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 in India is one of the largest in the world and one of the fastest
growing globally. It is the world's second largest manufacturer of motorcycles, with annual sales
exceeding 8.5 million in 2009.[1] India's passenger car and commercial vehicle manufacturing
industry is the seventh largest in the world, with an annual production of more than 2.6 million
units in 2009.[2] In 2009, India emerged as Asia's fourth largest exporter of passenger cars,
behind Japan, South Korea and Thailand.[3]

India manufactures over 11 million 2 and 4-wheeled vehicles and exports about 1.5 million every
year.[4]

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[60]: Nano, Indica, Indica Vista, Indigo, Indigo Manza, Indigo CS, Sumo,
Safari, Xenon, Aria

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 (NSE: TATAMOTORS, BSE: 500570, NYSE: TTM) is a multinational
corporation headquartered in Mumbai, India. Part of the Tata Group, it was formerly known as
 (TATA Engineering and Locomotive Company).

Tata Motors is India¶s largest automobile company, with consolidated revenues of USD 20
billion in 2009-10. It is the leader in commercial vehicles and among the top three in passenger
vehicles. Tata Motors has products in the compact, midsize car and utility vehicle segments. The
company is the world's fourth largest truck manufacturer, the world's second largest bus
manufacturer, and employs 24,000 workers. Since first rolled out in 1954, Tata Motors has
produced and sold over 4 million vehicles in India.[2]

Established in 1945, when the company began manufacturing locomotives, the company
manufactured its first commercial vehicle in 1954 in a collaboration with Daimler-Benz AG,
which ended in 1969.[3] Tata Motors is a dual-listed company traded on both the Bombay Stock
Exchange, as well as on the New York Stock Exchange. Tata Motors in 2005, was ranked among
the top 10 corporations in India with an annual revenue exceeding INR 320 billion. In 2010, Tata
Motors surpassed Reliance to win the coveted title of 'India's most valuable brand' in a annual
survey conducted by Brand Finance and The Economic Times. [4]

Tata Motors has auto manufacturing and assembly plants in Jamshedpur, Pantnagar, Lucknow,
Ahmedabad, Sanand,Dharwad and Pune in India, as well as in Argentina, South Africa and
Thailand.
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Tata Motors is a part of the Tata Group manages its share-holding through Tata Sons. The
company was established in 1945 as a locomotive manufacturing unit and later expanded its
operations to commercial vehicle sector in 1954 after forming a joint venture with Daimler-Benz
AG of Germany. Despite the success of its commercial vehicles, Tata realized his company had
to diversify and he began to look at other products. Based on consumer demand, he decided that
building a small car would be the most practical new venture. So in 1998 it launched Tata Indica,
India's first fully indigenous passenger car. Designed to be inexpensive and simple to build and
maintain, the Indica became a hit in the Indian market. It was also exported to Europe, especially
the UK and Italy.
  

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After years of dominating the commercial vehicle market in India, Tata Motors entered the
passenger vehicle market in 1991 by launching the Tata Sierra, a multi utility vehicle. After the
launch of three more vehicles, Tata Estate (1992, a stationwagon design based on the earlier
'TataMobile' (1989), a light commercial vehicle), Tata Sumo (LCV, 1994) and Tata Safari (1998,
India's first sports utility vehicle). Tata launched the Indica in 1998, the first fully indigenous
passenger car of India. Though the car was initially panned by auto-analysts, the car's excellent
fuel economy, powerful engine and aggressive marketing strategy made it one of the best selling
cars in the history of the Indian automobile industry. A newer version of the car, named Indica
V2, was a major improvement over the previous version and quickly became a mass-favourite.
Tata Motors also successfully exported large quantities of the car to South Africa.The success of
Indica in many ways marked the rise of Tata Motors.[12]




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Main article: Tata Daewoo Commercial Vehicle

Tata Motors aimed to increase its presence worldwide. In 2004, it acquired the Daewoo
Commercial Vehicle Company of South Korea. The reasons behind the acquisition were:

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Tata remains India's largest heavy commercial vehicle manufacturer and Tata Daewoo is the 2nd
largest heavy commercial vehicle manufacturer in South Korea. Tata Motors has jointly worked
with Tata Daewoo to develop trucks such as Novus and World Truck and buses namely, GloBus
and StarBus.

