LAB-163-Is Royal Enfield Taking on Harley-Davidson?

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Podcast-In this podcast we discuss Royal Enfield motorcycles and their place in the motorcycling industry. Is Royal Enfield an actual competitor to Harley-Davidson? Enfield has a largely negligible presence in the U.S., and its bikes typically have small engines compared to the big bore bikes Harley produces.

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In late 2017, Royal Enfield introduced in India its first big twin-engine motorcycle. They introduced the interceptor INT 650 and the Continental GT 650, bikes that will compete head-to-head with Harley's Street 750.

India only accounts for around 2% of Harley-Davidson's total sales, but it owns 60% of the big bike market there and a local player with a vastly larger distribution network could certainly create problems.

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Royal Enfield is very popular and vastly outsells Harley-Davidson. However, Royal Enfield may be trying to get a bigger piece of the pie in the U.S. market. In the United States, Harley-Davidson has around 700 dealerships and Enfield only has just a few dozen in the U.S. and Canada. That said, Enfield's bikes could strike a chord with the emerging domestic motorcycle buyer.

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