ASSIGNMENT

INTERNATIONAL MARKETING
TVS MOTORS

Submitted by:
Sujit Chandrashekhar Hegde
Ajeya N
Naresh Derkhaje
“Marketing”
Department of Business Administration
Sahyadri College of Engineering and Management
Adyar, Mangalore – 07

Submitted to:
Dr. Azhar Shaheen S Shaikh
Department of Business Administration
Sahyadri College of Engineering and Management
Adyar, Mangalore – 07

Submitted on:

10 / 2 /2020
 TVS in Bangladesh
This is the study about the international business strategy of TVS Motor Company for their
two wheeler motorcycle. As a part of this study, it has been investigated the sales &
marketing strategy, brand strategy, primary target customers, marketing communication
strategy and advertisement policies of TVS company by focusing on two wheeler motorcycle
industry of Bangladesh. TVS Motor Company is an Indian based world leading two and three
wheeler vehicles manufacturer. They have been conducting TVS motorcycle assembling and
marketing in Bangladesh since 2007.
This is a qualitative study where it has used the secondary data. The secondary data has been
collected from the TVS Company’s website, newspaper, articles and various motorcycle
companies’ websites. Motorcycle industry of Bangladesh is very competitive. There are
many strong competitors of TVS motorcycle like Runner, Bajaj, Victor R, Honda, Hero,
Lifan, Yamaha etc. The international strategy of TVS motor is to ensure a Win-Win situation
for both the organization and the customers hold immense value and have become imperative
in the current times. The TVS Company has always prepared a strong marketing strategy
with capital and technical capability to operate in Bangladesh market.
The primary target of TVS motorcycle in Bangladesh is to grow market share and defend that
at any cost. The main strategy of TVS motorcycle in Bangladesh is directed towards high
sales per model and offering low costs compare to its competitor. In Bangladesh, the main
focus of the company is creating brand image by offering good customer services. In this
report, it is recommended that TVS motorcycle should carefully design the after sales
services; they should make online campaigns, road shows, canopy, sponsorships etc and they
should launch more attractive TVS commercials to make its new offering more popular and
to make TVS a better brand in Bangladesh.
The first TVS Auto Bangladesh Limited 160 cc motorcycle was inaugurated in the history of
motorcycle in Bangladesh. With the experience received from the racing track, TVS Apache
RTR 160 has a new high-quality R & D conference. A 159.7 cc single cylinder motor has
been added to the motorcycle which produces 15.2 horse powers at 15.1 nm TOR. From the
square race, the inspired engine's short stroke set up ensures more pickup and gives quick
speed. The CEO of the company said that TVS Apache 150's RTR series has already
achieved remarkable success and we are the leading brand in the Sports Bike segment of
Bangladesh. We are very happy to inaugurate the series Apache RTR 160 in Bangladesh. He
said, while preparing the Apache RTR 160, we have put the most importance on its
performance and features. We tried, it could give maximum performance. We believe,
through greater performance and strength of Apache RTR 160, we can meet the customers'
needs and in the future it will serve as a milestone. Sale of Apache RTR 160 is priced at 1,
77, 900, and it will be available in all showrooms and dealer showrooms in TVS Auto
Bangladesh - Matte Black, Matte Blue and Matt Red. The premium color on the front of the
motorcycle and a three-color logo drawn on the tank, gave it a premium look.
Atlas Bangladesh and TVS Bangladesh jointly sign a Memorandum of Investment to produce
important spare parts for motorcycles in Bangladesh considering the market demand. It is to
be noted that, for state-owned entities, Atlas Bangladesh Limited, there is a chance to supply
motorcycle in government, semi-government, autonomous organizations and direct
purchasing mechanism between NGOs and open tender system. As a result of the
Memorandum of Understanding signed Atlas Bangladesh will be able to supply the TVS
motorcycles directly to such organizations. As a result, the state-owned factory is expected to
create opportunities for expansion of modern technology as well as increase the profitability
of the factory.

