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Friday, December 13, 2013

Marketing of Honda motorcycles in the USA.

The American Honda Motor Company was established as a subsidiary by Honda in 1959. During the 1960s the type of bikes brought by Americans underwent a major change. ride registrations increased by over 800,000 in five years from 1960. In the archean 60s the major competitors were Haley - Davidson of U.S.A, BSA, dominate and Norton of the UK and Motto - Guzzi of Italy. Harley-Davidson had the largest commercialize share with sales in 1959 totalling a 6.6 million dollars. Many of the motorcycles produced were large and bulky and this led to the check of the motorcycle rider as being one who wore a whip jacket and went out to cause trouble. The Boston Consulting conclave ( BCG ) report was initiated by the British government to study the twilight in British motorcycle companies around the world, in especial(a) in the USA where sales had dropped from 49% in 1959 to 9% in 1973. The two key factors the report identified was the market share difference and profitability decline s an the overcome economy disadvantages in technology, distribution, and manufacturing. The BCG report showed that success of the Nipponese manufacturers started with the ontogeny of their own house servant markets. The juicy production for domestic petition led to Honda experiencing economies of scale as the cost of producing motorbikes declined with the level of output.
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This provided Honda to achieve a exceedingly competitive cost position which they used to penetrate into the US market. The basic philosophy of the Japanese manufacture is that broad(prenominal) volumes per perplex provide the potentiality for high productivity as a result of using! capital intensive and highly alter techniques. Their marketing strategies are therefore directed towards developing these high model volumes, hence the careful attention that we have observe them giving to growth and market share.... If you want to get a full essay, order it on our website: OrderCustomPaper.com

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