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Case Study on Success and Glory of TVS Motors in India with Specific

Reference to TVS Scooty

INTRODUCTION
TVS Motor Company is the third largest two-wheeler manufacturer in India, with a revenue of
Rs.11,516 Cr ($1.7 billion) in 2015-16. It is the flagship company of the Rs. 40,000 Cr ($6 billion, in
2014-15) TVS Group. The company has an annual sales of 2.5 million units and an annual capacity of
over 3 million vehicles. TVS Motor Company is also the 2nd largest exporter in India with exports to
over 60 Countries. TVS Motor Company Ltd (TVS Motor), member of the TVS Group, is the largest
company of the group in terms of size and turnover, with more than 2.8 crore (28 million) customers
riding a TVS bike. HISTORY TVS was established by Mr TV Sundaram Iyengar. He began with delhi
first bus service in 1911 and founded T.V.Sundaram Iyengar and Sons Limited, a company in the
transportation business with a large fleet of trucks and buses under the name of Southern Roadways
Limited.[2] When he died in 1955, his sons took the company ahead with several forays in the
automobile sector, including finance, insurance, manufacture of two-wheelers, tyres and components.
The group has managed to run 97 companies that account for a combined turnover of nearly $6 billion.
EARLY YEARS 100
Sundaram Clayton was founded in 1962 in collaboration with Clayton Dewandre Holdings, United
Kingdom. It manufactured brakes, exhausts, compressors and various other automotive parts. The
company set up a plant at Hosur in 1978, to manufacture mopeds as part of their new division. In 1980,
TVS 50, India's first two- seater moped rolled out of the factory at Hosur in Tamil Nadu, Southern
India. A technical collaboration with the Japanese auto giant Suzuki Ltd. resulted in the joint- venture
between Sundaram Clayton Ltd and Suzuki Motor Corporation, in 1982. Commercial production of
motorcycles began in 1984.[3] SUZUKI RELATIONSHIP TVS and Suzuki shared a 19-year-long
relationship that was aimed at technology transfer, to enable design and manufacture of two-wheelers
specifically for the Indian market. Re-christened TVS-Suzuki, the company brought out several models
such as the Suzuki Supra, Suzuki Samurai, Suzuki Shogun and Suzuki Shaolin. In 2001, after separating
ways with Suzuki, the company was renamed TVS Motor, relinquishing its rights to use the Suzuki
name. There was also a 30-month moratorium period during which Suzuki promised not to enter the
Indian market with competing two-wheelers. [4]
RECENT
Recent Launches include RTR 200, TVS Victor and TVS XL 100. TVS has recently won 4 top awards
at J.D. Power Asia Pacific Awards 2016, 3 top awards at J.D. Power Asia Pacific Awards 2015 & Two-
Wheeler Manufacturer of the Year at NDTV Car & Bike Awards (2014–15) In early 2015, TVS Racing
became the first Indian factory team to take part in the Dakar Rally, which is the longest and most
dangerous rally in the world. TVS Racing partnered with French motorcycle manufacturer Sherco for
the Dakar rally, and named the team Sherco TVS Rally Factory Team . TVS Racing also won the Raid
de Himalaya and the FOX Hill Super Cross held at Sri Lanka. In three decades of its racing history, the
team has won more than 90% of the races. In 2016 TVS started manufacturing the BMW G310R, a
model co-developed with BMW Motorrad. CHARACTERISTICS OF TVS MOTORS TVS Motor was
the first Indian company to deploy a catalytic converter in a 100 cc motorcycle and the first to
indigenously produce a four stroke 150cc motorcycle. The list of firsts from TVS: "India’s first 2-seater
moped – TVS 50", "India’s first indigenous scooterette - TVS Scooty", "India’s first Digital Ignition -
TVS Champ", "India’s first fully indigenous motorcycle - Victor", "First Indian company to launch
ABS in a motorcycle - Apache RTR Series", "The first scooter with Body-Balance Technology – TVS
Wego","The clutchless motorcycle=Jive", "Indonesia’s first dual-tone exhaust noise technology –
Tormax" & "India's first oil-cooled chamber construct with Ram-Air assist- TVS Apache RTR 200 4V"
CURRENT PRODUCTS
Mopeds[edit] XL 100 XL 100 Comfort Scooters[edit] Scooty PEP+ Scooty Zest110 Wego 110 Jupiter
Jupiter zx Jupiter Million R Motorcycles[edit] Sport Starcity+ 110 Victor Phoenix 125 Apache RTR160
Apache RTR180 Apache RTR180 ABS Apache RTR200 4V Three Wheelers[edit] King
MANUFACTURING CAPABILITY TVS
Motor has a production capacity of over 3 million Vehicles a year. The company has four state of the
art manufacturing plants - three located in India (Hosur, Tamil Nadu; Mysore, Karnataka and Nalagarh,
Himachal Pradesh) and one in Indonesia (Karawang).