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Main article: Hispano Carrocera

In 2005, sensing an opportunity in the fully-built bus segment, Tata Motors acquired a 21% stake
in Hispano Carrocera SA,[13] the leading European bus and coach cabin maker. In 2009, the
company picked up the remaining 79% stake in Hispano Carrocera SA for an undisclosed sum,
making it a fully-owned subsidiary.

   
     

Main articles: Jaguar Cars and Land Rover

After the acquisition of the British Jaguar Land Rover (JLR) business, which also includes the
Daimler, Lanchester and Rover brands,[14] Tata Motors became a major player in the
international automobile market. On 27 March 2008, Tata Motors reached an agreement with
Ford to purchase their Jaguar Land Rover operations for US$2.3 billion. The sale was completed
on 2 June 2008.[10]

In addition to the brands, Tata Motors has also gained access to two design centres and two
plants in UK. The key acquisition would be of the intellectual property rights related to the
technologies.

  



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Tata Motors has formed a 51:49 joint venture in bus body building with Marcopolo of Brazil.
This joint venture is to manufacture and assemble fully-built buses and coaches targeted at
developing mass rapid transportation systems. The joint venture will absorb technology and
expertise in chassis and aggregates from Tata Motors, and Marcopolo will provide know-how in
processes and systems for bodybuilding and bus body design. Tata and Marcopolo have launched
a low-floor city bus which is widely used by Chennai, Delhi, Mumbai, Lucknow and Banglore
transport corporations. It's manufacturing facility is based in Dharwad.

Tata Motors also formed a joint venture with Fiat and gained access to Fiat¶s diesel engine
technology.[15] Tata Motors sells Fiat cars in India through a 50/50 joint venture Fiat
Automobiles India Limited, and is looking to extend its relationship with Fiat and Iveco to other
segments. Tata has also formed several JV's with many small companies in various countries
around the world.

 

    

Main article: Tata Nano


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In January 2008, Tata Motors launched Tata Nano, the least expensive production car in the
world at about 120,000 (US $3000).[16] The city car was unveiled during the Auto Expo 2008
exhibition in Pragati Maidan, New Delhi.[17]

Tata has faced controversy over developing the Nano as some environmentalists are concerned
that the launch of such a low-priced car could lead to mass motorization in India with adverse
effects on pollution and global warming. Tata has set up a factory in Sanand, Gujarat and the
first Nanos are to roll out summer 2009.

Tata Nano Europa has been developed for sale in developed economies and is to hit markets in
2010 while the normal Nano should hit markets in South Africa, Kenya and countries in Asia
and Africa by late 2009. A battery version is also planned.

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Main article: Tata Ace


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Tata Ace, India's first indigenously developed sub-one ton mini-truck, was launched in May
2005. The mini-truck was a huge success in India with auto-analysts claiming that Ace had
changed the dynamics of the light commercial vehicle (LCV) market in the country by creating a
new market segment termed the small commercial vehicle (SCV) segment. Ace rapidly emerged
as the first choice for transporters and single truck owners for city and rural transport. By
October 2005, LCV sales of Tata Motors had grown by 36.6 percent to 28,537 units due to the
rising demand for Ace. The Ace was built with a load body produced by Autoline Industries.[18]
By 2005, Autoline was producing 300 load bodies per day for Tata Motors. Tata Ace - Apka
Pyaara Chota Hathi.

Ace is still a top seller for TML with 5M units sold to date (June 2010).[19]

Ace has also been exported to several European, South American and African countries and all-
electric models are sold through Chrysler's Global Electric Motorcars division.[20]

  

    

Main article: Tata OneCAT


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Motor Development International of France has developed the world's first prototype of a
compressed air car, named OneCAT.[21] In 2007, MDI owner Guy Negre was reported to have
"the backing of Tata".[21]

It has airtanks that can be filled in 4 hours by plugging the car into a standard electrical plug. In
2008 MDI planned to also design a gas station compressor, which would fill the tanks in 3
minutes.[22] There are no gasoline costs and no fossil fuel emissions from the vehicle when run in
town, but "the compressed air driving the pistons can be boosted by a fuel burner".[22]

