Case Profile- Polaris Inc.
Before 1953, many companies made business of snowmobile, train vehicles and motorcycles. At 1953, Edgar, Alan Hetteen and David Johnson came up with first product of snowmobile that the foundation of the biggest company today. Deciding in 1985 to have difference and produce all-terrain vehicles. Also in 1992 the company one again difference by manufacturing personal watercrafts and it became a power in both ATV and PWC production and sales in the world.
Polaris made deal with victory to become one company to get in motorcycle business. Having some luxury touring bikes by using their industry. This help market of motorcycle because the company can challenge other companies in the market world.
External Environment Analysis.Case Profile- Polaris Inc.
- General External Environment.
By looking for the external environment for Polaris has many issues. For example. The company could be a confrontation during overseeing business with the various sector that the company is part of. The risk is being with other companies are challenging to competition very high products to be in the market. For example of the companies are in the market is Honda, Harley-Davidson,
Bombardier, Cat and Toyota. An opportunity Polaris as one of biggest companies is to focus on them customers by telling them about some products they have. Moreover, Polaris has a good brand to use it in the social media and Ad in the TV.
- Industry Analysis.Case Profile- Polaris Inc.
The industry analysis is based on the external environment. The five intensity at Porter’s is giving to competition in the market. First, many companies like to open in the U.S.A to have since of competitive because it is low substitutes. Although, motorcycle products in the U.S.A market have a good seller. That makes Porter’s risk with market by the foreign companies. Second, Polaris might become one of the competition force who has U.S.A made as the Harley- Davidson has right doing in the market, which would make Amarion people buy their products because of challenging industry in the U.S.A. The third, the price could be low than other company which make more customers. Plus there many different products offered for selling for example, the numerous motorcycles available to the customers. Polaris’s sell some products less than other companies such as Harley-Davidson. The forth, it is default for Harley-Davidson increase the price of the products. By the reason of it will be loess some customers. That helps other companies to be in the market with low price. Although, suppliers will not able to sell much because it has many competition in the market. The fifth, BMW, Suzuki, Kawasaki and Honda are foreign companies who would be in the aggressive in the market based on Harley-Davidson as biggest rivalry to the Porter’s.
- Competitive Environment Analysis.
Harley- Davidson found before Polaris with market of the military with motorcycles and became the largest company in the world. Moreover, BMW developed high quality performing motorcycles with both comfort and style. That gives Polaris as one of the biggest company majority is road vehicles, watercrafts, and snowmobiles. However, it has more competitive in the market of motorcycle. By using other products sells that keep the company on the competition. It is offering many products in different market that helps Polaris in the motorcycle market.
- Key Result Areas.Case Profile- Polaris Inc.
Most of all what contributed to the success of Polaris and Victory company is its unrelenting hard work and the unfailing innovations that guaranteed them a steady market volume, in 1998 Victory began making motorcycles Polaris invested over 100 million dollars and in 2006 it became profitable for the very first time. The hard work vested in their craftsmanship. It is evident that this is what led to the growth and change of the company in terms of all capacities of volume that went through the company. In regards to the words of Scott Wine, Polaris Chairman and Chief Executive Officer. “Polaris has grown and changed significantly from the little company that Edgar and Allan Hetten and David Johnson founded 60 years ago in Roseau, Minnesota; just as they relied in innovation and hard work to satisfy customers we will strive to do the same in the decades ahead.” This a show of dedication to the product that they were at the time making the Motorcycles became a big over the several following years. ‘
Another key result area in Polaris and Victory company is that the in the year 1998 to 2006 Polaris the parent company invested over 100 million dollars into the child company Victory this investment ensured that the company move to greater heights in terms of the designs produced at the time and with the hard work put in the company ended up with an economic profit of up to $113 million as 7 percent of sales for that year. This financial success leads the company onto a new level. Even though there was a recession in the year that followed and there were layoffs, in that same year Polaris, Victory’s parent company, announced a new ‘on-road’ vehicle division and Mark Jonas was appointed Vice president of the new division and in an effort to promote and champion the division he entered and won the Motocross championship and was inducted into the American Motorcycle Association Hall of fame.
