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A PROJECT REPORT

ON
MARKET RESEARCH AND PROMOTION
OF SCOOTORS

In partial fulfilment of the requirement


For the Degree of
MASTER OF BUSINESS ADMINISTRATION

UNDER GUIDENCE OF:


Submitted by :-

EXECUTIVE SUMMARY
The project on TVS MOTORS LTD. was carried out for SIKKIM
MANIPAL UNIVERSITY. The project is done under expert
supervision and guidelines of Mr. RAMESH DUBEY
(H.R)

Objective:
To have a clear knowledge about TVS MOTORS Ltd

To reveal the MARKETING POLICY OF TVS MOTORS

Methodology:
External data collection through various website

Relevance to Study:
The study will focus on TVS MOTORS Ltd and its HR
POLICIES ALSO.

Scope of the study:


To extend the study considering all H.R.M process of TVS
MOTORS Ltd

OVERVIEWS OF ORGANISATION-

TVS Motor Company Ltd, the flagship company of TVS Group


is the third largest two-wheeler manufacturer in India. The
company manufactures a wide range of two-wheelers from
mopeds to racing inspired motorcycles. The company is having
their manufacturing plants at Hosur in Tamilnadu, Mysore in
Karnataka and Solan in Himachal Pradesh. They are also
having one unit located at Indonesia. Their subsidiaries include
Sundaram Auto Components Ltd, TVS Motor Company
(Europe) BV, TVS Motor (Singapore) Pte Ltd, PT TVS Motor
Company, Indonesia, TVS Energy Ltd and TVS Housing Ltd.
TVS Motor Company Ltd is a part of Sundaram Clayton group
in TVS group of companies. In the year 1979, SundaramClayton Ltd started Moped Division at Hosur to manufacture
TVS 50 mopeds. In the year 1982, the company entered into a
technical know-how and assistance agreement with Suzuki
Motor Co Ltd of Japan and in the year 1985, they incorporated
a new company Lakshmi Auto Components Pvt Ltd for the
manufacture of critical engines and transmission parts. In the
year 1986, the company acquired the assets of the moped
division from Sundaram Clayton Ltd. Also, the name of the
company was changed from Indo Suzuki Motorcycles Ltd to
TVS Suzuki Ltd. In the year 1992, they launched two modes of
motor cycles namely, Samurai and Shogun and in the year
1993, they launched TVS Scooty. During 1999-2000, TVS
Suzuki Ltd was amalgamated with Sundaram Auto Engineers
Ltd, an unlisted group company which was incorporated in the
year 1992. As per the scheme, all the assets and liabilities of
erstwhile TVS Suzuki Ltd together with all obligations and
contingent liabilities were vested in Sundaram Auto Engineers
(India) Ltd with effect from April 22, 1999. This merged entity
was later renamed TVS Suzuki Ltd. The TVS group and Suzuki
Motor Corporation parted ways from their 15-year-old joint
venture on September 27, 2001. The shares held by the Suzuki
3

Motor Corporation were acquired by Anusha Investments Ltd, a


wholly owned subsidiary of Sundaram-Clayton Ltd for Rs 9
crore. Thus, the company became a subsidiary of SundaramClayton Ltd with effect from November 15, 2001. Since, Suzuki
Motor Corporation ceased to be a shareholder of the company,
the company cannot use the word 'Suzuki' as the part of their
name and hence the name of the company was changed to
TVS Motor Company Ltd. During the year 2002-03, the new
stylish TVS Scooty Pep and the upgraded version of Fiero was
launched in the market. In April 1, 2003, the subsidiary
company namely, Lakshmi Auto Components Ltd acquired the
entire paid up capital of Sundaram Auto Components Ltd.
Consequently, Sundaram Auto Components Ltd became a
subsidiary company with effect from April 1, 2003. In October
2003, the company entered into a scheme of arrangement with
Lakshmi Auto Components Ltd and Sundaram Auto
Components Ltd. As per the scheme, all the assets and
liabilities of the rubber and plastic businesses of Lakshmi Auto
Components Ltd were transferred to Sundaram Auto
Components Ltd on slump sale basis on April 1, 2003 for a
consideration of 12.25 crores. The remaining business of
Lakshmi Auto Components Ltd, namely engine components
division together with their investments in other bodies
corporate was transferred to the company with effect from April
2, 2003. During the year 2003-04, the company launched new
products such as TVS Centra, New Victor GL, Fiero F2 & Fx
and Scooty Pep. During the year 2004-05, they launched new
products such as TVS Star, New Victor GLX, New Victor GX
and Scooty Pep 'Splash' series. During the year 2005-06, the
company entered into a joint venture with Columbian party for
exploring opportunities in Columbian market with an equity
investment of Rs 5 million. The company incorporated TVS
Motor Company (Europe) B V in Netherlands as a wholly
owned subsidiary of the company with an investment of Rs
91.63 crore. During the year, TVS Motor Singapore Pte Ltd,
Singapore became a wholly owned subsidiary of the company
with an investment of Rs 30.51 crore. PT TVS Motor Company
4

Indonesia was incorporated in Indonesia to manufacture


motorcycles and parts with an investment of USD 27.60 million
and became subsidiary of the company in view of it being the
subsidiary of TVS Motor Company (Europe) B V, which holds
75% of the share capital. The remaining 25% was held by TVS
Motor Singapore Pte Ltd. PT TVS Motor Company Indonesia
has acquired lands in Indonesia for setting up a facility for
manufacturing two wheelers. During the year 2006-07, the
company has established a new plant in Himachal Pradesh
with an annual production capacity of 4,00,000 units scalable to
6,00,000 units. PT TVS Motor Company Indonesia, a subsidiary
of the company, established a manufacturing facility at
Karawang, near Jakarta in Indonesia with production capacity
of 3 lakh vehicles per annum. During the year, the company
launched multiple new products and variants such as, StaR
City ES, StaR Sport, Scooty Teenz and 99 Colors on Scooty
PEP. During the year 2007-08, the company commenced
commercial production from its Nalagarh Plant located in
Himachal Pradesh. They commenced their commercial
production from their state-of-the art plant located at Karawang
in Indonesia and launched TVS Neo, which is exclusively
developed for the Indonesian market. During the year, the
company launched various new products and variants such as
TVS Flame, Apache RTR, StaR Sport, StaR City 110 cc, Scooty
TeenZ Electric, TVS Tru4 Oil. In March 2008, the company
launched their three wheeler, TVS King in two variants, namely
two stroke petrol and two stroke LPG. The company won the
Team Tech 2007 Award of Excellence for Integrated use of
Advanced Computer Aided Engineering Technologies in
product development. They also won the prestigious SAP ACE
2007 Awards for Customer Excellence in the Most Innovative
Netweaver Category for several SAP implementations that are
put in place. In June 2008, the company entered into a contract
manufacturing arrangement with Mahabharat Motors
Manufacturing Pvt Ltd whereby TVS motor cycles will be
manufactured at the latter's two-wheeler manufacturing facility
that is located on the outskirts of Kolkata. TVS would help
5