TVS Motor global sales declined near 10% in the 2019 mirroring the negative performance
in the domestic market. Sales have been 2.9 million confirming the fifth place in the ranking
of top selling motorcycles manufacturer in the World, Despite having a distribution network
in over 60 countries, international business is still too marginal.
Global Sales
TVS Motor distributes motorcycles in over 60 countries, while the weight of the Indian
domestic market is still predominant. Indeed, India accounts for the 96% of 2019 sales. Since
2012, the brand has constantly grown, registering new records each year with sales boomed
from 1.9 million (2012) to an impressive 3.2 million in 2018.
Sales are generally growing in almost all countries, with difficulties in ASEAN region and in
Indonesia more than elsewhere. However, as said, the rapid development of the domestic
Indian market was the accelerator of TVS Motor sales. NO surprise if sales in the 2019
declined, following the negative trend of the domestic market, where TVS is the third best
selling manufacturer following Hero and Honda and well ahead of the rival Bajaj Auto.
Differently from Bajaj, which is among the leaders not only at home but also in few foreign
markets, TVS Motor is a giant at home and a dwarf outside. Final 2019 figures have been 2.9
million units, losing near 10% from the previous year Outside India, sales are growing in
Bangladesh, Latin America and ASEAN region while are negative in East Europe.
TVS Motor unveils new 125 cc race edition scooter in Sri Lanka
Two and three-wheeler manufacturer TVS Motor on Friday said it has unveiled a 125 cc
scooter TVS NTORQ Race Edition equipped with new features. The launch of the scooter
witnessed a huge turnaround in the Sri Lankan scooter market, TVS Lanka CEO Ravi
Liyanage said. "The scooter has become an immediate favourite and we are sure the Race
Edition will satisfy the customers seeking an element of thrill and wanting more from the
scooter," he said.
According to a company statement, the Race Edition features LED day-time running lamps,
LED headlamp and also equipped with a hazard lamp enabled by a switch. The vibrant
chequered flag graphics along with the 'Race Edition' emblem on the scooter accentuates the
TVS Racing pedigree. The scooter comes in a three-tone combination of matte black,
metallic black and metallic red colour, the company said.
 TVS Motor Company Expands International Business In Honduras
TVS Motor Company, one of India's leading exporters of two-wheelers and three-wheelers,
has entered into a partnership with Motomundo SA, one of the largest business groups in
Honduras. As part of the partnership, Motomundo SA will facilitate the sales and service of
TVS products across all Motomundo stores in Honduras in a phase-wise manner.
Motomundo stores will start with an exclusive outlet for TVS Motor Company, and within a
year, plans to expand to three exclusive stores in the country. TVS Motor Company will be
present in 40 Motomundo outlets and over 25 dealers across Honduras. The company will
also operate 25 service outlets to ensure complete service and spares support. The range of
TVS two-wheeler offerings will be supplemented with attractive retail finance schemes.
"We are delighted to partner with Motomundo SA, to expand our presence in Honduras.
Motomundo SA shares our values of maintaining high quality of service and transparency
across operations. At TVS Motor Company, we place supreme importance on making
products which boast of superior quality and cutting-edge technology. The unique network of
distribution that Motomundo SA has developed makes them the best strategic ally for TVS
Motor Company. With this partnership, we will be able to offer customised products with
complete service and spare parts for our customers and consolidate our presence in the
region," said R Dilip, Executive Vice President - International Business, TVS Motor
Company.

Team Sherco TVS Rally Factory Concludes Dakar 2020 Campaign With Impressive
Performance

The Sherco TVS Rally Factory Team performed really well at the recently concluded 2020
Dakar Rally. Held amidst the dunes of Saudi Arabia, this year’s rally witnessed the tragic loss
of Team Hero Motosports’ Paulo Goncalves after the rider crashed during Stage 7. For the
Sherco TVS Rally Factory team, French rider, Adrien Metge reached a noteworthy ranking
by finishing the final stage of the Rally at position 7, owning to his consistent performance
throughout Dakar. This is Adrien’s 5th appearance at the Rally, where he recorded his overall
position in the 12th place.
Indian entrant and Dakar Rally debutant, Harith Noah put on display a commendable
performance at the 42nd edition of the Rally. Despite not being eligible for the overall
ranking, Harith had participated in the Dakar Experience category since Stage 4, due to
facing a technical difficulty post Stage 2, and ended the final Stage of Dakar Rally 2020 at
the 27th position. Harith is considered as one of the brightest talents from India and has
shown tremendous performance in other international rallies.
 TVS Motor Company's new factory in Karawang
President Susilo Bambang Yudhoyono yesterday inaugurated the factory of PT TVS Motor
Company Indonesia in the Surya Cipta Estate in Karawang. The President was accompanied
by Mrs. Ani Bambang Yudhoyono and Minister of Industry, Fahmi Idris and West Java
Governor, Danny Setiawan. Chairman of TVS Motor Company India, Mr.Venu Srinivasan
accompanied by Mrs. Mallika Srinivasan, and the President Commissioner of PT TVS Motor
Company Indonesia, Mr.Nihal Kaviratne, were also on hand to greet the dignitaries.