So as to put the brand that they had so developed; this a key marketing idea which would induce the much needed trust in the brand they had developed. Jonikas and Blackwell organized Victory with the very intent of developing and maintaining a high quality level engineering throughout the production process. Menneto knew for Victory to be a successful brand it needed to be able to meet customer expectations and not fall behind in terms of innovation like its main heavy weight competitor Harley Davidson. This is the idea that made Victory to survive and even succeed despite the increasing competition and the newness of their brand they were able to make profits in spite of all of this. The only question that they now had was that could they still continue to innovate in the increasingly crowded market.Case Profile- Polaris Inc.
Diversification, this is key as to why and Polaris Inc. succeeded in its inception. Polaris was bought from its original Roseau Minnesota Ownership group in 1968. Then in 1981, Textron Inc. sold Polaris to a group of private investors lead by Hall Wendel Jr a Textron division head. This was the first major step in the right direction for Polaris Inc. this now ensured that Polaris was purely private company with the ability to diversify in so many different area it continued with the production and sale of Snow Mobiles but later on to ensure that the company run throughout the year it started selling Personal Water Crafts(PWCs) this made it possible for the company to sell all year round but as a last and final step the company started selling all-terrain vehicles in the later parts of the year. This is what can be attributed to the success of the company diversification. The company’s ability not to yield to the surmountable forces around it but to adapt in any given situation. This ensured the company’s growth in its beginning stages.
One key thing that the company did not consider in order to do in its inception stages apart from adaptability that it did so well is that the company did not consider exploring into newer ways of working from the very beginning. The division of three all-round the year production units was both profitable and ingenious but the company could have considered independently researching through all this areas and forming child companies to hold this areas this would have ensured better market strength in the end.
- Strategies-Case Profile- Polaris Inc.
- Business level.
In terms of strategy, Polaris the parent company to Victory was well vested from the very start Polaris was the diversification of the company in order to in-cooperate a year round production schedule. Year round productivity is what was key to the growth of Polaris in terms of financial increase. The company managers knew that they could not sell the same product all year round because of the seasonality of the products, which they produced. This seasonality meant that at certain times of the year they would have to be out of business because of that reason. This meant that they had to think and roll out new methods in which to capture the market all year round and to still ensure that the products at hand would sell all year round giving the expected and even more returns at the end of the fiscal year.
The entrepreneurial attitude of risk taking ensured that the parent company would investigate the new industry that was seemingly opened up by the near collapse and selling of two motorcycle and dirt bike companies. This was seen as a near opportunity and the company now seeing this opportunity ventured into the business in the end. In addition to dirt bike research, the company researched into street bikes. This idea was given much thought between Matt Parks and Wendel. This secret investigation even involved two other secret companies in order to come up with an informed decision. The research showed an industrial capacity for another Manufacturer in the cruiser business. This was a huge leap considering that it went through this is one of the success strategies business wise that Polaris employed before the start of Victory motorcycles.
- Competitive strategy-Case Profile- Polaris Inc.
In terms of the all-out competition, that Victory and its parent company Polaris faced the key management discovered new ways to strategically deal with the uprising and continual effective competition. With regards to the rapidly growing market, Victory motorcycles to stay ahead of the game developed a more powerful engine than any of its competitors at the time. Much time and research was spent on building the engine during which they discovered that the engine should be cooled with oil to make it more effective in its performance and handling. The competitive strategy of Victory motorcycles was to creatively remain ahead of the game. This was well rewarded when the prototype motorcycle went into the market.
- Cooperate Level-Case Profile- Polaris Inc.
In order to come up with a large cooperate well managed environment the first obvious thing that the company did was to free itself from any parent organization that may have upheld it in the first place. This was done when Polaris was bought from Textron this enabled Polaris to freely scale newer heights in terms of development invention and innovation. Expanding the company’s reach to include motorcycles as subsidiary ensured the growth of the company to new and it ensured an opening into a new market that is the Motorcycle market. This new and improved cooperate build ensured that the company grew from the state it was in to another new state
The company at its cooperate level at the start of the motorcycle production capped the productivity numbers this was to ensure that the slow steady start and in the end to come up with a fast paced international market the first release was possible because of the planned pre-release by management this made it possible for the market to appreciate the new brand this new brand was released by numbered models. This motorcycle industry made it possible for the larger cooperate expansion of the company.