Mahabharat Motors to set up the factory and provides


engineering support to them. The production would commence
from June 2009. During the year 2008-09, the company
launched Scooty Streak, a tough and trendy variant of Scooty
Pep+ and Apache RTR RD, premium segment motorcycle.
Also, they launched their three-wheeler, TVS King in six states.
In June 2009, T V Sundram Iyengar & Sons Ltd and their
subsidiaries acquired the holding of foreign collaborators,
Clayton Dewandre Holdings Ltd in Sundaram-Clayton Ltd.
Thus, Sundaram-Clayton Ltd became a subsidiary of T V
Sundram Iyengar & Sons Ltd. Consequent to this acquisition,
the company also became the subsidiary of TVS with effect
from June 3, 2009. During the year 2009-10, the company
launched TVS JIVE and TVS Wego in the market. They also
launched a four stroke three-wheeler with superior features.
They commenced export of TVS Apache to Brazil. Also, they
developed a pan India presence in three-wheelers. In
December 2009, the company acquired the entire shareholding
of TVS Energy Ltd. Thus, TVS Energy became a wholly owned
subsidiary of the company. In June 2010, they acquired the
entire paid up capital of TVS Housing Ltd and thus, TVS
Housing Ltd became a wholly owned subsidiary of the
company. In October 2010, the company won the SAP ACE
Award for Consumer Excellence 2010 in 'Best Run Award in
Automotive' category. They also won the Silver EDGE award
from Information Week, a leading IT magazine for in house
design and development of Data Acquisition System for
improving shop floor productivity. Information Week annually
recognize enterprises driving growth and excellence through IT.
In November 2010, the company launched TVS TRU4
Premium, a semi-synthetic 4T Engine Oil. In February 2011,
Indian Bank signed an MoU with the company for financing
three wheelers manufactured by the company. In March 2011,
the company introduced ABS (Anti-lock Braking System) in
their premium segment motorcycle TVS Apache RTR 180,
giving the bike formidable stopping power and superior braking
control that compliments its high performance capability.
6

Content: Acknowledgements
Executive Summery
Overview of Organization
COMPANYS PROFILE
-: History
-: Product
-: Directors
-: Reward Recognition
Tvs motors company Ltd.
Share holdars
Carporate governance
Financial highlight
Success story
Research methodology
Limitation of research
Questionire
Conclusion
Bibliography

History
TVS Motor traces its origins back to the entrepreneurial spirit of Trichur
Vengaram Sundaram Iyengar who gave up lucrative careers in
the Indian Railways and in banking to set up his own business. He
began with Madurai's first bus service in 1911 and founded
T.V.Sundaram Iyengar and Sons Limited, a company that consolidated
its presence in the transportation business with a large fleet of trucks
and buses under the name of Southern Roadways Limited. When he
died in 1955 his sons took the company ahead with several forays in the
automobile sector, including finance, insurance, manufacture of twowheelers, tyres and components. The group has managed to run 33
companies that account for a combined turnover of nearly $3 billion.

Early years
Sundaram Clayton, then the flagship company, 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 a
new division.[4] A technical collaboration with the Japanese auto giant resulted in
the joint-venture Ind Suzuki Limited in 1982 between Sundaram Clayton Ltd
and Suzuki Motor Corporation. Commercial production of motorcycles began in
1984.

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
9

Indian market. Rechristened TVS-Suzuki, the company brought out several


models such as the Suzuki Samurai, Suzuki Shogun and Suzuki Fiero.
Differences in opinion on how to run the join venture eventually led to the
partners going their separate ways in 2001 with the company being renamed
TVS Motor, relinquishing 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.[5] The company also got over a period
of labour unrest that required Chairman Venu Srinivasan to take tough measures
to resurrect a company that was in a state of turmoil. He would go on to invest in
new technology, nurture in-house design, and implement Toyota-style quality
program.

Recent
Over the years TVS Motor has grown to be the largest in the group, both in terms
of size and turnover, with four state of the art manufacturing plants in
Hosur, Mysore and Nalagarh in India and Karawang in Indonesia. TVS Motor is
credited with many innovations in the Indian automobile industry, notable among
them being the introduction of India's first two-seater moped, the TVS 50cc. The
company became the leader in its category of sub 100 cc mopeds, having sold
7 million units. It also introduced the TVS Scooty, which is India's second largest
brand in the scooterette segment.The TVS Jive launched in November 2009
became India's first clutch-free motorbike aimed at a stress-free rider experience
while the unisex scooter TVS Wego is targeted at urban couples, featuring bodybalance technology for easier handling. On 1 June 2012, TVS Motors reported a
dip of 5% in its total sales for May 2012 On 10 July 2012, TVS
Motors and BMW were reported to be in talks for technology sharing. "Eyeing
TVS for supply, production of components: BMW Motorrad". 10 july 2012.</ref>

Awards
TVS Motor won the Deming Application Prize in 2002, becoming the first and only
Indian two-wheeler company to win the award given to companies that do
outstanding work in the field of Quality Management. It is considered to be one of
the world's most prestigious quality awards.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. In 2004, TVS
Scooty Pep won the 'Outstanding Design Excellence Award'
from BusinessWorld magazine and the National Institute of
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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 Company
Chairman Venu Srinivasan is a recipient of several awards for corporate
excellence such as the Star of Asia Award by Bloomberg BusinessWeek[6] and
the JRD Tata Corporate Leadership Award.The University of Warwick, United
Kingdom gave him an honorary Doctorate of Science degree[17] while the
Government of India honoured him with the Padma Shri, one of India's highest
civilian distinctions.[18]
Innovative implementation of Information Technology has won TVS Motor the Ace
Award for Most Innovative NetWeaver Implementation in 2007 awarded by
technology major SAP AG[19] and the Team Tech 2007 Award of Excellence for
Integrated use of Computer-aided engineering Technologies

11

Success Story:TVS Motor Company


Leading Indian two-wheeler manufacturer
enhances employee collaboration and
business productivity
TVS Motor Company
www.tvsmotor.in
Industry
Manufacturing
Challenges

Enable faster access to missioncritical


drawings and designs

Streamline collaboration among

cross-functional teams

Enhance workflow management

and improve productivity to


address competitive business
requirements
12

Solution

Document collaboration

TVS Motor relies on Adobe


Acrobat 3D software and Adobe
PDF to enable faster and more
reliable access to mission-critical
engineering drawings, 3D
illustrations, and designs.
Results

