Evolution of Two-wheeler Industry in India

Two-wheeler segment is one of the most important components of the automobile
sector that has undergone significant changes due to shift in policy environment. The two wheeler industry has been in existence in the country since 1955. It consists of three
segments viz. scooters, motorcycles and mopeds. In India there are some MNC’s and Indian company dealing in automobile sector. The main key players who are dealing in this sector are Hero Motocorp, Bajaj, Yamaha, Honda, and TVS. Hero Motocorp is the biggest player in this sector in India as well as in the world and playing a very important role in two wheeler automobile sector. Hero Motocorp, Bajaj and TVS are the Indian companies and Yamaha & Honda are international automobile brand.

Hero Splender

Bajaj is the first Indian two wheeler automobile company in the market since
1945 with the name M/s Bacharj trading corporation private limited. In 1959 M/s Bacharj
trading corporation private limited change its name as Bajaj Auto Ltd. Bajaj Auto obtains
license from the Government of India to manufacture two- and three-wheelers vehicles in

Hero Motocorp Motors Limited was established in 1984, as a joint venture
between India’s Hero Group (world’s largest bicycle manufacturers) and Japan’s Honda
Motor Company. And created the world’s single largest two wheeler company and also one of the most successful joint ventures worldwide. During the 80s, Hero Motocorp became the first company in India. Over 19 million Hero Motocorp two wheelers running on Indian roads today.

TVS Motors is the third largest company in the two-wheeler industry with a
market share of 16%. Infect, it is the only Indian company without a foreign collaboration in the two-wheeler industry. When the company opted out of the collaboration with Suzuki in 2002, many believed that TVS was headed towards extinction. But the company proved the doomsayers wrong and came out with a very successful `TVS Victor’. TVS Motors Ltd.
originally incorporated in 1982 to manufacture two-wheelers in collaboration with Suzuki
Motors of Japan, TVS was one of the leaders in two-wheeler industry

Yamaha Motor Corporation is the auto mobile company of Japan(1953) which works in India since 1955 and providing latest technology in India from last two decades. Yamaha Motor India was incorporated in august 2001 as a 100% subsidiary of Yamaha motor corporation, Japan

Honda motors of Japan is not a new name in the two wheeler scenario in the
country, they were in a tie up with the Firodias owned Kinetic group. However in the late
90s they parted ways after problems arose over issues like introduction of new models,
advertising expenditure, marketing strategies and other related issues. In the mid 80 Honda motors of Japan joined hands with the largest bicycle maker of India the Hero cycles to create Hero Motocorp which in a couple of decades or so have gone on to become the single largest motorcycle company in the world. Though Honda has come on its own on the Indian market yet it will be providing technological support to Hero Motocorp for the next ten years. Thus presenting a unique situation in which the company will be in direct competition with the company which it has been associated for nearly two decades. Honda Motorcycles and Scooters India limited, a 100% subsidiary of Honda motor company Japan eventually entered the Indian market with Honda Unicorn in 2004.

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