In the 1980s, a Lapse in Production Quality and an Increase

question 254

Multiple Choice

In the 1980s, a lapse in production quality and an increase in Japanese imports drove the Harley-Davidson motorcycle company to the brink of bankruptcy. The company's share of the U.S. super heavyweight market segment-motorcycles with engine capacity of 850 cubic centimeters or more-had shrunk from over 40 percent in the mid-1970s to 23 percent in 1983. But by 1989, Harley-Davidson controlled some 65 percent of this market segment. From a marketing perspective, what was the most likely first step in Harley-Davidson's resurgence?

• A)developing a new mission statement
• B)repositioning its products in the minds of super heavyweight motorcycle buyers
• C)performing a SWOT analysis to assess the firm's internal and external environments
• D)selling new models of super heavyweight motorcycles in both the United States (current) and foreign (new) markets
• E)improving the quality of its products and communicating this to motorcycle buyers