Faster access to mission-critical

engineering diagrams, drawings,


and 3D illustrations

Improved collaboration among

cross-functional teams and external


suppliers

Enhanced workflow management

and business productivity

Achieved significant savings in

printing and shipping costs


Systems At A Glance
13

Adobe Acrobat 3D Version 8

Adobe Reader

PTC Pro/ENGINEER, AutoCAD

Platform: HP desktops and

HP, Toshiba, and Dell laptops


running Microsoft Windows XP
Professional and Windows Vista
Overview
TVS Motor Company is the third largest twowheeler manufacturer in India and among the top
ten
in the world, with annual revenue of more than
$1 billion in 2006-2007. It is the flagship
company of
the $4 billion TVS Group.
TVS Motor strives for manufacturing excellence
and innovation in research and development
(R&D).
With the companys emphasis on new and
domestic product development, its New Products
Introduction (NPI) team, comprised of
approximately 300 engineers, must stay at the
forefront of
14

executing R&D roadmaps and strategic


organizational visions for new products. These
products are developed domestically via
technical collaboration with globally renowned
partners. Regardless of market conditions and
business environment dynamics, TVS Motor
releases six to ten new products annually to
address the broad-based requirements of the
Indian market.
Faster technical document creation and access
With the highly competitive nature and rapid
growth of the two-wheeler industry in India, we
need to develop products much faster than ever
before, says Richard Gomez, general manager,
NPI/PLM,
TVS Motor Company. Keeping our engineers up
to speed to spur faster product development has
become imperative.
Manufacturing excellence calls for sustained
innovative efforts and investment in relevant
technologies and tools. Adobe Acrobat 3D
software has enhanced collaboration on many
levels for TVS
Motor, and reduced the lead time required for
sharing engineering drawings and designs among

15

cross-functional teams. With Acrobat 3D, TVS


Motor can integrate AutoCAD, 3D CAD, ProE
designs, and other format design source
materials into an integrated Adobe Portable
Document
Format (PDF) file. 3D Adobe PDF files make it
fast and easy to access and share technical
documents
and other work-related design materials, says
Gomez.
Streamlining cross-functional collaboration
Prior to using Adobe solutions, TVS Motor
engaged in a complex process of sharing
engineering
drawings and designs. In a predominantly paperbased environment, production engineers had to
wait for complex hard-copy drawings before
commenting on them and sending them to
suppliers
across the country or abroad via courier. The new
product team is comprised of R&D, production
engineering, purchase engineers, and quality
professionals. Integrating communication across
the
16

different functions involved in the new product


development process was challenging.
According to Gomez, information sharing was of
the essence, and that prompted evaluation of
Adobe
solutions, including Adobe Acrobat 3D and Adobe
PDF. Says Gomez, Adobe Acrobat and Adobe PDF
provided robust viewing functionality, more
economically than other solutions, without having
to
install software at the client end. Any employee
with a desktop or laptop PC can now view highend
CAD and other complex engineering drawings
using the free Adobe Reader software. In
addition, suppliers throughout India needed a
way to view and comment on CAD drawings.
With Acrobat 3D, TVS Motor can integrate
complex engineering designs into everyday
business
processes and convert ProE, 3D, and AutoCAD
designs to Adobe PDF with ease. Anybody in the
extended teams across the country can view the
Adobe PDF files using Adobe Reader software,

17

eliminating the need to invest in standalone 3D


viewing software. The commenting and editing
features available in Acrobat 3D also enable
production engineers to share feedback quickly
with
other team members down the line.
Previously, sharing and mailing designs was a
cumbersome process that took 18 to 30 days,
substantially lengthening collaboration, feedback
loops, and turnaround times. Today, this process
takes only
2 to 7 days. This significant time savings is due
to the ability to digitally share information and
a concerted move toward a paperless
environment. Collaboration is more streamlined
with
better, faster, and more timely information
sharing. TVS designed workflows in its Product
Lifecycle Management (PLM) system that
automatically trigger collaboration. Once
documents are
distributed for review or approval, engineers and
other professionals simply click on them and view
them on demand using Adobe Reader.
18

With Adobe Acrobat and Adobe Reader, no one


needs any special application installed on the
PLM
system, says Gomez. Viewing documents for
approval has become infinitely easier. The
Adobe solution has worked wonders for workflow
management processes and sharing of
information at all
levels. Teamwork is more cohesive and
collaboration at all levels has improved
immensely. We are
now 100% convinced about moving totally to a
paperless environment and Adobe solutions will
help facilitate that, Gomez adds.
Reducing printing and shipping costs
Previously, the complex chain of activities
involved in the design and production process
entailed
printing and sharing of a large volume of paperbased documents. These materials had to be
shared
among teams throughout the country. Suppliers
also took time to give feedback and resend the

19

material back to design engineers. With Adobe


solutions, sharing information and critical
documents
is now much more streamlined and there is a
drastic drop in the consumption of printed
documents
and paper.
The shift to the electronic document sharing and
review has resulted in efficient management and
distributing of documents, while also reducing
storage of paper-based inventory, says Gomez.
While we have not quantified the actual cost
savings, we know there has been substantial
savings in
printing and shipping costs. Document delivery
time has accelerated tremendously, even for
professionals needing to check printed
documents and paper-based material. When
hard-copy
documents are required, Adobe PDF enables
high-quality printing necessary for viewing highly
technical and elaborate engineering diagrams.

20

The inherent 3D design viewing capabilities of


Acrobat 3D software have enhanced the quality
of
engineering designs and information sharing
among production and R&D team members,
says
Gomez. Collaboration among cross-functional
teams across the country has improved
immensely,
resulting in greater efficiencies in workflow
processes and document management, and
enhanced
business productivity.
The inherent 3D design viewing capabilities of
Acrobat 3D software have enhanced the quality
of engineering designs
and information sharing
among production and
R&D team members.
Collaboration among
cross-functional teams
across the country has
improved immensely,
21

resulting in greater
efficiencies in workflow
processes and document
management, and
enhanced business
productivity.
Richard Gomez,
General Manager, NPI/PLM,
TVS Motor Company
For More Information
www.adobe.com/products/acrobat/
www.adobe.com/manufacturing/
Adobe Systems Incorporated
345 Park Avenue
San Jose, CA 95110-2704
USA

22

PRODUCTS-

Scooty Pep+ Plus

Scooty Streak

Scooty Teenz

Star City (Kick)

Star City (Self)

Flame
SR125(Drum)

Flame
SR125(Disc)

Apache RTR
160

Apache RTR 160


FI

Apache RTR 180

Wego

23

Venu Srinivasan
Chairman & Managing
Director
H. Lakshmanan
Director
T. Kannan
Director
C.R. Dua
Director
K.S. Bajpai
Director
R. Ramakrishnan
Director
Prince Asirvatham
Director

