Harley Davidson CEO Forced To Resign.

[70 copo]

Originally Posted by William

That's funny! For decades Harley's core demographic has been fat old white guys. Everyone in any room there knows they have to 'distance' themselves from that group. I saw many marketing presentations demonstrating their efforts to reach not only a younger crowd but women, minorities, even LGBTs. I believe they re-designed the Sportster frame to better accommodate women, who are typically shorter. They are also making a big effort to develop ridership in Europe and China but tariffs, the exchange rate and antiquated laws are a challenge.

Another popular whine is that Harley has priced themselves out of the market. The 2020 Sportster has an msrp under $10,000. For the most part, Harley final-assembles bikes right here in the USA. The plants are unionized, workers are well-paid and have good benefits. You cannot have it both ways. I spent my entire career in manufacturing operations; it is very difficult to compete with countries that do not treat workers as well. The manufacturing plant I spent 20 years of my career in is now mostly empty; everything moved to Mexico for $3/hr.

Another reason for high cost is the exclusivity Harley buyers demand. Special models, trim, paint. Very easy to amortize tooling expense over 500,000 units, less so over 5,000.

I truly hope they find a way through this.

Agreed.

They are looking for a new CEO right now. Best of luck to HD.