- International Strategy-Case Profile- Polaris Inc.
In terms of internationally minded growth Polaris and its subsidiary companies made sure that the planned market growth influenced the international scene the development of all of their products was not based only on the needs of the Americans it was a company whose aim was to have its sales volume and its capital pool worldwide this was how the company was managed in regard to growth internationally in the company. Polaris Inc. in developing Personal Water Crafts and snow mobiles the company. Its greatest leap in the international scene was done when the company considered the market for cruiser motorcycles. This niche in the market was exploited by the company, the company went and researched and went international with the idea, and their sales since well researched were welcomed into the open international market with very distinctive profit margins. This movement into the international scene made it possible for the growth in the market.
- Core competencies
The financial concourse of Polaris Inc. was quite phenomenal. $100 million dollars was invested into the company this was to fund their many high budget projects. This investment made sure that in the inception the company had enough financial leverage to start and catapult itself to a new standing. Victory sales were at an all-time high of $113 Million dollars and this was just but 7% of the sales this returns are to be attributed to well managed financial investment in the companies well-being and forward financial growth. Though in the following fiscal financial year, there was a recession and many employees were let go. This might have happened because the recession was worldwide but on the other hand, good financial competencies are ensured when the money is well managed for future use.
A key physical core competency of Polaris was that it was physically well based throughout the world. The worldwide presence of Polaris was felt in that it had several well vested branches that were physically established throughout the country. The vetting and choosing of various company directors was done with the interest of the company the people who held the higher positions of the company they were passionate individuals that made the necessary decisions to bring the company to the desired position.
The human aspect of the core competencies this is viewed in terms of the directors and managers that invested their time in working for the company to achieve the goals that were set beforehand goals as such reaching the international market and impacting it in ways not thought possible before. Directors such as Mark Bader who was familiar with compact, high performance engines, was hired to lead the engine design staff. Directors like Nygaard based on re-engineering the Harley bike it was discovered that it took too long to wait for the delivery the solution to this was to make a bike that could by all means be produced faster and easily delivered.
- Organizational-Case Profile- Polaris Inc.
A better organization standing in the company made sure that the company could withstand the growing competition in the heavyweight motorcycle market segment. Dealing with this problem would ensure an organizational boost up. New companies such as big Twin motorcycles and Lifan. Traditional Italian bike makers like Bimota, Ducati and Motto Guzzi were continuing to produce super bikes of extremely high quality and style Bombardier a Canadian firm, disrupted the market with a popular three wheel roadster. The Organizational strength to deal with this influx of competition, made it possible for the company to thrive amid this companies by also in the end offering a unique branded commodity that the customer market could enjoy. Knowing the customers wants and making sure they meet them was a very important aspect of this Organizational core competency.
- Resources for Innovation.
The resources set apart for innovation by the company were a substantial part of the budget used to develop Polaris from when it began. Research money was set apart to ensure the research of the Motorcycle department even before it was fully launched. Before launching the motorcycle department, the company even asked another company to investigate the Motorcycle industry to see if there was a niche in this market. This is considered as the most important stage of the start of the industry. This made it possible to start a motorcycle industry that is stable and sustainable by the market and company operations at hand. This is what gave birth to Victory motorcycles a very successful brand.
The reputation that the company had gained at the years of its inception preceded it. Steve Menneto, Vice president of the Motorcycle Division at Polaris Industries, gazed up at a company headquarters in Medina. Minnesota as he pulled his gleaming cruiser into the parking lot. He knew the company’s victory bikes ever since they had been introduced into the market. The reputation that preceded Victory motorcycles was an undoubtedly a greatly fitting reputation that it needed not be questioned it had all the hallmarks of a leading brand, a brand that was taking the market by storm. Their closest competitor Harley Davidson was by now using obsolete technologies and was being faced out of the market because of this. It is important to note that because of an outstanding reputation the company ended up making so very large returns.