OneCAT is a five seat vehicle with a 200-litre (7.1 cu ft) trunk. With full tanks it is said to run at
100 km/h (62 mph) for 90 kilometres (56 mi) range in urban cycle. There are severe physical
arguments pleading against those figures. In December 2009 Tata's vice president of engineering
systems confirmed that the limited range and low engine temperatures were causing
difficulties.[23]
 
  

Tata Motors unveiled the electric versions of passenger car Tata Indica and commercial vehicle
Tata Ace. Both run on lithium batteries. The company has indicated that the electric Indica
would be launched locally in India in about 2010, without disclosing the price. The vehicle
would be launched in Norway in 2009.[24]

Tata Motors' UK subsidiary, Tata Motors European Technical Centre, has bought a 50.3%
holding in electric vehicle technology firm Miljøbil Grenland/Innovasjon of Norway for
US$1.93 M, which specialises in the development of innovative solutions for electric vehicles,
and plans to launch the electric Indica hatchback in Europe next year.[25][26][27] On 17 Sept 2010
Tata motors presented to the DTC [ Delhi Transport corporation] Four CNG - Electric Hybrid
lowfloored Starbuses to be used for commonwealth games. These will be the first
Environmentally friendly buses to be used for public transportation in India.


 
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Tata Motors Limited is India¶s largest automobile company, with revenues of 35,651.48 crore
(US$ 7.88 billion) in 2007-08.[28] It is the leader in commercial vehicles in each segment, and
among the top three in passenger vehicles in India with products in the compact, midsize car and
utility vehicle segments.[28] Tata vehicles are sold primarily in India, and over 4 million Tata
vehicles have been produced domestically since the first Tata vehicle was assembled in 1954.
The company¶s manufacturing base in India is spread across Jamshedpur (Jharkhand), Pune
(Maharashtra), Lucknow (Uttar Pradesh), Pantnagar (Uttarakhand) and Dharwad (Karnataka).
Following a strategic alliance with Fiat in 2005, Tata set up an industrial joint venture with Fiat
Group Automobiles at Ranjangaon (Maharashtra) to produce both Fiat and Tata cars and Fiat
powertrains. The company is establishing a new plant at Sanand (Gujarat). Tata's dealership,
sales, service and spare parts network comprises over 3500 touch points. Tata Motors also
distributes and markets Fiat branded cars in India. [28]

   
  


Tata Motors has been in the process of acquiring foreign brands to increase its global presence.
Through acquisition, Tata has operations in the UK, South Korea, Thailand and Spain. Among
these acquisitions is Jaguar Land Rover, a business comprising two struggling iconic British
brands that was acquired from the Ford Motor Company in 2008. In 2004, Tata acquired the
Daewoo Commercial Vehicles Company, South Korea¶s second largest truck maker. The
rebranded Tata Daewoo Commercial Vehicles Company has launched several new products in
the Korean market, while also exporting these products to several international markets. Today
two-thirds of heavy commercial vehicle exports out of South Korea are from Tata Daewoo. In
2005, Tata Motors acquired a 21% controlling stake in Hispano Carrocera, a Spanish bus and
coach manufacturer,[13]. Tata Motors continued its market area expansion through the
introduction of new products such as buses (Starbus & Globus, jointly developed with subsidiary
Hispano Carrocera) and trucks (Novus, jointly developed with subsidiary Tata Daewoo). In May,
2009 Tata unveiled the Tata World Truck range jointly developed with Tata Daewoo [29]
Debuting in South Korea, South Africa, the SAARC countries and the Middle-East by the end of
2009 [29] In 2006, Tata formed a joint venture with the Brazil-based Marcopolo to manufacture
fully-built buses and coaches for India and other international markets.[30] Tata Motors has
expanded its production and assembly operations to several other countries including South
Korea, Thailand, South Africa and Argentina and is planning to set up plants in Turkey,
Indonesia and Eastern Europe.[28] Tata also has franchisee/joint venture assembly operations in
Kenya, Bangladesh, Ukraine, Russia and Senegal.[31] Tata has dealerships in 26 countries across
4 continents.[32] Though Tata is present in many countries it has only managed to create a large
consumer base in the Indian Subcontinent, namely India, Bangladesh, Bhutan, Sri Lanka and
Nepal. Tata has a growing consumer base in Italy, Spain and South Africa.


