Harley-Davidson and Hero MotoCorp join hands: Five key highlights
Harley-Davidson may be on its way out of India but its bikes will still be available for those passionate about the iconic US motorcycle brand. This is courtesy an agreement signed by the company with Hero MotoCorp, the world's largest maker of motorcycles and scooters. While talks were reportedly on for quite some time since the American company announced late September of its plans to discontinue sales and manufacturing here, the official announcement has given some reason for cheer to prospective buyers as well as the premium-bike segment here.
(Recap read: Harley Davidson exit from India to impact 2,000 jobs across dealerships: FADA)
Here are five key highlights of the tie-up between Harley-Davidson and Hero MotoCorp:
- Hero MotoCorp will develop and sell a range of premium motorcycles under the Harley-Davidson brand name in the country. It will take care of service and parts requirements for the Harley bikes.
- Hero MotoCorp would sell Harley accessories and general merchandise, riding gear and apparel through a network of brand-exclusive Harley-Davidson dealers and its existing sales network in the country.
- The partnership is expected to help both companies. While Harley-Davidson bikes will still have a presence in India, a country the brand entered back in 2009, the robust and widespread sales and service network of Hero MotoCorp will now open up.
- The premium bike segment has seen some momentum in recent times with several players jostling for space. While not directly, Hero MotoCorp may now have a bigger say in this segment.
- The tie-up gives some sort of shape to Harley-Davidson's business overhaul, The Rewire, and defines the change in its business model in India. India accounts for around 5% of its global sales.