LML entered into joint venture with Piaggio in 1982 , toproduceVespa, sold well in 1980s-1990s after Chetak.
1984:The Kinetic tied up with Honda ,introduced new models ,new features like self start & automatic gear transmissions.
1980-1990s :BAL dominate by Chetak & Super model with theirvalues for money appeal durability, versatility, lowmaintenance,avaliablity of spare parts ,etc.The turning pointThe Turning Point:
In 1991 & 1992 ± overall sales of two wheelers declined by15% & 8% respectively because of a recession in the Indiantwo wheeler market
The scooter segment was the largest sub-segment in the twowheeler market with 42% share (in terms of unit sales)followed by motorcycles (37%) & mopeds (21%)
However, in 1990, the pattern of demand changed &motorcycles became the fastest growing segment
Motorcycles were preferred to scooters in the rural areasbecause of poor road conditions
Demographic changes ± Increasing proportion of youngerStrengths:High economies of scale.