 

 

 
    

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Tata has dozens of technology and design subsidiaries. These include the main ones.

 
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TELCON is a joint venture between Tata Motors and Hitachi, which focuses on excavators and
other construction equipment.

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HVAL and HVTL are 100% subsidiary companies of Tata Motors engaged in the business of
manufacture of gear boxes and axles for heavy and medium commercial vehicles, with
production facilities and infrastructure based at Jamshedpur.

   
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TTL provides Engineering and Design (E&D) solutions to the Automotive Industry. Tata Motors
holds 86.91% of TTL¶s share capital. TTL is based in Pune (Hinjawadi) and operates in the US
and Europe through its wholly owned subsidiaries in Detroit and London respectively. It also has
a presence in Thailand. Tata Technologies is a software service provider in the IT services and
BPO space. Its global client list includes Ford, General Motors, Toyota and Honda, to name a
few. It bought over the British engineering and design services company, Incat International Plc
for Rs4b in August 2005. Incat specializes in engineering & design services and product
lifecycle management in the international automotive, aerospace and engineering markets. With
this acquisition, Tata Motors will have closer proximity to its global customers and be able to
provide a wider range of services.

         

Tata Motor European Technical Centre is Tata's subsidiary based in the UK. It was the joint
developer of the World Truck.[33]

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of Japan and Siel Limited, a Siddharth Shriram Group company. It currently is the 7th largest car
maker in India after Maruti Suzuki, Hyundai, Tata, Mahindra, Chevrolet and Ford. It was begun
in December 1995. The venture was begun with the aim of delivering Honda's passenger car
models and technologies to the Indian market. The total investment made by the company in
India till date is over Rs. 800 crores.[1]

Mr. Masahiro Takadegawa is the current President and CEO of HSCI. He took over this post in
August 2005.[2]

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HSCI's manufacturing unit was set up in 1997 at Greater Noida, Uttar Pradesh with an
investment of Rs. 450 crore. The green-field project is spread across 150 acres (0.61 km2) of land
(over 6,00,000 sq. m.).

The initial installed capacity of the plant was 30,000 cars per annum, which was thereafter
increased to 50,000 cars on a two-shift basis. The capacity has further been enhanced to 1,00,000
units annually in February 2008 . The capacity expansion was necessitated by the excellent
performance of all the Honda models, particularly the growing demand for City in India. Several
modifications were done by the company with the objective of offering higher quality products
to its customers, faster and quicker. The expansion process also included expansion of the
covered area in the plant, from 1,07,000 m². to 1,31,794 m².

HSCI currently produces the newly launched Honda Jazz, City, Civic and Accord models in
India and the premium SUV, CR-V is sold as a fully imported unit from Japan.The company
operates under the stringent standards of ISO 9001 for quality management and ISO 14001 for
environment management.

 

        

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  has 120 dealerships across 71 cities in 19 states and 3 Union Territories of
India. HSCI dealerships are based on the ³3S Facility´ (Sales, Service, Spares) format[3]. It plans
to increase the number of dealerships to 160 by 2014[4].



 

Honda Siel Cars India (HSCI) Ltd., leading manufacturer of premium cars in India, sold 55,884
units during the period April '09 - February '10 as against 45,052 units during the same period
last year recording an increase of 24%.

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(TYO: 7267) is a Japanese multinational corporation primarily known as a manufacturer of
automobiles and motorcycles.

Honda has been the world's largest motorcycle manufacturer since 1959,[3][4] as well as the
world's largest manufacturer of internal combustion engines measured by volume, producing
more than 14 million internal combustion engines each year.[5] Honda surpassed Nissan in 2001
to become the second-largest Japanese automobile manufacturer.[6][7] As of August 2008, Honda
surpassed Chrysler as the fourth largest automobile manufacturer in the United States.[8] Honda
is the sixth largest automobile manufacturer in the world.