Senior Management
Venu Srinivasan
Chairman & Managing
Director
K.N. Radhakrishnan
President & CEO
H.S. Goindi
President - Marketing &
Sales
Harne
Chandrakant
President - NPI

Vinay

S.G. Murali
Executive Vice President Finance
Company Secretary
K.S. Srinivasan

TVS MOTOR COMPANY LIMITEDDirectors report to the shareholders


24

The directors present the 12thannual report and the


audited accounts for the year ended 31st March 2004.
1. FINANCIAL HIGHLIGHTS
Details Year ended Year ended % of31-03-2004 31-032003 growth
QUANTITATIVE :
Sales: (Numbers in lakhs)Motorcycles 7.07 7.18
-1.5Mopeds 2.51 2.48 1.2 ,Scooters 1.89 1.53 23.5
Total vehicles sold 11.47 11.19 2.5
FINANCIAL (Rupees in crores)
Sales (net of excise duty) and other income 2856.42
2725.40 4.8
EBITDA 295.63 283.88 4.1
Interest (net) 1.21 2.83 57.2
Depreciation 79.89 79.91
Profit before tax 214.53 201.14 6.6
Provision for tax 76.04 73.19 3.9
Profit for the year (after tax) 138.49 127.95 8.2
Surplus brought forward 32.63 23.17
Tax relating to earlier years (0.74) 1.40
Transfer from debenture
redemption reserve 9.90 9.90
Investment allowance reserve
25

withdrawn 3.04
Profit & loss account balance of
Lakshmi Auto Components Limited
up to 1st April 2003 6.77
Profit available for appropriation 190.09 162.42
APPROPRIATIONS:
Interim dividend 31.41 27.72
Tax on dividend 4.25 2.07
Transfer to general reserves 120.00 100.00
Surplus carried forward 34.43 32.63
The figures for the financial year under review include
the
operations of engine components division of Lakshmi
Auto
Components Limited for the period 02.04.2003 to
31.03.2004,
which has since been merged with the company.
2. DIVIDEND
During the year, the board of directors declared two
interim
dividends viz., 60% on 17
th
October 2003 and 70% on 21
26

st
April
2004, making a total of 130% absorbing a sum of Rs.
30.49 crores.
The directors have recommended no further dividend
for the
year ended 31
st
March 2004.
3. APPROPRIATIONS
The company proposes to transfer Rs.120 crores to the
general
reserve. An amount of Rs. 34.43 crores is proposed to
be retained
in the profit and loss account.
4. SHARE SPLIT
In order to enhance shareholders value, by increasing
substantially the number of shares available for trading
in the
market, the board of directors decided to split the
equity shares
of the company of Rs.10/- each into 10 equity shares of
Re.1/- each.

27

The proposal was approved by the shareholders by


resolution
passed by them at the extraordinary general meeting
held on
8
th
December 2003. The new share certificates of Re.1/each
were issued to the shareholders in the month of April
2004 in
respect of those who were holding shares in physical
form and
were credited to the beneficiary accounts of those
holding shares
in electronic form on 20th May 2004.
5. AMALGAMATION OF LAKSHMI AUTO COMPONENTS
WITH THE
COMPANYOn 17th
October 2003, the board of directors of the company
approved a scheme of arrangement between the
company viz.
TVS Motor Company Limited (TVSM), Lakshmi Auto
Components
Limited (LAC) and Sundaram Auto Components Limited
(SACL).
28

Under the scheme, the assets and liabilities of the


rubber and
plastic businesses of LAC were transferred to SACL on
slump sale
basis on 1st April 2003 for a consideration of Rs.12.25
crores.
In terms of the scheme which was approved by the
Honble High
Court of Madras vide its order dated 23rd March 2004,
SACL issued
and allotted to LAC 24,50,000 equity shares of Rs.10/each at a
premium of Rs.40/- per share as on 1st April 2003 (the
appointed
date). The remaining business of LAC viz., engine
components
division together with its investments in other bodies
corporate
including the shares allotted by SACL to LAC in terms of
the
scheme were transferred to and vested in the company
with
effect from 2nd April 2003 (the appointed date for this
purpose).
In consideration of the amalgamation of engine
components
29

division together with remaining business of LAC with


the
company, the company allotted to the public
shareholders of
LAC, 65,42,857 equity shares of Re.1/- each credited as
fully paid
up (new shares). Consequently, the paid up capital of
the
company has increased from Rs.23,10,00,700/- to
Rs.23,75,43,557/-.
89,20,000 equity shares of Rs.10/- each held by the
company in
LAC were cancelled.
The new shares were listed in all the three stock
exchanges where
the companys shares are presently listed viz., The
Stock
Exchange, Mumbai (BSE), National Stock Exchange of
India
Limited (NSE) and Madras Stock Exchange Limited
(MSE). The
shares were admitted for trading with effect from 24 th
May 2004
in MSE and BSE, and from 31st May 2004 in NSE.
The new shares allotted in terms of the scheme of
arrangement
30

rank pari passu with the existing equity shares of the


company
from the effective date viz., 1st April 2004, the date on
which the
order of the Hon'ble High Court approving the scheme
was filed
with the Registrar of Companies, Chennai and
accordingly were
entitled for the second interim dividend of Re.0.70 per
share
declared by the board of directors at its meeting held
on 21st
April 2004.
6. SUBSIDIARY
In terms of the scheme of amalgamation, the
investment made
by LAC in SACL was vested in the company with effect
from 2nd
April 2003 which comprises of 27,00,000 equity shares
of Rs.10/each and consequently SACL has become a wholly
owned
subsidiary of the company. SACL remains as an unlisted
company.
A statement relating to the subsidiary, M/s Sundaram
Auto
31

Components Limited, Chennai, and a copy of its


annualTVS MOTOR COMPANY LIMITED
8
accounts for the year ended 31st March 2004 are
attached to
The balance sheet pursuant to Section 212 of the
Companies
Act, 1956. A consolidated financial statement of
accounts of
our company and Sundaram Auto Components Limited,
(Subsidiary) is annexed to this report as required by
Accounting
Standard 21 (AS 21) prescribed by The Institute of
Chartered
Accountants of India (ICAI).
7. EXPANSION ACTIVITIES
The company proposes to commence its three-wheeler
project
in its present facility at Mysore and the proto-type
development
work is in progress. The company is exploring the
possibilities of
setting up manufacturing facilities in South East Asian
countries.
8. DIRECTORS
32

There was no change in the constitution of the board of


directors
of the company since the last annual general meeting.
Mr. T. Kannan, Mr. N. Ganga Ram and Mr. C. R. Dua
retire at the
ensuing annual general meeting of the company and
being
eligible, offer themselves for re-appointment.
9. AUDITORS
M/s Sundaram & Srinivasan, Chartered Accountants,
Chennai,
retire at the ensuing annual general meeting and are
eligible for
re-appointment.
10. CORPORATE GOVERNANCE
As required by clause 49 of the listing agreement, a
management
discussion and analysis report and a report on
corporate
governance are enclosed. A certificate from the
auditors of the
company regarding compliance of the conditions of
corporate
governance as stipulated by clause 49 of the listing
agreement
33

is attached to this report.