- Brand Loyalty
Growing the Loyalty of the brand, required producing quality products, which encouraged growth of the company as well as brand loyalty. This was seemingly built over the years. Time being a very much important factor in the growth of the trust of the company. Polaris Inc. had over time proved itself to be reliant in what it produced from the All Terrain Vehicles to the snow mobiles the company really made sure that their products were crafted from hard work and innovative in design. This made their customer base to be very sure and ensured that the company would grow to generate a fitting volume of returns.
- Capabilities-Case Profile- Polaris Inc.
In terms of operations, the company had a clean start but amid the first year of profitability, the worldwide recession hit it and in the forthcoming year, it had to let go of a lot of people. This is not only to be attributed to the recession but in that the company was not ready for a shakeup that in the end many of the employees lost confidence in the company and in the way in which it run. Many preferred to quit altogether for some time. The company to improve operations introduced new departments in order to ensure that it run all year round. Running all year round for the company meant an increase in profits an increase, which would lead to the further expansion of the company into other areas such as the motorcycle industry. Introduction of departments such All-terrain vehicles department was set up to ensure that some part of the year was catered for, as it is the case with snow mobiles.
- Marketing and Sales.
The marketing and sales in the company was aggressive and very much effective this is the only way that the company was able to achieve. In the late nineties Harley commanded Forty eight percent share of the growing North American market for heavy road bikes. Harley’s product was sold through a worldwide network of more than a thousand dealers. Even though the number of motorcycles produced increased and Harley-Davidson could still not meet this numbers this was a loop hole that Victory motorcycles exploited. In doing this, they got to be well known in the market despite the Japanese competition that came up at the moment.
- Service.Case Profile- Polaris Inc.
In terms of service Polaris Inc. was well vested as it was in the care of its product through production and manufacturing the product was well tested and customized for the best experience to the customer. The customer was always at the heart of the developers at Polaris and even at Victory. This aided the growth of the company by far, into what it became.
In terms of Human Resource. The company was well suited in its service the company did much to contribute to the growth of the company. The human resource part of the company made it possible for the company to be able to meet the customers’ needs and while meeting the needs still give the customers quality service. This quality in commodities was somewhat of an assured thing when it came to the service and quality of the products the company usually offered.
- Technology-Case Profile- Polaris Inc.
Technology was a well vested part of the company’s operations. The technology aspect of the company made it possible for Polaris to develop the most creatively done engines and motorcycle models at the time. This in itself put Polaris at the head of the game in terms of the motor vehicle industry.
- Sustainable competitive Environment.
The need for an all-inclusive environment in the market. The market needs an environment that has relative calm and an environment that can be inclusively followed. In competing Polaris Inc. made sure that, they were able to have a stake in the market and they were able to manage the market in a way.
- Structure and control-Case Profile- Polaris Inc.
Polaris Inc. had a very closed up structure. A structure that was all inclusive of its subsidiary companies each company Polaris was controlled by a very well suited vice president. And as a whole Polaris Inc. was run by a chairman and controlled by the leading shareholder. This ensured that the company was steered in the right direction towards its goals. The control of the company was onward easily done by these key individuals.
- Profitability Ratio
|Gross profit margin||=||gross income ÷ net revenue|
|=||$500 ÷$1,000 = 0.5, or 50%|
|Operating profit margin||=||operating income ÷ net revenue|
|=||$180 ÷ $1,000 = 0.18, or 18%|
|Net profit margin||=||net income ÷ net revenue|
|=||$82.75 ÷ $1,000 = 0.083, or 8.3%|
|Return on assets (ROA)||=||net income ÷ total assets|
|=||$82.75 ÷ $1,485 = 0.056, or 5.6%|
|Return on equity (ROE)||=||net income ÷ total stockholder’s equity|
|=||$82.75 ÷ $418 = 0.20, 20%|
- Liquidity Ratios.