Honda was the first Japanese automobile manufacturer to release a dedicated luxury brand,
Acura, in 1986. Aside from their core automobile and motorcycle businesses, Honda also
manufactures garden equipment, marine engines, personal watercraft and power generators,
amongst others. Since 1986, Honda has been involved with artificial intelligence/robotics
research and released their ASIMO robot in 2000. They have also ventured into aerospace with
the establishment of GE Honda Aero Engines in 2004 and the Honda HA-420 HondaJet,
scheduled to be released in 2011. Honda spends about 5% of its revenues into R&D.[9]
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From a young age, Honda's founder, Soichiro Honda (±


, D 
) had a great
interest in automobiles. He worked as a mechanic at a Japanese tuning shop, Art Shokai, where
he tuned cars and entered them in races. A self-taught engineer, he later worked on a piston
design which he hoped to sell to Toyota. The first drafts of his design were rejected, and Soichiro
worked painstakingly to perfect the design, even going back to school and pawning his wife's
jewelry for collateral. Eventually, he won a contract with Toyota and built a factory to construct
pistons for them, which was destroyed in an earthquake. Due to a gasoline shortage during
World War II, Honda was unable to use his car, and his novel idea of attaching a small engine to
his bicycle attracted much curiosity. He then established the Honda Technical Research Institute
in Hamamatsu, Japan, to develop and produce small 2-cycle motorbike engines. Calling upon
18,000 bicycle shop owners across Japan to take part in revitalizing a nation torn apart by war,
Soichiro received enough capital to engineer his first motorcycle, the Honda Cub. This marked
the beginning of Honda Motor Company, which would grow a short time later to be the world's
largest manufacturer of motorcycles by 1964.

The first production automobile from Honda was the T360 mini pick-up truck, which went on
sale in August 1963.[10] Powered by a small 356 cc straight-4 gasoline engine, it was classified
under the cheaper Kei car tax bracket.[ ] The first production car from Honda was the
S500 sports car, which followed the T360 into production in October 1963. Its chain driven rear
wheels point to Honda's motorcycle origins.[ ]

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D is headquartered in Minato, Tokyo, Japan. Their shares trade on the Tokyo Stock
Exchange and the New York Stock Exchange, as well as exchanges in Osaka, Nagoya, Sapporo,
Kyoto, Fukuoka, London, Paris and Switzerland.

The company has assembly plants around the globe. These plants are located at China, United
States, Pakistan, Canada, England, Japan, Belgium, Brazil, New Zealand, Indonesia, India,
Thailand, Turkey and Perú. As of July 2010, 89 percent of Honda and Acura vehicles sold in the
United States were built in North American plants, up from 82.2 percent a year earlier. This
shields profits from the yen¶s advance to a 15-year high against the dollar.[8]

Honda's Net Sales and Other Operating Revenue by Geographical Regions in 2007[11]

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American Honda Motor Company is based in Torrance, California. Honda Canada Inc. is
headquartered in the Scarborough district of Toronto, Ontario, and is building new corporate
headquarters in Markham, Ontario, scheduled to relocate in 2008;[12] their manufacturing
division, Honda of Canada Manufacturing, is based in Alliston, Ontario. Honda has also created
joint ventures around the world, such as Honda Siel Cars and Hero Honda Motorcycles in
India,[13] Guangzhou Honda and Dongfeng Honda in China, and Honda Atlas in Pakistan.

è


$  

With high fuel prices and a weak U.S. economy in June 2008, Honda reported a 1% sales
increase while its rivals, including the Detroit Big Three and Toyota, have reported double-digit
losses. Honda's sales were up almost 20 percent from the same month last year. The Civic and
the Accord were in the top five list of sales.[14][15] Analysts have attributed this to two main
factors. First, Honda's product lineup consists of mostly small to mid-size, highly fuel-efficient
vehicles. Secondly, over the last ten years, Honda has designed its factories to be flexible, in that
they can be easily retooled to produce any Honda model that may be in-demand at the moment.

Nonetheless, Honda, Nissan, and Toyota, were still not immune to the global financial crisis of
2008, as these companies reduced their profitability forecasts. The economic crisis has been
spreading to other important players in the vehicle related industries as well.[16][17] In November
2009 the Nihon Keizai Shinbun reported that Honda Motor exports have fallen 64.1%.[18]

At the 2008 Beijing Auto Show, Honda presented the Li Nian ("concept" or "idea") 5-door
hatchback and announced that they were looking to develop an entry-level brand exclusively for
the Chinese market similar to Toyota's Scion brand in the USA.[19] The brand would be
developed by a 50-50 joint-venture established in 2007 with Guangzhou Automobile Industry
Group.[20][21]

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For a list of vehicles, see List of Honda vehicles.