11. STATUTORY STATEMENTS
As per the requirements of Section 217(1)(e) of the
Companies
Act, 1956 read with the Companies (Disclosure of
particulars in
the report of board of directors) Rules, 1988, the
information
regarding conservation of energy, technology
absorption and
foreign exchange earnings and outgo are given in
Annexure I to
this report.
The particulars required pursuant to Section 217(2A) of
the
Companies Act, 1956 read with the Companies
(Particulars of
employees) Rules, 1975 as amended by Companies
(Particulars
of employees) Rules, 2002 are given in Annexure II to
this report.
As required under Section 217(2AA) of the Companies
Act, 1956,
the directors responsibility statement is given in
Annexure III to
this report.
34

12. ACKNOWLEDGEMENT
The directors gratefully acknowledge the continued
support and
co-operation received from the holding company i.e.
SundaramClayton Limited, Chennai. The directors wish
to thank the
debentureholders, bankers, financial institutions,
investing
institutions, customers, dealers, vendors and subcontractors for
their valuable support and assistance.
The directors wish to place on record their appreciation
of the
excellent work done by all the employees of the
company during
the year under review.
The directors specially thank the shareholders for their
continued
faith in the company.
For and on behalf of the board
Chennai VENU SRINIVASAN
June 28, 2004 Chairman9
TVS MOTOR COMPANY LIMITED
Annexure I to directors report to the shareholders

35

Information pursuant to section 217(1)(e) of the


Companies Act, 1956
A CONSERVATION OF ENERGY
C. FOREIGN EXCHANGE EARNINGS AND OUTFLOW
1. Export activities
During the year, the thrust on exports continued and
the
export turnover grew by more than 175%. Export
coverage
has been increased to more than 20 countries. Steps
are
being taken to improve the sales in Asian, African and
Latin
American countries.
2. Total foreign exchange used and earned
Rs. in crores
Foreign exchange used 112.75
Foreign exchange earned 69.48
For and on behalf of the board
Chennai VENU SRINIVASAN
June 28, 2004 ChairmanTVS MOTOR COMPANY LIMITED

10
Sl. Name Age Designation Date of RemuQualification Experience Previous employment
36

No. (Yrs.) employment neration (Yrs.)


(Gross)
Rs.
EMPLOYED THROUGHOUT THE YEAR
1 Arvind Pangaonkar 59 General Manager - R&D
01.09.1987 24,17,444 D.M.E., A.M.I.E. 40 Member
- R & D, Sundaram Clayton Limited.
2 Cecil Kanagaraj Dewars 55 Vice President 28.02.2001 26,22,440 B.A. 32 General Manager,
Corporate Communication Coca-Cola India
Limited.
3 Chandramouli R. 45 Vice President - Sales
19.12.1988 40,87,657 B.E.(Agri.), 20 Asst.
Manager - Sales,
and marketing P.G.D.B.M. Escorts Limited.
4 Devarajan S. 46 Vice President - 03.11.1997
41,76,261 B.E(Mech.), 23 P.E. Incharge, Delphi
Production Engineering P.G.D.B.A., M.B.A.,
Automotive Systems
M.S.(Engg.) Warwick

37

5 Goindi H.S. 46 Vice President - 29.01.2001


33,30,653 B.E., P.G.D.M. 21 General Manager Sales
International Business and Marketing,
Mahindra Holiday Resorts.
6 Harne Vinay Chandrakant 45 Vice President - R
& D 01.09.1987 46,47,251 B.E.(Mech.), 21
Member - R & D, SundaramM.Tech. Clayton
Limited.
7 Dr. Jabez Dhinagar S. 40 Vice President - A.E.G.
17.06.2002 26,74,166 M.E. (Automobile 12 Lead
Designer, GE TransporEngg.) Ph.D. (Mech. tation
Systems Engineering
Engg.) Design and Development
Centre.
8 Kovaichelvan V. 47 Vice President - HR & TQC
21.05.1984 41,22,486 B.E. 24 Engineer, Kunal
Engineering
Limited.
9 Kulkarni P.V. 44 General Manager - 01.09.1987
24,68,287 B,E. M.Tech. 20 Executive - Product
Planning,
Motorcycles Sundaram - Clayton Limited.

38

10 Mathew P.C. 53 Executive Vice President


30.08.2001 48,92,954 B.E.(Hons.) - 31 Vice
President &
Mechanical General Manager,
BBA Chemicals division, Bush
Boake Allen Inc.
11 Mohammed Basha Sheik 47 General Manager
- R&D 01.09.1987 28,10,843 B.Tech. (Mech) 21
Member - R&D, Sundaram M.Des. Clayton Limited.
12 Murali S.G. 53 Vice President - Finance
15.07.2002 38,21,706 B.Com. A.C.A. 32 General
Manager Commercial,
Hindustan Lever Limited.
13 Muthuraj M. 48 Vice President - Operations
01.10.1984 41,09,945 D.M.E., B.Tech., 27 Asst.
Engineer, Hindustan
M.S. Brown Boveri Limited.
14 Radhakrishnan K.N. 41 Vice President Business 15.09.2000 41,44,295 M.Tech. 18
General Manager- Business
Planning (Maint. Engg. Planning,SundaramClayton
39

and management) Limited.


15 Rajagopalan S. 62 Vice President - Industrial
04.09.1995 33,89,091 B.Com., L.L.B., 44
Personnel Manager, Coats
Relations P.G.D.B.M. Viyella (India) Limited.
16 Ramachandra Babu Y. 48 General Manager R&D 02.11.1984 29,17,066 B.Tech. (Auto), 24
Development Engineer,
M.S. (Warwick) Enfield India Limited.
17 Raman C.P. 63 President 01.02.1998
1,19,13,492 B.Tech. 43 Managing Director,
Eveready Industries Limited.
18 Simha B.L.P. 41 Vice President - Materials
10.12.1990 40,55,547 B.E., M.S. (Warwick) 20
Member, Manufacturing
systems, Sundaram-Clayton
Limited.
19 Sundaresan R. 44 Vice President - Quality
01.09.1987 36,59,101 B.Tech. 21 Asst.
Superintendent Quality, Sundaram-Clayton
Limited.

