Harley takes pole position in Japan

HARLEY-DAVIDSON'S chrome-encrusted bad-boy image has captured the imagination of the Japanese market, where the American motorbike maker has beaten Honda and Yamaha to the top slot.

In the 750cc class of heavy cycles, Harley-Davidson last year grew its Japanese sales to nearly 10,000 units, and overtook all its rivals for the first time in 16 years.

The company, which produces the famous "Fat Boy" and "Road King" bikes, has carefully nurtured its all-American branding and owes its success to the rebellious image the bikes project. It has also increased its local dealer network in Japan to 71 outlets since 1991.

Despite this, part of Harley-Davidson's strategy has been to starve the Japanese market of its bikes, adding to the rarity value of the brand.

Although Japan is its biggest market outside the US, the group restricts exports to Japan to just five per cent of total output. "Harley reaps the benefits of a very powerful brand," said Hayley Kissel, an analyst at Merrill Lynch. "Japan used to be a devoted performance bike market, but Harley has very successfully sold them the idea that a bike can be for cruising around, and not just for white-knuckle rides."

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