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Honda's global lineup consists of the Fit, Civic, Accord, Insight, CR-V, and Odyssey. An early
proponent of developing vehicles to cater to different needs and markets worldwide, Honda's
lineup varies by country and may feature vehicles exclusive to that region. A few examples are
the latest Acura TL luxury sedan and the Ridgeline, Honda's first light-duty uni-body pickup
truck. Both were engineered primarily in North America and are exclusively produced and sold
there.

The Civic is a line of compact cars developed and manufactured by Honda. In North America,
the Civic is the second-longest continuously running nameplate from a Japanese manufacturer;
only its perennial rival, the Toyota Corolla, introduced in 1968, has been in production longer.[22]
The Civic, along with the Accord and Prelude, comprised Honda's vehicles sold in North
America until the 1990s, when the model lineup was expanded. Having gone through several
generational changes, the Civic has become larger and more upmarket, and it currently slots
between the Fit and Accord.

Honda increased global production in September 2008 to meet demand for small cars in the U.S.
and emerging markets. The company is shuffling U.S. production to keep factories busy and
boost car output, while building fewer minivans and sport utility vehicles as light truck sales
fall.[23]

Honda produces the Insight, a hybrid electric vehicle that competes with the Toyota Prius

Its first entrance into the pickup segment, the light duty Ridgeline, won Truck of the Year from
 

 magazine in 2006. Also in 2006, the redesigned Civic won Car of the Year from the
magazine, giving Honda a rare double win of Motor Trend honors.

Five of United States Environmental Protection Agency's top ten most fuel-efficient cars from
1984 to 2010 comes from Honda, more than any other automakers. The five models are: 2000-
2006 Honda Insight (53 mpg-US/4.4 L/100 km; 64 mpg-imp combined), 1986-1987 Honda Civic
Coupe HF (46 mpg-US/5.1 L/100 km; 55 mpg-imp combined), 1994-1995 Honda Civic hatchback
VX (43 mpg-US/5.5 L/100 km; 52 mpg-imp mpg combined), 2006- Honda Civic Hybrid (42 mpg-
US/5.6 L/100 km; 50 mpg-imp combined), and 2010- Honda Insight (41 mpg-US/5.7 L/100 km;
49 mpg-imp combined).[24] The ACEEE has also rated the Civic GX as the greenest car in America
for seven consecutive years.[25]

    




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For a list of motorcycle products, see List of Honda motorcycles.

Honda is the largest motorcycle manufacturer in Japan and has been since it started production in
1955.[26] At its peak in 1982, Honda manufactured almost 3 million motorcycles annually. By
2006 this figure had reduced to around 550,000 but was still higher than its three domestic
competitors.[26]

During the 1960s, when it was a small manufacturer, Honda broke out of the Japanese
motorcycle market and began exporting to the U.S. Taking Honda¶s story as an archetype of the
smaller manufacturer entering a new market already occupied by highly dominant competitors,
the story of their market entry, and their subsequent huge success in the U.S. and around the
world, has been the subject of some academic controversy. Competing explanations have been
advanced to explain Honda¶s strategy and the reasons for their success.[27]

The first of these explanations was put forward when, in 1975, Boston Consulting Group (BCG)
was commissioned by the UK government to write a report explaining why and how the British
motorcycle industry had been out-competed by its Japanese competitors. The report concluded
that the Japanese firms, including Honda, had sought a very high scale of production (they had
made a large number of motorbikes) in order to benefit from economies of scale and learning
curve effects. It blamed the decline of the British motorcycle industry on the failure of British
managers to invest enough in their businesses to profit from economies of scale and scope.
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The second explanation was offered in 1984 by Richard Pascale, who had interviewed the Honda
executives responsible for the firm¶s entry into the U.S. market. As opposed to the tightly
focused strategy of low cost and high scale that BCG accredited to Honda, Pascale found that
their entry into the U.S. market was a story of ³miscalculation, serendipity, and organizational
learning´ ± in other words, Honda¶s success was due to the adaptability and hard work of its
staff, rather than any long term strategy. For example, Honda¶s initial plan on entering the U.S.
was to compete in large motorcycles, around 300 cc. It was only when the team found that the
scooters they were using to get themselves around their U.S. base of San Francisco attracted
positive interest from consumers that they came up with the idea of selling the Super Cub.

