Posted on 08/03/2004 4:36:39 PM PDT by chemicalman
The company that owns and revived Chris-Craft boats and Outboard Motor Corporation has purchased the remains of the Indian Motorcycle Company, which shut its doors in September 2003. The new owner is Stellican Limited, a private equity firm headquartered in the UK that specializes in reviving ailing recreational product companies with strong brand names and also owns firms in unrelated industries like soft drinks and cash registers. It has a U.S. office in Florida. Because its principals supply their own capital, it is less likely to encounter the problems other would-be motorcycle makers have when more capital was required.
(Excerpt) Read more at motorcyclecruiser.com ...
That's just wrong. On so many levels.
Dis it have chi-chi balls around the windshield like Tiajana Taxis?
Headquartered in the UK? That's going to be more potentially damaging to the Indian brand than anyone on the thread has realized so far. Nothing against the English, but Indian was an American motorcycle.
Well first mistake Indian's revival company did was opening their manufacturing plant in California! Jeez, labor rates and taxes and regs made their entry level bike something like 40k! Be serious...
Oh yeah, they were $pendy as hell.
But they were still sellin' like hotcakes, at least in the Gilroy area. Nowhere else, apparently.
Exactly no where else.... Sell a trinket like that like hotcakes in the silicon valley in the heart of the tech boom.. but overpriced to ever seriously establish market share and longevity...
They want to be a serious player they need to play the game like a player...
H-D to this day has entry models under $6500. Only smaller custom (semi-custom) shops can command $40k+ for a base model.
Indian wants to compete, needs a base model in the 10ish range... high quality reliable and dependable. Enter the market place, establish yourself, grow slow and build on momentum. Basically follow what the Koreans have done when entering the US market...
They didn't enter the market with 50k cars, they came in with base models... made them affordable and reliable and grew.. Hyundia nearly killed itself off when it started to let its quality slide, they corrected course and now sell not only low end, but even luxury large models... Kia learned from this lesson and has for the most part been very successful.
At 40k you are in the price range where you can go get a custom bike built... most of the world won't pay that sort of price for a mass produced off the assembly line bike.
I think without question there is room in the US market for another bike manufacturer, just have to be better priced. Move the production plant out of Cali and put it somewhere where labor costs and taxes are reasonable and put scouts on the road for 7 to 10k and chief basing at 20ish and you'll be successful.
Doing a low-side sucks!
%(*@&#%!!!
:(
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