|Current ratio||=||current assets ÷ current liabilities|
|=||$685 ÷ $750 = 0.91x|
|Quick ratio||=||(cash + short-term marketable securities + accounts receivable) ÷ current liabilities|
|=||$340 ÷ $750 = 0.45x|
|Cash ratio||=||(cash + short-term marketable securities) ÷ current liabilities|
|=||$200 ÷ $750 = 0.27x|
- Leverage Ratios.
|Debt-to-assets ratio||=||total liabilities ÷ total assets|
|=||$1,067 ÷ $1,485 = 0.72, or 72%|
|Debt-to-capital ratio||=||total debt* ÷ (total debt* + total shareholder’s equity)|
|=||$517 ÷ $935 = 0.55, or 55%|
|Debt-to-equity ratio||=||total debt* ÷ total shareholder’s equity|
|=||$517 ÷ $418 = 1.24, or 124%|
|Interest coverage ratio||=||earnings before interest and taxes* ÷ interest payments|
|=||$230 ÷ $100 = 2.3x|
- Activity Ratios
|Inventory turnover||=||cost of goods sold ÷ average inventory|
|=||$500 ÷ $190 = 2.6x|
|Receivables turnover||=||net revenue ÷ average receivables|
|=||$1,000 ÷ $128.5 = 7.8x|
|Payables turnover||=||purchases* ÷ average payables|
|=||$520 ÷ $90 = 5.8x|
|Asset turnover||=||net revenues ÷ average total assets|
|=||$1,000 ÷ $1,391 = 0.72x|
- Strategic Leadership.
In order to achieve such strengths in their success the company was strategic in its leadership this enabled it to be able to act with tact. When the company started, its success was made possible by the increased vigil in the leadership. It was possible to appreciate what was done by the company in this way.
- Strategic Entrepreneurship.
Strategically reaching out and taking the risk in several areas of the company made it possible for the company to grow and realize some of its goals. Strategic entrepreneurship this is what the company had all through the years of its workmanship. This enabled it to be able to achieve a lot in the end of several fiscal years. Victory as an idea was a Strategic Entrepreneurship.
Summary of Opportunities and Threats, Strengths and Weaknesses
- The acquisition of Indian Motorcycle Company, development of new luxury touring bikes and styled cruisers.
- The innovation of a new ‘on road’ vehicle by Polaris to diversify their market.
- The production of accessories and garment such as helmets, t-shirts, and sweatpants would help to promote their business, as people sporting them need not necessarily have the motorcycles.
- Being the biggest recognized snowmobile, all-terrain vehicles and personal water crafts manufacturer, put the company on the map and hence more sales as a result of people believing in their brand.
- The increase in employee number by seven thousand in 2013 to increase its output.
- The establishment of eleven manufacturing stations and three research centers to improve productivity.
- The employment of Matt Parks as a district sales manager to improve sales in low performing areas such as Nevada, Arizona, and California.
- Victory deciding to employ two competitors who were outsiders in the research to develop better motorcycles.
- Results from the surveys and research showed that there was still a big untapped market for motorcycles that needed to be explored.
- The company took to new inventions such as the on-road bikes and a new entry point as a cruiser provider.
- Customers of the cruisers in the new market were short-changed by the current producers and often had to replace the parts to suit their tastes. Polaris had the opportunity to do well what their competitors were doing wrong.
- The building of a prototype the Harley- Davidson by a good and experienced team and the use of extensive computer aided design.
- The motorcycle was to be produced within the target price.
- The receiving of competitor information on how to build the best tires for their bikes.
- The benchmarking of engines produced by their competitors enabled the company to produce a powerful Victory V92C engine in 1994.
- The interest of various motorcycle magazines and others such as the New York Times and Wall Street Journal to the new Victorious bike would give it good coverage and attract buyers.
- It also received good reviews from TV stations such as CNN and CNBC promoting the bike.
- Dealers jumped onto the band wagon and sponsored most of the demonstration rides thus increasing the confidence for the bike.
- Having the Polaris brand name, the engineering and marketing expertise, the manufacturing infrastructure and a good dealer and distribution network.
- Many riders bragged that Victory bikes were less tippy and more stable over bumps thus attracting more customers who needed the same characteristics.