40

20 Venkat Iyer 42 Chief Information Officer


12.04.2001 27,31,398 B.Sc., M.B.A. 19 General
Manager (Marketing India) Information Technology,
M.B.A.(Information Xerox Modicorp Limited.
Systems U.S.A.)
EMPLOYED FOR A PART OF THE YEAR
1 Dhandapani T.G. 47 General Manager Finance01.11.1996 6,45,418 B.Com., A.C.A. 27
General Manager - Finance,
Sundaram - Clayton Limited.
2 Venkat Subramanian B. 41 General Manager 19.07.2002 13,57,214 B.E. (Mech.), 17 General
Manager - Exports,
Marketing P.G.D.M Sundaram - Clayton Limited.
Annexure II to directors report to the
shareholders
Particulars of employees as per section 217(2A)
of the Companies Act, 1956
Notes:
1 Years of experience also include experience
prior to joining the company.

41

2 Remuneration comprises of salary, house rent


allowance, contribution to provident fund and
superannuation fund, medical reimbursement,
medical insurance premium,
leave travel assistance and other benefits
evaluated under Income tax rules.
3 Besides, employees are entitled to gratuity as
per rules.
4 None of the employees is related to any of the
directors of the company.
5 Terms of employment of all the employees
mentioned above are contractual.
6 None of the employees either individually or
together with spouse or children held more than
2% of the equity shares of the company.
For and on behalf of the board
Chennai VENU SRINIVASAN
June 28, 2004 Chairman11

TVS MOTOR COMPANY LIMITED share


holdersAnnexure III to directors report to the shareholders
Directors Responsibility Statement as required under
section 217(2AA) of the Companies Act, 1956.

42

Pursuant to the requirement of section 217(2AA) of the


Companies
Act, 1956 with respect to Directors Responsibility
Statement, it is
hereby stated:
i. that in the preparation of annual accounts for the
financial
year ended 31
st
March 2004, the applicable Accounting
Standards had been followed along with proper
explanation
relating to material departures;
ii. that the directors had selected such accounting
policies and
applied them consistently and made judgements and
estimates that were reasonable and prudent so as to
give a
true and fair view of the state of affairs of the company
at the
end of the financial year and of the profit of the
company for
the year under review;
iii. that the directors had taken proper and sufficient
care for the
43

maintenance of adequate accounting records in


accordance
with the provisions of the Companies Act, 1956 for
safeguarding
the assets of the company and for preventing and
detecting
fraud and other irregularities; and
iv. that the directors had prepared the accounts for the
financial
year ended 31
st
March 2004 on a going concern basis.
For and on behalf of the board
Chennai VENU SRINIVASAN
June 28, 2004 ChairmanTVS MOTOR COMPANY LIMITED
12
TVS Motor Company Limited is an active player in all
the main
product categories of the two-wheeler market viz.,
motorcycles,
scooters and mopeds.
The company for the second consecutive year crossed
the onemillion-mark, recording sales of 1.15 million
two-wheelers with
gross revenue of Rs.2856 Cr. and PBT of Rs.214.50 Cr.
44

INDUSTRY STRUCTURE AND DEVELOPMENTS


The two-wheeler industry in India has grown at an
annual
compounded rate of 12% for the last 10 years. This
growth has
been fuelled by the 27% growth in motorcycles and
25% in the
variomatic scooters.
During the year 2003-04, the two-wheeler industry
grew by 11.4%.
India continues to remain the second largest global
two-wheeler
market after China, with a market size over 5.6 million
units. The
share of motorcycles has further increased from 74.3%
to 76.7%
as a result of 15% growth over the last year. The
category share
of variomatic scooter has also increased from 10% to
12% with a
volume growth of 23% over the last year. The category
share of
geared scooters and mopeds continued to decline.

OPERATIONS REVIEW-

Quality
45

Towards reaching world class levels in quality, the company has


formed a special task force comprising more than fifty
engineers
working on all quality related performance measures leading to
improvements in design and processes. The company continues
to have the distinction of being the only two-wheeler company
in the world to have been bestowed with the prestigious
Deming
Award.
Significant achievement has been made in improving internal
efficiencies in new product development and design by better
understanding of customer needs and product usage
conditions.
Structured customer visit programmes are conducted to
capture
customer response and expectations. Suppliers and machine
tool
builders are involved at early stage of product development.
Quality proving done in-house and at suppliers end resulted in
defect free products and fast ramp up.
The company has continued to achieve 100% participation of
employees in TQM. The employees have completed more than
1,468 projects through QC Circles in 2003-04. The average
number
of suggestions implemented per employee has gone up from
41 to 44.

46

Cost management and lean manufacturing


The company has a rigorous system of cost deployment, which
is monitored on a continuous basis and owned across the
organisation. The initiatives on e-buying and global sourcing
have resulted in substantial cost savings.
Progress in JIT and TPM implementation has been significant.
Activities are being planned for one of the plant to go for the
final audit of the TPM Excellence Award during 2004-05. By
implementing TPM, the manufacturing cells could achieve
significant cost reduction. Implementation of mixed model
production in the manufacturing plant has substantially
reduced
the inventory while improving the delivery of products.
The company has a full-time supplier development team for
improving quality and delivery. TPM and JIT clusters have been
formed for implementation of best practices across identified
suppliers.
Research and development
The Companys R&D team has a strong technical talent pool
and modern computer aided labs, capable of developing new
and innovative designs. At present more than 400 engineers
are
working on the development of new products and in other
advanced areas of technology. During 2003-04 the company
has applied for 17 patents. The company works with leading
47

technological research labs and institutions across USA, UK,


Japan, Germany and in India for development and testing of
advanced technologies.
The R&D team has developed the revolutionary Variable Timing
Intelligent (VT-i) Engines, one of the most innovative
technologies
developed in the two-wheeler industry. The VT-i engine is
designed to deliver superb performance on fuel efficiency
based
on three fundamental actions namely variable ignition timing,
superior combustion of fuel and reduction of fuel wastage. TVS
Centra was the first motorcycle to come out with VT-i Engines.
Information technology
Enterprise Resource Planning (ERP) has stabilised in the
company.
SAP system integrates all processes of manufacturing,
materials,
finance, sales, quality and plant maintenance across the
companys manufacturing plants, area offices and warehouses
across India.
As a part of strengthening the data security the company has
completed Phase 1 of the Disaster Recovery (DR) setup in
2003-04.
In continuation of CRM initiative, the company has established
B2B portal for its dealers, which addresses all daily routine
processes and reports between the company and its dealers.
48

The company has successfully rolled out a Dealer Management


System (DMS) at select dealerships. DMS will help us to get all
real time customer sales and service information and help in
standardising best practices in dealership. During 2004-05,
DMS
will be extended to cover all major dealerships.
Safety
Safety management is integrated with the companys overall
Environment, Health and Safety (EHS) management system
and
Achievement of Zero Accidents is taken up as the companys
goal. Based on OHSAS18001 guidelines and TPM
methodologies,
following measures have been taken to achieve the above
target.
Safety inspection and audits by safety professionals and
plant safety committees.
Safety induction training for all employees and specific
training programmes in first aid, fire fighting and job
related safety topics on a continuous basis.
Periodical Mock drills" to test the effectiveness of
emergency preparedness plan.
All the above initiatives have helped to significantly reduce the
accident levels.
Financial performance
49

