Their corporate culture values both individual participation and teamwork, as they have applied the concept of self-directed teams from the factory floor to the executive level. This is especially apparent where collaborative decision-making occurs by management, both at the upper and lower levels, through the circles of leadership. More specifically, there is strong collaboration between purchasing, planning and control, and information systems. .
Although such collaboration may result in greater synergy to occur, with regards to decision-making, this type of management structure may also lead to potential conflict in ideas due to managers possessing opposing views. In addition, this type of structure may lead to a lack of immediate decision-making when immediate decisions need to be made. The employees at Harley-Davidson currently view their objectives as being to strive for continuous improvement of existing processes and practices. This demonstrates that they are change-averse and avoid thinking "outside of the box", as they do not want to risk losing the existing corporate culture.
In 1998, Harley-Davidson's target market grew by nearly 14 percent as demographics became much broader. The Harley-Davidson product was no longer regarded as being for those individuals who are young and "wild". Rather, the product began to appeal to both young professionals (and yuppies) as well as to an older generation being retired and no longer having dependants. The company's market share was also increased after it had acquired Buell Motorcycle Company, also improving market positioning. Also, in terms of marketing, the Harley-Davidson name maintains its reputation for quality and its brand recognition. High customer loyalty is recognized, including those employees owning Harley-Davidson products. The "Harley Owners Group" (H.O.G.) helps to maintain such loyalty.
In order to meet high and unmet demand, show by 2-year long waiting lists for its products, Harley-Davidson has begun a plan to increase production capacity during 2003.