- Training all dealers in service and sales ensured that they were better equipped to make better sales.
- Studies had shown that the worldwide market for cruisers was more than 200,000 units annually making the demand more than enough for their cruisers, which at the time were 134,000 units.
- Polaris had a strong 600,000 registered members in the Preferred Registered Owners program, which is good for business.
- Satisfied customers as well as informed responsible riders served as advocates for the Polaris brand.
- The Harley-Davidson rider group acquired more members than Honda Gold wing riders club in 2006, stealing their glory and fame.
- The acquiring of a minority stake at Brammo, which was superb at developing good speeds and was to help Polaris in capitalizing growth of the electric vehicle industry.
- The joint venture between Polaris and Eicher motors that had a good standing in new operations.
Threats-Case Profile- Polaris Inc.
- Competition from Japanese giants in the motorcycle world who had decades of experience and more diversified products.
- The global recession that led to poor sales.
- The company did not really know how to sell the Harley-Davidson against price, features, lifestyle, and loyalty because it was already an existing brand.
- Stiff competition from Honda, Yamaha and Suzuki in the seventies,
- Their Japanese competitors were more diversified and enjoyed more product sales around the world.
- The Japanese thoroughly invaded the US market and produced similar products to Polaris to steal their customer base.
- In 2006, Victory sales were $113 million and the company celebrated its first decade in motorcycle business.
- The designing, engineering, and manufacturing of snowmobiles, all terrain recreational and utility vehicles, motorcycles and personal water crafts.
- The marketing of replacement parts, garment, accessories through dealers and distributors.
- Their supplies to the United States, Canada and Europe under branded names such as Victory, Indian, Ranger, Sportsman and others which provided diversification for consumers who had a variety to choose from.
- The production of accessories and garment such as helmets, t-shirts and sweatpants was a way to increase revenue.
- The company having over three thousand dealerships and operating in more than 100 countries worldwide.
- The company always employed people with good background history in company undertakings and the company therefore always had the right people to run it.
- Becoming a publicly traded company in 1987.
- The company often researched on prospective acquisitions or expansions to make sure that progress was being made,
- As a result of its diversification strategy, Polaris became able to produce all year round compared to the previous six month production.
- The fact that the company was all American.
- Polaris was experienced in producing recreational vehicles for a full 44 years and the experience often paid off when innovating new products.
- The engineering talent and ability to design and produce a distinct variety of vehicles was their added advantage.
- The ability to produce their own engines for most of their vehicles.
- Victory bikes always delivered outstanding handling and power.
- The Victory team always delivered on the customer feedback and made adjustments, which were met with approval by the consumers.
- The Victory V92C had 50% more horsepower than any of its other competitors.
- The Victory bike was voted ‘Best Cruiser of 1998’ even before it was rolled out by the biggest motorcycle magazine then, the Cycle World. Today, Victory bikes are lighter, have more torque, storage and better engines and a lower center of gravity compared to their biggest competitors.
- A 95% owner satisfaction rate in 2010.
- A strict selection of dealers always ensured that Victory bikes always were handled by the biggest and the best dealers and distributers like the Polaris Dealer Network.
- Polaris always assessed the market to know the best entry point for the company products.
- They provided Preferred Registered Owners (PRO) members with eligibility for exclusive merchandise, competitive insurance rates, special group rides and package tours that maintained their customer loyalty.
- Polaris did a good job at marketing the Victory bikes through various avenues to ensure that target sales were met.
- The win of Victory semi-trailer trucks in 1998 as Fleet Owner Vehicle Graphic Award.
- The introduction of the Slingshot in their 60th
- The partnership between Polaris and Victory produced its first ever product, the Victory Charger.
Weaknesses-Case Profile- Polaris Inc.
- Corporate restructuring and companywide layoffs during the recession.
- The company employees were not represented by any union since 1982 thus were not assured of job security and could be laid off at any time.
- Despite the bikes being an instant success, the company did not effectively know how to develop quality manufacturing, distribution and marketing to meet the growing demand and therefore needed to benchmark in other companies.