DISTRIBUTION
Today, TVS Motor functions through a nationwide network of more than 4000 touch points across all
the states in India.
AWARDS
TVS Motor won prestigious the Deming Application Prize in 2002. In the same year, the work
done for the TVS Victor motorcycle won TVS Motor the National Award for successful
commercialization of indigenous technology from the Technology Development Board, Ministry of
Science & Technology, Government of India.[6] In 2004, TVS Scooty Pep won the 'Outstanding Design
Excellence Award' from Business World magazine and the National Institute of Design, Ahmedabad.
The effective implementation of Total Productivity Maintenance practices won TVS Motor the
TPM Excellence Award given by the Japan Institute of Plant Maintenance in 2008. TVS Motor has won
several management awards, notable among them being the Emerging Corporate Giant in the Private
Sector awarded by The Economic Times and the Harvard Business School Association of India.
Business Today magazine awarded TVS Motor the Best Managed Company and the Most Investor
Friendly Company awards. Its advertising practices won it the Good Advertising Award by Auto India
Best Brand Awards, 2009. The University of Warwick, United Kingdom, gave him an honorary
Doctorate of Science degree[7] while the Government of India honoured him with the Padma Shri, one
of India's highest civilian distinctions.[8] Innovative implementation of Information Technology has
won TVS Motor the Ace Award for Most Innovative Net Weaver Implementation in 2007, awarded by
technology major SAP AG and the Team Tech 2007 Award of Excellence for Integrated use of
Computer-aided engineering Technologies.
ABOUT TVS SCOOTY
Scooty is an Indian brand of Scooters manufactured by TVS Motors. Designed for women, Scooty is
the largest selling Scooter brand in its segment.[1] It has come to represent a generic name for any
women's two-wheeler in India.[1] Anushka Sharma endorses the brand.[2] This TVS Scooty is one of
the lightweight Scooters which is available in India for the use of ladies and girls of India.
HISTORY
Scooty was initially conceived of as a Scooter for both sexes. However sales figures over the first two
years indicated that more women were buying the Scooty than men. In 1996, Scooty went through a
repositioning exercise to target women. Though it was seen as a risk with the large majority of Indian
two-wheeler riders being male, TVS chose the strategy to tap the nascent segment of women riders.[1]
Over the last decade, Scooty has launched several models that cater to different segments of the market.
These include the Scooty ES (1996 - Kick start), the Scooty Pep (2003 - Self & Kick start) and Pep+
(2005 - Self & Kick start), Scooty Teenz (2007 - Self & Kick start) and Scooty Streak (2009 - Self &
Kick start).
Women on Wheels: Building the Riding Habit TVS Scooty embarked on a project to provide
two-wheeler riding training to women across small and large towns in India with a view to building the
habit of riding in what is considered a low-penetration segment: less than 2% of Indian women in the
potential two-wheeler buying category of 15-60 year olds actually buy a scooter. Rechristened the TVS
Scooty Institute, 80 centers have been set up and 42,000 women have been trained to ride a two-wheeler.