The financial performance for the year 2003-04 as compared to


the previous year is furnished in the following table:
PARTICULARS
Year 2003-04 Year 2002-03
Rs in Rs in
crores % crores %
Sales:
Mopeds 327.88 11.5 318.72 11.7
Motorcycles 1,940.05 67.9 1,952.94 71.7
Scooters 386.19 13.5 292.58 10.7
Spares and accessories 166.09 5.8 140.29 5.1
Other income 36.21 1.3 20.87 0.8
TOTAL INCOME 2,856.42 100.0 2,725.40 100.0TVS MOTOR
COMPANY LIMITED
14
PARTICULARS
Year 2003-04 Year 2002-03
Rs in Rs in
crores % crores %
Raw materials consumed 1,855.17 64.9 1,858.68 68.2
Staff cost 133.75 4.7 103.96 3.8
Stores and tools consumed 37.52 1.4 22.82 0.9
Power and fuel 29.34 1.0 20.85 0.7
Repairs and maintenance 31.73 1.1 21.61 0.8
Packing & freight charges 70.86 2.5 66.27 2.4
50

Advertisement & publicity 105.55 3.7 105.94 3.9


Other selling expenses 187.74 6.6 137.03 5.0
Other expenses 109.13 3.8 104.36 3.9
Interest 1.21 2.83 0.1
Depreciation 79.89 2.8 79.91 2.9
TOTAL EXPENDITURE 2,641.89 92.5 2,524.26 92.6
PROFIT BEFORE TAX 214.53 7.5 201.14 7.4
Provision for tax
(incl. Deferred tax) 76.04 2.6 73.19 2.7
PROFIT AFTER TAX 138.49 4.9 127.95 4.7
The company has declared two interim devidends totalling to
130%
for the current financial year i.e. Rs. 1.30 per share on a face
value
of Re.1/- each.
Some of the key ratios for the current year are furnished in the
following table:
DESCRIPTION UOM 2003-04 2002-03
EBITDA / turnover % 10.4 10.4
Profit before tax / turnover % 7.5 7.4
Return on capital employed % 30.1 34.2
Return on net worth % 28.1 34.3
Earnings per share
(on a face value of Re.1/- per share) Rs. 5.83 5.54

51

The company was rated No.1 for being the most investor
friendly
company by "Business Today" magazine.
Internal control systems and their adequacy
The company has a robust internal control system to ensure
that
all the assets of the company are safeguarded and protected
against any loss.
The Enterprise Resource Planning (ERP) is working satisfactorily
and all the internal control systems are constantly evaluated
and
upgraded by an extensive review carried out by the internal
audit
department. Regular validation is being done through an
external auditor in the area of computer information security.
We have also strengthened the ERP authorization profile across
all functions to ensure data security and confidentiality.
Human resource development
The company believes that attracting, developing and retaining
the best talent is key to the success of the business. Therefore
it
focuses on attracting the best talent from all over the country,
then developing them through skill enhancement and retaining
them. The company enjoys good brand image in business
schools
and technical institutes, which enable it to attract and internally

52

groom the best talent.


A systematic orientation / induction programme for entry-level
and mid-career recruits is in place. Career development
workshops are conducted for entry level recruits for their
potential
evaluation, based on which their developmental needs are
identified. A focussed skill development program has been
initiated for all the functions based on skill mapping. Many
training
modules are being developed internally using Instructional
Design Methodology with clear objectives to measure training
effectiveness.
Employee engagement score through Gallup survey is one of
the indicators of morale and commitment to the job. The
employee engagement score has improved from 66
th
to 71
st
percentile in the recent Gallup employee morale survey.
Currently we have a young and energetic management team
at the helm of affairs. Leadership development is a key focus
area for the company. With the help of succession planning, job
rotation and leadership development initiatives, we have
created a strong cadre of highly effective managers.
As a part of our commitment towards welfare of the employees
53

and their families, several developmental programs like


personality development workshop and career guidance
workshops have been conducted for the employees children
apart from the functions like Founders Day and Family Sports

BRANDSThere are many brands of TVS


Motors company.as -

Scooty Pep Plus

Scooty Streak

Scooty Teenz

54

Star City (Kick)

Star City (Self)

Flame SR125(Drum)

Flame SR125(Disc)

Apache RTR 160

Apache RTR 160 FI

Apache RTR 180

Wego

Profit and lossParticulars


INCOME :
Sales Turnover
Excise Duty
Net Sales
Other Income
Stock Adjustments
Total Income

Mar-11

Mar-10

Mar-09

Mar-08

Mar-07

Mar-06

6,712.5
3
533.05
6,179.4
8
142.49

4,679.5
9
316.48
4,363.1
1
133.76

4,008.9
1
337.99
3,670.9
2
79.86

3,683.5
3
464.03
3,219.5
0
100.13

4,473.4
4
618.48
3,854.9
6
78.04

3,731.7
5
496.79
3,234.9
6
80.72

143.88
6,465.8
5

-1.95
4,494.9
2

-60.56
3,690.2
2

26.07
3,345.7
0

-37.72
3,895.2
8

60.70
3,376.3
8

4,757.7
9
68.10

3,135.4
0
50.23

2,722.8
3
46.25

2,471.5
8
41.79

2,865.6
5
43.10

2,381.7
9
36.47

320.54

248.45

204.52

176.19

171.39

155.20

EXPENDITURE :
Raw Materials
Power & Fuel Cost
Employee Cost

55

Other Manufacturing
Expenses
Selling and Administration
Expenses
Miscellaneous Expenses
Less: Pre-operative
Expenses Capitalised
Total Expenditure
Operating Profit
Interest
Gross Profit
Depreciation
Profit Before Tax
Tax
Fringe Benefit tax
Deferred Tax
Reported Net Profit
Extraordinary Items
Adjusted Net Profit
Adjst. below Net Profit
P & L Balance brought
forward
Statutory Appropriations
Appropriations
P & L Balance carried
down
Dividend
Preference Dividend
Equity Dividend %
Earnings Per Share-Unit
Curr
Earnings Per Share(Adj)Unit Curr
Book Value-Unit Curr