The most recent school of thought on Honda¶s strategy was put forward by Gary Hamel and C.
K. Prahalad in 1989. Creating the concept of core competencies with Honda as an example, they
argued that Honda¶s success was due to its focus on leadership in the technology of internal
combustion engines. For example, the high power-to-weight ratio engines Honda produced for
its racing bikes provided technology and expertise which was transferable into mopeds. Honda's
entry into the U.S. motorcycle market during the 1960s is used as a case study for teaching
introductory strategy at business schools worldwide.

    

Production started in 1953 with H-type engine (prior to motorcycle).[28]


Honda power equipements reached record sales in 2007 with 6,4 million units.[29] By 2010 (Fiscal
[30]
year ended March 31) this figure had decreased to 4,7 million units. Cumulative production of
power products has exceeded 85 million units (as of September, 2008).[31]

Honda power equipement include:

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Honda engines powered the entire 33-car starting field of the 2010 Indianapolis 500[32] and for
the fifth consecutive race, there were no engine-related retirements during the running of the
Memorial Day Classic.[33]

Honda, despite being known as an engine company, has never built a V8 for passenger vehicles.
In the late 1990s, the company resisted considerable pressure from its American dealers for a V8
engine (which would have seen use in top-of-the-line Honda SUVs and Acuras), with American
Honda reportedly sending one dealer a shipment of V8 beverages to silence them.[34] Honda
considered starting V8 production in the mid-2000s for larger Acura sedans, the high end NSX
sports car (which previously used DOHC V6 engines with VTEC to achieve its high power
output) and possible future ventures into the American full-size truck and SUV segment for both
the Acura and Honda brands, but this was cancelled in late 2008, with Honda citing
environmental and worldwide economic conditions as reasons for the termination of this
project.[35]

 


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ASIMO is the part of Honda's Research & Development robotics program. It is the eleventh in a
line of successive builds starting in 1986 with Honda E0 moving through the ensuing Honda E
series and the Honda P series. Weighing 54 kilograms and standing 130 centimeters tall, ASIMO
resembles a small astronaut wearing a backpack, and can walk on two feet in a manner
resembling human locomotion, at up to 6 km/h (3.7 mph). ASIMO is the world's only humanoid
robot able to ascend and descend stairs independently.[36] However, human motions such as
climbing stairs are difficult to mimic with a machine, which ASIMO has demonstrated by taking
two plunges off a staircase.

Honda's robot ASIMO (see below) as an R&D project brings together expertise to create a robot
that walks, dances and navigates steps. 2010 marks the year Honda has developed a machine
capable of reading a users brainwaves to move ASIMO. The system uses a helmet covered with
electroencephalography and near-infrared spectroscopy sensors that monitor electrical
brainwaves and cerebral blood flow signals that alter slightly during the human thought
process. The user thinks of one of a limited number of gestures it wants from the robot, which
has been fitted with a Brain Machine Interface.[37]

   

Main article: Honda HA-420 HondaJet


Honda has also pioneered new technology in its HA-420 HondaJet that allows new levels of
reduced drag, increased aerodynamics and fuel efficiency thus reducing operating costs.[ 
]

 $ 


Honda's solar cell subsidiary company Honda Soltec (Headquarters: Kikuchi-gun, Kumamoto;
President and CEO: Akio Kazusa) will start sales throughout Japan of thin-film solar cells for
public and industrial use on October 24, 2008. After selling solar cells for residential use since
October 2007, Honda intends to grow its customer base by manufacturing and selling solar cells
capable of the high-capacity electrical generation required by many public and industrial
facilities.[38]

    +


¦ee also: Honda RN-01 G-cross

Honda has also built a Downhill racing bike, known as the Honda RN-01. Honda has taken on
several people to pilot the bike, among them is Greg Minnaar. The team is known as Team G
Cross Honda. The key feature of this bike is the gearbox, which replaces the standard Derailleur
found on most bikes.

