Using 5 Forces, Analyze a Segment of the Motorcycle Industry.

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1. Using 5 forces, analyze a segment of the motorcycle Industry. There are four segments in the motorcycle industry Off Road/ Dual Purpose, Cruiser, Touring, and Sport. For this exercise I chose the Sport motorcycle segment of the industry because as a motorcycle rider this is the market segment that I enjoy the most. The Sport bike market segment can be subdivided into four sub categories each containing unique features and thus appealing to different consumers in the sport bike segment, however the sub segments all have the 5 forces that stress them. The four subcategories are Hyper-sport, Super-sport, Sport-touring, and naked. The five forces are outline below. * Substitute products * I think the largest force within substitute products would be other motorcycles in different market segments such as cruiser, touring, or off road. Most riders will stick to the market segment that they enjoy, but some riders may transition their market segment as well as their riding style as they age. (A lot of Harley riders will tell you there first motorcycle back in the day was an old Honda.) * An automobile can be considered a substitute product, however more than likely a consumer is looking to purchase a motorcycle because they want a motorcycle, not necessarily because they strictly need transportation and they are looking at all transportation industries. * Competing sellers * The largest force that the sport bike world faces is competition from competing sellers. The appeal of sport bikes and the brands themselves (including Ducati) all came from roots of competitive motorcycle racing. * Competing firms are not only spending huge sums of money on R&D to win races, but those R&D dollars flow down to advancements in sport bikes sold for public road use. * Competing rivals that stand out against Ducati in the sport

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