The factory, located in 20 hectares of land with complete manufacturing facilities, is

producing the TVS Neo, the new generation of bebeks for the Indonesian market. With a
capacity of 300 thousand units per year, the company will be producing other variants and
models. The factory has a track for testing motorcycles, a training center, quality
laboratorium, offices and other support facilities. President Susilo Bambang Yudhoyono
congratulates TVS Motor Company India and TVS Motor Company Indonesia for its success
in building the motorcyle factory in Karawang, West Java. The President hopes that the
company will continue to grow and contribute to Indonesia's economy as well as the people's
efforts to improve their welfare. The President also wishes to see the cooperation between
Indonesia and India growing in future.

Problem faced by TVS Motors

TVS said international factors such as geo-political scenarios and rising crude oil prices are
being continuously monitored for both risks and opportunities. "Changing trade policies of
USA, Brexit and unforeseen challenges in Chinese economy can lead to escalation of
uncertainty in global economic growth.

"Majorly, industry will undertake a significant change in migrating from BS-IV to BS-VI
emission norms commencing from April 1, 2020. Hence, in second half of 2019-20, BS-VI
transition will pose some challenges and the company is gearing itself to meet the same,"
TVS Motor Co said in its Annual Report for 2018-19.
 TVS Motor Company registers sales of 231,571 units in December 2019
TVS Motor Company registered sales of 231,571 units in December 2019 as against sales of
271,395 units in the month of December 2018. As planned, the Company has started
producing and dispatching BSVI vehicles of 2020 TVS Apache RTR series, TVS Jupiter
Classic and TVS XL.
Total two-wheelers registered sales of 215,619 units in December 2019 as against sales of
258,709 units in December 2018. Domestic two-wheeler registered sales of 157,244 units in
December 2019 as against sales of 209,906 units in December 2018.
Motorcycle registered sales of 93,697 units in December 2019 as against sales of 107,189
units in December 2018. Scooter sales of the Company registered sales of 74,716 units in
December 2019 as against sales of 91,480 units in December 2018.
The Company's total exports grew by 22% from 60,262 units registered in the month of
December 2018 to 73,512 units in December 2019. Two-wheeler exports grew by 20%
increasing from 48,803 units in December 2018 to 58,375 units in December 2019.
Three-wheeler of the Company grew by 26% increasing from 12,686 units in December 2018
to 15,952 units registered in December 2019.
During the third quarter of the current financial year, two-wheeler posted sales of 7.7 lakh
units as against sales of 9.5 lakh units in the third quarter of the previous year. Sales of three-
wheelers of the Company grew by 22% from 0.4 lakh units in the third quarter of the
previous year to 0.5 lakh units in the third quarter of the current year.

Distribution
TVS Motor Company is the second largest two-wheeler export manufacturer from India and
one among the top ten in the world exporting to more than 60 countries.
Asia & Pacific:
Afghanistan, Bahrain, Bangladesh, Cambodia, Indonesia, Iran, Iraq, Kuwait, Myanmar,
Nepal, Philippines, India, Sri Lanka, UAE, Yemen Europe: Turkey
Africa:
Benin, Burkina-Faso, Burundi, Comoros, Central African Republic, Congo, Djibouti,
Ethiopia, Gambia, Guinea Bissau, Ghana, Mozambique, Guinea, Ivory-Coast, Kenya,
Liberia, Malawi, Mali,Mauritius, Niger, Nigeria, Seychelles, Senegal, Sierra-Leone,
Tanzania, Togo, Uganda,Zambia.
Latin America: Colombia, Costa-Rica, Dominican-Republic, Ecuador, Honduras, Mexico,
Nicaragua, Peru.