Key Steps in Selling Process of TVS motor's Product & Services:

Stage 1: Planning y y y y y y y y Assess key seller value drivers Compile list of likely and possible buyers and buyer types Determine role of selling executives post-sale Specify peculiar deal requirements Develop book describing seller Establish seller has authority to sell Conduct seller due diligence review Establish price and preferable deal structure

Stage 2: Marketing y y y y Determine best means for buyer approach Approach candidate buyers Meet with interested parties Quality lead candidates

Stage 3: Negotiation y y Create auction environment for lead candidates Develop/execute letter of intent with winning candidate

Stage 4: Driving toward closure y y y y y Undertake due diligence of seller records Drafts/negotiate Acquisition Agreement Acquire financing as necessary Deal with employee/management issues Start integration planning

Step 5: Closing y y y y Satisfy seller and buyer necessary to close Sign Acquisition Agreements Transfer condition Commences market communication

Organization Design
TVS determines the basic segmentation of sales forces on the basis of responsibility; one is force to select one dimension perceived to be the dominant force of the organizational activities. TVS basically has three dimensions that could be candidates for their sales force organization and they are: Functions Business segments Geographical areas Function: The functional form of organization is structured around the input required to perform the organizational task. Typically, these inputs are centered on professional specialties or disciplines such as finance, marketing production, sales, engineering, research & development and personnel. The functional form leads to a centralization of the management activities, science it only at the highest level where the responsibility of co-coordinating all functional tasks resides. A functional organization tends to develop highly qualified technical skills & a climate conducive to technical excellence and high efficiency. It provides a critical mass for the career advancement of its professionals. But its inherent strength on specialization pushes the decision making process upward, because only at the top we do find the confluence of the inputs required for the final decision. Business segments: The selection of business segments as the dominant dimension for organizational design allows for an effective exploitation of the opportunities that might be available in each individual business segments. The division / strategic business unit then became a self sustaining business in its own right having a legitimate business climate that allows for the identification of genuine profit centers. Thus each SBU provides an excellent training ground for the development of general managers. The top managers of the organizations significantly relieved from the routine operational task and then can therefore exercise a much more meaningful role in planning the business portfolio and overall divisional growth This form of organization allows TVS to form strategic development of each major business of the firm either by internal group or by consolidating new acquisitions into appropriate business segment Geographical Area: As TVS has to cover a wide geographical territory with a strong need for maintaining high level of services responsive to the individual idiosyncrasies of each area, a geographical divisional organization could be appropriate. Thus the basic segmentation results in regional managers who when taken to an extreme can be in total control of all functions and business in their own regions. TVS has an organizational structure which is complex rather we can say it becomes a hybrid structure with various forms of organizational structure coming together. In such a structure, some centralized functions can report directly to the CMD, some regionalization focus can emerge either at first or second organization level.

the network of retailers, distributors, and agents who all contribute to selling a product

The automotive industry is an extremely reliable indicator of economic growth; quite obviously, its growth boosts the economys performance. The automobile industry grew at a compound annual growth rate (CAGR) of 22 per cent between 1992 and 1997, industry that was licensed, controlled and restricted in the early years of independent India and had limited contribution to the economy, currently contributing about 5% of the GDP and it is targeted to grow five fold by 2016 and account for over 10% of Indias GDP.

Sales and distribution of the products of TVS Motors

The company pays for all the transportation costs of the cars. Financial Terms with Channel partners within this network the only channel partners are dealers and C&F agents. The C&F agents are selected by the company on the basis of their capacity and ability in transporting the cars and the cost they quote for their services. The dealers on the other hand are selected by the company on the basis of their ability and willingness to invest, their ability to promote sales and the availability of an appropriate location for the showroom and service centre on their part.

Effective Sales and Distribution network boast the image of the company. Sales and Distribution network is like important pillars for the automobile sector where one support the availability part for the final consumer and the other take care of the growth path which is effective sales system. Automobile majors increase profitability by selling more units. As number of units sold increases, average cost of selling an incremental unit comes down. This is because the industry has a high fixed cost component.

No C&F agents are involved in other process. At the time of sale the dealer is entitled to some amount per car as servicing charges, however, if a car sold by one dealer is serviced by another then the latter is entitled to reimbursement of the amount. This is done through a reimbursement slip. TVS motors also have a 24 hour helpline no. This facility is not only available in big towns like Delhi and Mumbai. It is also available in small towns also. TVS motors takes good care of its customers by getting a, a customer satisfaction form and a sales satisfaction form filled by its customers.

there are dealers of TVS in allover country. Keeping in mind the fact that TVS has emerged a serious competitor for the small segment car, TVS should definitely increase the number of dealers in the country in order to face competition given by TVS. Usually the dealers buy cars from the company even before they get orders from the customers and then they

are free to sell to the customers. So in a way there is no direct relation between the customers and the company but we think that there has to be some sort of direct relationship between the two.