The SUZUKI Car Company has been largely credited for having brought in an automobile revolution to India.

What started as a small scale joint venture ith !atuti has no evolved into the India"s largest car manufacturing company. #ut unfortunately their counterpart SUZUKI !otorcycle company never really enjoyed that much success in India. There as a time hen their business loo$ed all set and roc$ing% and then there ere times hen it as in a major crisis. &nd finally they had to pac$ off their bags and 'uit unceremoniously only to come bac$ again ( years )ater. WHERE THERE IS RISE, THERE IS A FALL * Well that seems to be the e+act case in the ,-year old joint venture bet een T.S and Su/u$i.In ,012% Su/u$i came together ith T.S for the production of ,33cc motorcycles under the name of Ind*Su/u$i. Subse'uently in the moped division as bought by Ind Su/u$i !otorcycles in ,01- and the company changed its name to T.S Su/u$i )td. Su/u$i as to provide technical assistance to T.S. 4ven though T.S had a ide range of products for offering including mopeds% scooters and motorcycles% the Su/u$i collaboration as for the !otorcycles only. Soon sales started to pic$ up and the models ere an instant hit. The !a+*,33 motorcycles ere very much success and reliable% so much that these motorcycles formed a base for further development of products for the company. In late ,003"s the company posted losses for the first time. &utomobile analysts remar$ed T.S Su/u$i"s products lagged behind in performance and fuel efficiency hen compared to the other companies. & year later company loc$out due to labor problems and it got a 5practically sic$ company" image. In ,006% a turnaround strategy as formulated. T.S*Su/u$i then introduced five ne models all of sudden hich including Supra% Supra SS% Shogun% Samurai and Shaolin% hich as India"s first (speed ,23cc motorcycle. &ggressive mar$eting strategies ere used and Special attention to s$ill development of managers% sales officers and service engineers ere given. 7umber of 8ealership outlets as reduced from 233 to 6(3. The move off and the company succeeded in ma$ing a turnover of 9s. 2.,billion and a net profit of 9s.:33 million in the year ,002. It as a remar$able road of recovery. Soon the company rose to spar$ling heights and as in close competition ith ;ero ;onda. T.S*Su/u$i as no India"s Second )argest t o heeler manufacturing company. Some here in the midst of the turnaround% 8ifferences bet een the t o surfaced up. T.S accused Su/u$i of creating roadbloc$s in the management and also strongly resisted the launch of Samurai and Shogun% both of hich proved to be successful. !oreover Su/u$i refused T.S% more funds and technology for ne models to $eep in pace ith the competition.< 4verything ithout e+ception had to be approved by Su/u$i< said a T.S spo$esman. =>oint ventures are li$e long*term friendships. They go through ups and do ns. Changes in circumstances and e+pectations may cause tensions in the joint venture. #ut if you have a robust or$ing relationship% hatever be the tension% you don"t go and shout from the rooftops. ?ou $eep negotiating% fighting internally% hammering it out and finally arrive at something that both can live ith.< said !r .enu Srinivasan% !anaging 8irector of T.S*Su/u$i% in an intervie for #usiness )ine% in ,00@% hen as$ed about his e+perience of or$ing in a joint venture and reports of tension among the partners. Soon the official version came out in public. It is said that Su/u$i 8emands ere .4TA 9ights over aspects of management and in 8ecision*ma$ing process% 9estrictions on 4+ports% Conditions to restrict use of )ocal Components% Compulsory Import of all 8yes and Capital e'uipments from Su/u$i and Bayment of 9oyalty for an indefinite period. T.S Straight*a ay resisted all of these demands. The Covernment decided not to interfere in the issue and soon T.S*Su/u$i itnessed ;uge 8ecline in sales. The Indian !otorcycle segment shifted four stro$e models and T.S*Su/u$i

lost out on ;uge 8emand. Then Su/u$i e+pressed desire to increase the 4'uity holding and in &ugust% 633, they entered an agreement ith Ka asa$i for Broduct 8evelopment% 8esign 4ngineering and !anufacturing. T.S sa this as a direct conflict of interest. &nd finally in September% 633, T.S*SUZUKI announced their brea$up. T.S bought the 6(.0-D sta$e of Su/u$i for 9s.03 million% increasing its sta$e to (1.2:D. The stylish ,(3ccc Eiero as the last product of T.S*Su/u$i. It as a celebration time for other companies as the company ith Su/u$i"s omission didn"t seem to head any here and T.S ill prove to be a ea$er company in the years ahead. The Su/u$i !otorcycles abandoned all its operations and left the country only to renter India five years later. Erom there on% they have been on a slo and steady course and are or$ing to ards building a good company image. !aybe the fact that Su/u$i brand has a major customer recall as a car ma$er could help in bringing customers to its sho room.

9ecently they launched a ide array of their international motorcycles including the prestigious ;ayabusa% Ci++er ,333 and #andit. &s of 63,3% the company seems to travelling on a positive trac$ and has seven products on the offering. )oo$s li$e Time has changed for them no % #ut before that they ill have to face the heat from ;ero ;onda and #ajaj% top t o manufacturers in the country% not to mention their old friend T.S ho are no third on that list.