About 20% of women trained at the institute buy the TVS Scooty. This campaign has won several
awards, notably amongst them the EMVIE by the Ad Club Bombay for being the best campaign
innovation.[4] Environmental Impact Concerns for the environment and rising fuel prices have resulted
in a slew of Indian automobile manufacturers exploring the electric two-wheeler segment, notably
amongst them Hero Honda and Kinetic. TVS Motors entered the segment in April 2008 with the brand
Scooty Teenz Electric, an ungeared scooter powered by an 800 Watt motor running on a lead–acid
battery.[5] The Teenz Electric can carry a load of 130 kg with a pillion rider, up to a distance of 40 km
(25 mi) on a single charge.[6] Recognizing special needs of the young Indian woman on the road Scooty
Teenz Electric incorporates design elements such as large utility and storage spaces, a mobile phone
charger and a low battery charge indicator.[7]
TVS Scooty in Indian Entertainment: The TVS Scooty range has been featured in a number
of Bollywood movies and Indian TV Serials, as either a prop, or in certain cases part of the plot. In the
2008film Ghajini starring Aamir Khan, lead actress Asin Thottumkal rides the TVS Scooty Pep+ to get
around in the role of Kalpana. It has also been featured in the films Chance Per Dance starring
GeneliaD'Souza and in Sunday starring Ayesha Takia. Ranbir Kapoor in the lead role of the 2009
release Rocket Singh: Salesman of the Year rather unwillingly has to ride the bright pink Scooty Pep+,
bought lovingly for him by his father, played by the avuncular Prem Chopra. The Scooty becomes
central to the plot as much of the time Ranbir's character Harpreet Singh spends on the road is on this
scooter. MTV Scooty Teen Diva initiative TVS Scooty supported the MTV Scooty Teen Diva reality
television contest that judged contestants on a variety of skills and attributes. The 2009 edition had over
3000 applicants, 11 of whom participated in a 15-day shoot on location which was televised into an
eight-episode reality series on MTV India in July–August 2009.[12] Featuring judges who were
members of the Indian fashion industry, contestants were graded on skills such as ramp-walking,
cheerleading, acting and creativity. The winner of the 2008 edition was Koyal Rana and of the 2009
edition was Apeksha Porwal. They have both competed as India's representative at the Miss Teen
International beauty pageant in July 2009 and 2010 in Chicago, USA. The association with a youth-
oriented TV series is believed to reinforce Scoot’s position in the minds of the target consumer.[15]
Models And Features Scooty Streak: Launched in March 2009, the TVS Scooty Streak
features LED tail lamps, external fuel filling and an easy-to-use center stand: making it specifically
designed for the young woman. It has 90mm wide anti-skid tyres fashioned from wet compound giving
it stronger grip in wet weather driving.[17][18] Indian tennis player endorsed the brand and has
appeared in several commercials around the model.[19] Scooty Pep+ Launched in 2005 Scooty Pep
Plus features a light-weight body, with a choice of 99 colours. No other scooter in the segment offers
such a choice. Pink is the largest selling colour.[20] At various times, Bollywood actresses Preity Zinta
and Minissha Lamba have endorsed the brand.[20] SCOOTY TEENZ AND TEENZ ELECTRIC The
Scooty Teenz has also been released in the electric edition that is designed specifically for young women
who travel short distances. SPECIAL LIMITED EDITIONS In July 2006 Scooty launched the limited
edition Fashion Series with the Perky Pink model that featured a shade-tested hot pink colour believed
to be the rage amongst the target segment of 16- to 24-year-old girls.[21] With Preity Zinta as its face,
the campaign spoke of thoughtful accessories such as the glow-ring around the key-hole, lit luggage
compartment and the mobile charger socket.[22] Scooty launched a limited edition series to coincide
with the start of the 2008 Wimbledon Championships.[23] TVS entered into an agreement with the All
England Lawn Tennis and Croquet Club to be an official licensee and launched two variants, the
Wimbledon Class and the Wimbledon Xtreme bikes. Designed to be a tribute to women with a sporty
attitude, the Class featured white, purple and green flow strokes while the Xtreme came in red with
graffiti art.[24]
Features of TVS Scooters
1. Best in class Mileage of 65 KmPl.
2. Easy ride and handling, easy signal lamps, easy centre stand.
3. Super – tough ABS Panels.
4. Litech engine.
5. Facility of external fuel filling.
6. Mobile charging facility.
7. Lesser in weight.
8. Back – Lit Speedometer.
9. Under seat storage.
10. Anti – skid Tubeless tyres.
11. Electric and kick start.
12. Dual side handle lock.
13. Disc brake system (Optional).
14. Low fuel indicator.
Questions
1. What are the various challenges present for TVS Scooters?
2. Which kind of technology can be adopted for TVS Scooters in near future?

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