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Originally posted by gixxer_junkie_m
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From what i've heard from TVS people,the way the Japanese co's deal with their JV partners is that ,they don't allow them to do any R&D work at all and completely deny their participation in engineering technical aspects of a bike.They just give them a finished product and don't even sanction their Indian JV partner to modify or improve the technical aspects.That's the thing which happened with the JV of TVS-SUZUKI and it seems with great difficulty in convincing SUZUKI did TVS R&D came out with the SUPRA .Which was a power upgrade of the AX100.Adding to that,SUZUKI wanted to take over the majority stake in the JV and TVS being a fiercely independent entity had enough of it and got out of the JV.
I am sure HERO also had the same experience and unlike TVS they have made a huge mistake in not getting into any R&D aspects.Were as TVS has always been involved in racing and it used that as a R&D.So when the JV ended TVS had the technical know how and the capability to come out with a in-house developed product in VICTOR.The question here is can HERO do the same?
Instead of investing crores on a celebrity to endorse their name ,they could have spent the same money on a separate co or on a R&D unit.Instead of sharpening their skills on sticker designing work.
Bajaj knew about these things and they never got too dependent on KAWASAKI and TVS did their R&D work while racing.But HERO hasn't done either,so a lot depends on their next product which won't have any HONDA engineering in it.To put it shortly ,HERO needs a PULSAR or an VICTOR and that will decide their future in the same manner as the above mentioned models did for BAJAJ and TVS.
HERO can take the easy way out by buying a European R&D.But if they get into a JV with any European brand their products won't be cheap, as European makers will never sell their products as cheaply as Japanese do.The branding and marketing strategy of European makers are totally different from Japanese makers and they wouldn't take it kindly to their brand value being diluted.
I am sure HERO also had the same experience and unlike TVS they have made a huge mistake in not getting into any R&D aspects.Were as TVS has always been involved in racing and it used that as a R&D.So when the JV ended TVS had the technical know how and the capability to come out with a in-house developed product in VICTOR.The question here is can HERO do the same?
Instead of investing crores on a celebrity to endorse their name ,they could have spent the same money on a separate co or on a R&D unit.Instead of sharpening their skills on sticker designing work.
Bajaj knew about these things and they never got too dependent on KAWASAKI and TVS did their R&D work while racing.But HERO hasn't done either,so a lot depends on their next product which won't have any HONDA engineering in it.To put it shortly ,HERO needs a PULSAR or an VICTOR and that will decide their future in the same manner as the above mentioned models did for BAJAJ and TVS.
HERO can take the easy way out by buying a European R&D.But if they get into a JV with any European brand their products won't be cheap, as European makers will never sell their products as cheaply as Japanese do.The branding and marketing strategy of European makers are totally different from Japanese makers and they wouldn't take it kindly to their brand value being diluted.
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