Harley Davidson’s CEO Under Fire: Zeitz’s Upcoming Retirement Amid Investor Concerns and Taliban Remarks Fallout
Jochen Zeitz, the German executive who took charge of Harley-Davidson in May 2020, has announced his intention to retire in 2025. His time in the role has been characterized by bold restructuring initiatives, dissatisfaction among investors, and a recent backlash stemming from comments likening business practices to the Taliban.
Strategic Transformation: The Hardwire Initiative
After taking the reins as CEO, Zeitz introduced “The Hardwire,” a comprehensive five-year strategy aimed at breathing new life into the renowned motorcycle brand. This plan targeted high-margin products, reduced emphasis on underperforming international markets, and sought to modernize the brand to attract a younger demographic. Despite these initiatives, Harley-Davidson has projected stagnant to declining profits and motorcycle revenue for 2025, citing decreased consumer expenditure on luxury items.
Shareholder Discontent: H Partners’ Play
In April 2025, the investment firm H Partners, which holds a 9% stake and is Harley-Davidson’s second-largest shareholder, commenced a campaign to remove Zeitz and two other directors from the board. The firm criticized the company’s falling sales and stock value, along with its remote work strategies, asserting that the existing leadership is failing to uphold Harley’s cultural essence and attractiveness. Harley’s stock has plummeted by 45% over the past year, indicating the company’s struggle to entice new riders.
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Controversial Remarks: The Taliban Analogy
In an additional complication, Zeitz attracted criticism for a controversial remark that involved a comparison to the Taliban. While addressing traditional capitalism, his comments were seen as equating specific business practices with those of the extremist group. These statements elicited immediate condemnation from the motorcycle community and beyond, with critics accusing Zeitz of jeopardizing Harley-Davidson’s image of American freedom and resilience. The company supported Zeitz, asserting that his remarks aimed to critique traditional capitalism rather than directly linking it to the Taliban.
Photo @HarleyDavidson
Pay and Transition
Zeitz’s compensation has faced significant scrutiny as well. In 2023, his total earnings fell by 72% compared to the previous year’s $43.3 million, significantly inflated by a nearly $32 million bonus tied to stock awards. This decline signifies the company’s underachievement and not meeting specific share price benchmarks.
As Harley-Davidson embarks on the search for a new CEO, Zeitz is expected to uphold his position until a successor is appointed. His departure signals the conclusion of a challenging chapter for the brand, as it navigates internal dissent, public relations crises, and the need to redefine its image in an evolving market.
Final Thoughts
Harley-Davidson embodies more than just a motorcycle brand; it represents an icon of rebellion, freedom, and the American journey. However, being a classic does not ensure survival in today’s fiercely competitive market. Younger riders increasingly prefer more affordable, tech-savvy, and environmentally friendly alternatives, leaving Harley-Davidson in a fight for new customers. Coupled with increasing investor dissatisfaction, PR challenges, and leadership uncertainty, the company’s future appears tenuous. To remain more than just a nostalgic brand or a collector’s emblem, Harley-Davidson must forge a radical, unified vision, which is unlikely to emerge amid controversial remarks about the Taliban.
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