Dominican University Harley Davidson Growth Challenges Ahead Case Study 5

Case Objectives:

• This case gives an opportunity to examine a company’s sources of differentiation advantage. It also

demonstrates that differentiators cannot completely ignore costs without experiencing serious


• This case also illustrates how competitors can start at the low end of the market and then move

upmarket (as Honda did with both motorcycles and cars). It also illustrates how difficult it can be to

replicate sources of differentiation in new markets (geographic and demographic) when those sources

are largely emotional (country-specific) and not functional (e.g., Harley has had a difficult time replicating

its differentiation advantage with women and in international markets).

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