Organizational Strategy to Wind Up Harley Davidson Operation in India

Harley-Davidson is an American automobile giant with specialization in world acclaimed motorcycle manufacturing and selling business since 1903. Gurgaon, Haryana based Harley-Davidson India that started as wholly owned subsidiary of Harley-Davidson in August 2009 is on the verge of winding up its operation in India. It has faced fierce competition from Indian motorcycle manufacturer Royal Enfield and also from other cruiser bike producers such as Bajaj, Suzuki, Jawa, TVS, etc. Sales performance was lacklustre in the financial year 2019 and in the first quarter of 2020 iconic motorcycle didn't fare well in sales. India of late turned out to be worst performing market in international business context for Milwaukee based automobile maker. The company turned regressive volume as well as profitability wise. Isolationism approach didn't work well for the company in India which had been tactfully avoided by KTM and BMW. Indian customers were not happy with suspension and chassis of Harley- Davidson bike as it was not fit for pothole ridden roadways. The numerous faults were highlighted in social media which impacted credibility of the bike and manufacturer. Lack of growth prospect led to exit decision for American bike maker in India. Decimated purchasing power in the wake of COVID 19 outbreak dealt the mortal blow to automobile showstopper.