IntroductionHarley-Davidson Motor Company is an American motorcycle manufacturer based in Milwaukee, Wisconsin. The company sells heavy motorcycles designed for highway riding. Harley-Davidson motorcycles (popularly known as "Harley") have a distinctive design and exhaust note. They are particularly known for the tradition of heavy customization with its special engine roar and teardrop gas tank, considered a unique experience that symbolizes the best of the American dream. Harley has been making motorcycles for over a century and has carved out a lasting place in American automotive history. We believe that Harley is a successful company overall, but our case study shows that little marketing development can be done. Problem As our group has discussed, we believe the problem with Harley starts with the expense of raw materials for its products. These expenses are then reflected in the retail price of the bikes, allowing the company's limited target market to have a median income of $80,000. Motorcycles are heavy and designed for the American man. AnalysisMost of Harley's customers are men, only about 11% are women. I think this is Harley's problem since they only produce heavy motorcycles. Being too heavy is a major problem for female customers. Harley needs to somehow customize its products so that they can fit both male and female customers because not all men are tall and strong enough to ride a Harley bike. Another issue I think Harley might want to consider is price. As noted in the case, the largest group of Harley owners and target market has a median income of more than $80,000. Since the economy is in decline and too many people are unemployed, not everyone will be able to afford to buy a Harley motorcycle. This will make even old customers think carefully before deciding to buy another Harley bike. According to Forbes, the average income of an American family is around $45,000 or less. Still, Harley might consider reducing the price or producing a bike that won't cost too much. They definitely don't want to miss this great group since 28 percent of their customers are beginner bikers. On July 17, 2008, the company announced its results for the second quarter ended June 29, 2008 on its website, with revenue for the quarter increasing. $1.