106.08

82.44

64.79

61.26

72.03

63.58

655.77

541.10

375.14

387.77

502.53

446.94

131.93

183.24

78.10

65.68

27.08

9.05

0.00

0.00

0.00

0.00

0.00

0.00

6,040.2
1
425.64

4,240.8
6
254.06

3,491.6
3
198.59

3,204.2
7
141.43

3,681.7
8
213.50

3,093.0
3
283.35

70.30

75.36

64.61

11.47

35.05

20.99

355.34

178.70

133.98

129.96

178.45

262.36

107.25

102.53

102.88

94.59

87.60

93.91

248.09

76.17

31.10

35.37

90.85

168.45

72.42

21.73

3.74

3.65

9.50

45.00

0.00

0.00

3.04

4.06

4.75

NA

-18.91

-33.57

-6.76

-4.11

10.00

0.50

194.58

88.01

31.08

31.77

66.60

117.00

-11.35

-31.85

1.60

28.74

6.44

13.26

205.93

119.86

29.48

3.03

60.16

103.74

0.00

0.00

0.00

0.00

-0.32

5.50

34.12

33.02

31.40

29.09

35.50

38.21

0.00

0.00

0.00

0.00

0.00

0.00

93.23

86.91

29.46

29.46

72.69

125.21

135.47

34.12

33.02

31.40

29.09

35.50

52.27

28.51

16.63

16.63

20.19

30.88

0.00

0.00

0.00

0.00

0.00

0.00

110.00

120.00

70.00

70.00

85.00

130.00

3.92

3.52

1.19

1.22

2.68

4.74

3.92

1.76

0.60

0.61

1.34

2.37

21.04

36.43

34.11

34.59

34.07

32.26

56

RESEARCH
MATHODLOGY
The research has been carried out using a mixture of
primary as well secondary data & facts.
However stress has been given to know buyers
response by contacting through the concerned
embassies and their Chamber of Commerce of the
respective country in South America via email.
Informal talks with the respondent helped gain valuable
information and to know about their difficulties. It
helped to win their confidence & establish rapport
thereby facilitating exact response. Conclusion has
57

been drawn from this analysis and findings presented in


this report.

Title Justification
TITLE - MARKET RESEARCH AND
PROMOTION OF SCOOTERS
The title of the project gains and insight into the market
study for the TVS Scooters confined to the MORADABAD
CITY region. The project enlightens the idea behind the
approach to the respective city Moradabad and the
cordial relations for the establishment of the business
purposes between Om TVS Moradabad and TVS
MOTORS PVT . LTD. company.

Objectives:The kingship objectives regarding the project are as


underlined
1. To untap the Moradabad city market.
2. To investigate into the market potential for the
concerned region.
3. To initiate an effective and efficient local
business.
The above objectives were met out by gathering the
information about Scooter companies through
respective Embassies of the concerned countries in
Moradabad city. This task was made possible through
contact and the product of their companies and OM TVS
were studied on the basis of market size, major
players, customer need and preference and
wants and economy dependency and then the
58

following Product offer sheet were drawn that matched


their level of product line.

The research is based on these TVS products-

Scooty Pep Plus

Scooty Streak

Wego

Scooty Pep Plus- Stroke

Weight

4
-

Eingine capacity-

90 cc

Fuel tank capacityGlo-ring

95 kg

5 ltr.
5bhp@6500

rpm
59

Milage

50-55 kmpl

Scooty Streak - Stroke

Weight

4
-

Eingine capacity-

96 kg
90 cc

Fuel tank capacity-

5 ltr.

Glo-ring

5bhp@6500

Milage

55-60 kmpl

104 kg

rpm

Wego

Stroke
Weight
Eingine capacity-

110 cc

Fuel tank capacity-

5 ltr.

Glo-ring

8bhp@6500

Milage

55-60 kmpl

rpm

COMPARISION WITH COMPATITORS MODELS60

FEATURES
ACTIVA

STREAK

PLEASURE

LIGHT WEIGHT
111KGS

96KGS

104KGS

AUTO CHOCK
NO

YES

NO

EASY CENTRE STAND


NO

YES

NO

MOBILE CHARGER
NO

YES

NO

EXTERNAL FUEL TANK


NO

YES

EXTRA COMFORT SEAT


NO

YES

LED LAMPS
NO
PARKING LAMPS
NO

NO

YES

NO

90/90*10

GLOVE BOX
LOCABLE

PETROL TANK CAPACITY


6

NO

YES

TYRE
3.5*10

GROUND CLEARENCE
145

NO

3.5*10

LOCKABLE
135
5

OPEN
125
5

LIMITATION OF THE RESEARCH


61

FOLLOWING WERE THE MAJOR LIMITATION OF


THE PROJECT,
This research has covered only MORADABAD CITY.
This research is only for the SCOOTERS, not for
any other product.
Less consumers of the brand.
Less awareness about this brand in the people
was another main problem.

Questionnaire of
scooty Retail.
62

1.
2.
3.
4.
5.

What is your good name?


Where do you live?
Whose purpose have you come here?
Do you own a scooty?
Yes/no
Which model of scooty do you own?
A.scooty pep +
B.scooty streak
c. wego
d. Activa
e. Pleasurs
f. duro
g.other scooty.

6. For whom do you want to purchase a scooty?


1. Self 2.dau./sis. 3. Wife 4.son 5.parents. 6.
for other person
7. Which is your preferred model?
(a) Pep+ (b) scooty streak. (c) Wego.

8. Which colour do you like?


(a) Normal colour.
-Black
- Red
- White
(B)Refresh colour
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-Sky
-Parrot Green
-Purple
(c) Fashion colour
- Pink
-Rosy
8. How do you want to purchase scooty?
(fin/cash)

By

9. When do you want to purchase scooty?

CONCLUSION
TVS Motor Company Ltd, the flagship company of TVS Group
is the third largest two-wheeler manufacturer in India. The
company manufactures a wide range of two-wheelers from
mopeds to racing inspired motorcycles. The company is having
their manufacturing plants at Hosur in Tamilnadu, Mysore in

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Karnataka and Solan in Himachal Pradesh. They are also


having one unit located at Indonesia.

TITLE - MARKET RESEARCH AND


PROMOTION OF SCOOTERS
The title of the project gains and insight into the market
study for the TVS Scooters confined to the MORADABAD
CITY region. The project enlightens the idea behind the
approach to the respective city Moradabad and the
cordial relations for the establishment of the business
purposes between BRASSCITY TVS MORADABAD and
TVS MOTORS PVT . LTD. company.
The above objectives were met out by gathering the
information about Scooter companies through
respective Embassies of the concerned countries in
Moradabad city. This task was made possible through
contact and the product of their companies and OM TVS
were studied on the basis of market size,major
players, customer need and preference and
wants and economy dependency and then the
following Product offer sheet were drawn that matched
their level of product line.

BIBLIOGRAPHYBOOKSAUTHORS
1.
Marketing management
Philip Kotler
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2.
Marketing research
J.K. Sharma
3.
Research methodology
C. R. Kothari

WEBSITES-

www.google.com
www.wikipedia.com
www.tvs motors.com

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