborhood a couple times then parks at the bar. A few hours later he's back washing the bike and blow drying it with a leaf blower before putting it back in its vault for another couple months.
I'm fairly certain I wear out a set of tires faster than he goes through a tank of gas.

He sure does love driving his HD emblem festooned pickup though.
I'm sure HD can solve all its business dilemmas by producing a line of pickups  Roll Eyes
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Re: Harley Davidson struggling, closing KC plant
Reply #11 - 06/21/19 at 16:21:22
 
I'm  sure HD can solve all its business dilemmas by producing a line of pickups

I see guys, alone, in their empty pickups, with HD decals and often
The I'm a Badass Harley rider
cap, vest, whatever,,, and wonder why isn't he riding...
And when I Do see a rider waaay down the road and can tell he's not wearing a helmet, and as he comes closer I see he's wearing flip flops and shorts, THEN I know he's riding a Harley.  Harley Davidson motorcycles are just too cool to be affected by gravel and Nobody would EVER turn left across the path of a Harley, not ever.
Buncha Dilberts.p
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Re: Harley Davidson struggling, closing KC plant
Reply #12 - 06/21/19 at 16:40:29
 
PA is one of those bass akwards states with no helmet laws. However many cops I've spoken with say they're 10 times more likely to pull over and ticket riders without helmets on general principle. And those people tend to be the great majority of Harley riders.

They pay extra to look cool -  for their bikes, their rebel costumes and for tickets.

I ride with a helmet. Never been stopped.  Cool
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Re: Harley Davidson struggling, closing KC plant
Reply #13 - 06/21/19 at 17:59:39
 
I see them with no windshield
No helmet
Zero eye protection..
I mean
WTF?

I see crotch rocketeers in shorts and tee shirt
But they have a helmet and gloves.

I would not ride without my boots, pants, tee shirt, and long sleeved welding shirt, gloves and helmet. I tried it without the long sleeves and the grit flying off the road was not cool...
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Re: Harley Davidson struggling, closing KC plant
Reply #14 - 06/21/19 at 20:03:20
 
Don't forget allergens. If you suffer from allergies like me you want to ride covered up, especially this time of year. Rode with my half helmet and sunglasses recently and cried my eyes out. Switching to my goggles solved that. Then when you get home all covered in pollen you can take off your outer layers and sit on the couch without getting that crap all over it.
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