- The company despite its success was still outsourcing most of its components from other companies and counties for the Victory bikes.
- The new trend by some dealers to up the price of rare models was not a smart move.
Identification of Strategic Intent and mission-Case Profile- Polaris Inc.
- We intend to continuously win and to take our business to a higher level.
- To rely on hard work and innovation and satisfy our customers through efficient products and to grow our business to the best one in the country and beyond.
Business Definition-Case Profile- Polaris Inc.
- Polaris and Victory is a company that produces motor vehicles and motorcycles of all types and especially the heavyweight sector. We produce all-terrain vehicles, snowmobiles, recreational bikes, functional bikes and personal watercrafts. We always strive to meet consumer demand and attain customer satisfaction as well as listen to them on how to make their experiences more memorable through our products. Our target audience is the young consumer that requires function and the older clients who need recreational facilities and are looking to make a quality purchase. We are always on the road for new technology to improve on the ones we already have. Our corporate restructuring has been for the best and we always acquire the most experienced corporate individuals to add on to our already experienced team. The company is led by a qualified and able Chief Executive Officer, Scott Wine and over the years, the company has been able to acquire and maintain a diverse team consisting of Matt Parks, district sales manager for California and general manager for new products. Bob Nygaard General Manager of the Snowmobile Division. Jerry Stahl, advertising executive, among others.
- Our sources of income have always been from within the company sales as we have always made enough profit to sustain our operations. Our desired customer base is everyone who is an all-terrain vehicle, snow rider, any motorcycle and watercrafts fan. We always provide our financing information and keep our shareholders updated in the investments that we make and the resulting profits.
Goals and Objectives-Case Profile- Polaris Inc.
- To change the game of the motorcycle world and continue to win.
- To develop luxury touring bikes.
- Continuously innovate new vehicle depending on the market and customer demand.
- Diversify into heavyweight motorcycles.
- To capture market share in all fronts of the motorcycle world.
- To produce garments and accessories that will help to take the brand level to new heights.
- To overcome all our competitors and lead in the motorcycle business.
- To invest heavily in the motorcycle business and make profits while at it.
- To have good and numerous dealerships and operate in as many countries as we can.
- To hold the flag high on the American dream and continue being an American company.
- To always, research on partnerships that promise to take the company steps ahead.
- To employ the most qualified corporate leaders at every leadership position and ensure that the company does not lack for expertise.
- To benchmark in other companies on our weaknesses and change them to strengths.
- To constantly have a new invention to stay relevant in the industry.
- To maximize on customer response and improve on the imperfect.
- To market our products well and ensure visibility through television, magazine and advertisement.
- To consolidate our customer fan base by providing incentives in rider clubs.
- To be consistent in quality products and make our company the go-to company for the American experience.
- Research on the markets to identify the best entry points for our products.
- Strictly select dealers who are highly trained to push product sales.
- To produce most of the engines ourselves and stop outsourcing them.
- To deliver outstanding handling and horse power for our bikes.
- To be the best recreational vehicle provider in the market.
- To manufacture all year round, catering for different products
- To always have the best engineering team in the market.
- To compete with and overcome Harley-Davidson in the US market.
- To produce all-terrain vehicles for the market.
- To achieve 100% customer satisfaction.
- To have more manufacturing stations and research centers.
- Be the world leader in snow mobiles, personal water crafts and all-terrain vehicles.
- To be outstanding in the sector and win excellence awards.
- To provide meaningful employment to the American population.
- Always produce products within the target price to maximize on profits.
- To always, seek out ways to improve all our inventions.
- To be able to meet consumer demand at every opportunity.
Strategy Formulation and Implementation (Recommendations)Case Profile- Polaris Inc.
- The company partnership should remain strong so that corporate restructuring and layoffs experienced in their beginner years do not reoccur ever again.
- The company should continue working hard on their brand and expand the business more from the 60th anniversary to a hundred and beyond.
- The company needs to benchmark in the Japanese sector, which is its biggest competitor to know where their weakness lies and learn from them.
- The Japanese have mastered the art to be self-reliant and mass produce all their products so that they save on importing parts, the company should consider this and make effort to produce all its engines and spare parts independently and even supply to other companies.
- I strongly recommend that the company employees are represented by a union, which will come in handy when important issues are raised.
- The company needs to continuously invest in research and new technology to ensure that they remain at the top.
- More customer related surveys should be taken with each product launch to ensure that customers are satisfied and know more about the brand they are buying.
- The company has not yet began to outsource advertisements and they should consider hiring new PR systems and companies that deal with publicizing products in order to establish new markets for people who have not keenly been able to follow its growth over the years.
- The company should also consider expanding its business to Africa, which is a growing market for transport motorcycles, and it’s a good market because it relies on motorcycles to get from one place to another because they are energy efficient and therefore low cost compared to other motor vehicles.
- The company is now of age and should stop outsourcing more of its components from outside and instead design and develop them themselves as this will help them save up on cost.
- Young riders that cannot afford the expensive bikes need to be considered and a market created for their needs.
- The company is big on transportation and it’s yet to be tapped market is of the oldest generation. They have problematic limbs, hip problems so developing something comfortable for them that does not make their conditions worse and improves their mobility from one place to another will be an advantage, and this will be brilliant because the US older generation is expected to double by the year 2030.
- The two companies need to invest more on rider groups especially for the younger group and boost their sales. Rider groups are the soldiers that make sure that newcomers and new bike lovers make a product more desirable and purchase it.
- Victory has been investing on outside talent for a long time and it is about time it grows the talent within as promoting from within saves more than outside talent acquisitions.
- Polaris, which is responsible sales, should always make sure that their dealers are not overpricing products and good sale returns are made.
- If ever another recession is to occur in the future, the company should be prepared to deal better with the shortcomings over a shorter period of time if it is to stay afloat.
- The two companies need to have better pricing strategies if they are to keep the Japanese away from the US market. The Japanese almost always win because of mass production, diversity, and low pricing of products.
- Victory bikes need to diversify their brand further and beat the Japanese market by providing products for both the old and the young.
- Victory and Polaris also have to learn to strike a balance between the social classes by producing expensive products for those that do not care about cost and affordable products for those that are only looking for functional bikes.
- Victory also has to consider aspects such as comfort and style to compete with style companies like BMW.
- Victory has to ensure that it develops an engineering competitive advantage of handling to compete with BMW that may be the best in the current company.
- Victory also needs to expand its capacity to fit in customers that need custom made products because not everyone will be satisfied with all the components of the already designed bikes. Employing custom pros may be a good place to start.
- The company can also learn from Lifan and extend operations in other more diverse countries where the competition is not yet as stiff and tap new markets.
- The partnership has been synonymous with producing high end bikes and diversifying to small energy efficient bikes may be a good way to start in poor countries.
- The company should be keen to provide vehicles in all form, electric driven, gas fueled and petroleum fueled ones to ensure that they win consumers who are different in all markets.
- Polaris should keep up with the market and consumer research on a yearly basis because customers are fickle is never of one opinion for too long.
- Polaris has done a good job and should continue to invest in the Victory bikes because they are co-dependent and need each other to survive. Investing financially in each other helps the two companies to remain relevant in the market.
- The acquisitions so far have always been well thought and the company should continue the trend to acquire more companies to improve on its brand.
- The company should continue to be the American market and producer because American companies are slowly being faced out in favor of foreign markets that may not produce quality products. Holding the tradition as an American player will ensure that it continues to be on the map as an American brand.
- The heavyweight motorcycles will always be a big deal in the market and Victory bikes can ensure to always be at the forefront as the dealers that are always innovating the biggest and the best bikes and fulfilling the market need as it changes.
- Branding products is now the big thing and Victorious and Polaris need to see if they can do better on the accessories side with products that market them such as custom made bracelets and jewelry and masculine products such as lotions because their biggest clientele is male. Then people will be buying into the brand image for almost all their personal needs and the brand name will grow.Case Profile- Polaris Inc.
- Finally, a company I how it relates with its employees too. Paying them well and giving them better incentives will ensure a continued motivated group of workers.