 



Honda has been active in motorsports, like Motorcycle Grand Prix, Superbike racing and others.

  

¦ee also: Honda Racing F1

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Honda entered Formula One as a constructor for the first time in the 1964 season at the German
Grand Prix with Ronnie Bucknum at the wheel. 1965 saw the addition of Richie Ginther to the
team, who scored Honda's first point at the Belgian Grand Prix, and Honda's first win at the
Mexican Grand Prix. 1967 saw their next win at the Italian Grand Prix with John Surtees as their
driver. In 1968, Jo Schlesser was killed in a Honda RA302 at the French Grand Prix. This racing
tragedy, coupled with their commercial difficulties selling automobiles in the United States,
prompted Honda to withdraw from all international motorsport that year.
After a learning year in 1965, Honda-powered Brabhams dominated the 1966 French Formula
Two championship in the hands of Jack Brabham and Denny Hulme. As there was no European
Championship that season, this was the top F2 championship that year. In the early 1980s Honda
returned to F2, supplying engines to Ron Tauranac's Ralt team. Tauranac had designed the
Brabham cars for their earlier involvement. They were again extremely successful. In a related
exercise, John Judd's Engine Developments company produced a turbo "Brabham-Honda"
engine for use in IndyCar racing. It won only one race, in 1988 for Bobby Rahal at Pocono.

Honda returned to Formula One in 1983, initially with another Formula Two partner, the Spirit
team, before switching abruptly to Williams in 1984. In the late 1980s and early 1990s, Honda
powered cars won six consecutive Formula One Constructors Championships. WilliamsF1 won
the crown in 1986 and 1987. Honda switched allegiance again in 1988. New partners Team
McLaren won the title in 1988, 1989, 1990 and 1991. Honda withdrew from Formula One at the
end of 1992, although the related Mugen-Honda company maintained a presence up to the end of
1999, winning four races with Ligier and Jordan Grand Prix.

Honda debuted in the CART IndyCar World Series as a works supplier in 1994. The engines
were far from competitive at first, but after development, the company powered six consecutive
drivers championships. In 2003, Honda transferred its effort to the rival IRL IndyCar Series. In
2004, Honda-powered cars overwhelmingly dominated the IndyCar Series, winning 14 of 16
IndyCar races, including the Indianapolis 500, and claimed the IndyCar Series Manufacturers'
Championship, Drivers' Championship and Rookie of the Year titles. In 2006, Honda became the
sole engine supplier for the IndyCar Series, including the Indianapolis 500. In the 2006
Indianapolis 500, for the first time in Indianapolis 500 history, the race was run without a single
engine problem.[39]

During 1998, Honda considered returning to Formula One with their own team. The project was
aborted after the death of its technical director, Harvey Postlethwaite. Honda instead came back
as an official engine supplier to British American Racing (BAR) and Jordan Grand Prix. Honda
bought a stake in the BAR team in 2004 before buying the team outright at the end of 2005,
becoming a constructor for the first time since the 1960s. Honda won the 2006 Hungarian Grand
Prix with driver Jenson Button.

It was announced on 5 December 2008, that Honda would be exiting Formula One with
immediate effect due to the 2008 global economic crisis.[40] The team was sold to former team
principal Ross Brawn, renamed Brawn GP and subsequently Mercedes GP.[41]

Honda became an official works team in the British Touring Car Championship in 2010.

    




Main article: Honda Racing Corporation


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Honda Racing Corporation (HRC) was formed in 1982. The company combines participation in
motorcycle races throughout the world with the development of high potential racing machines.
Its racing activities are an important source for the creation of leading edge technologies used in
the development of Honda motorcycles. HRC also contributes to the advancement of motorcycle
sports through a range of activities that include sales of production racing motorcycles, support
for satellite teams, and rider education programs.

Soichiro Honda, being a race driver himself, could not stay out of international motorsport. In
1959, Honda entered five motorcycles into the Isle of Man TT race, the most prestigious
motorcycle race in the world. While always having powerful engines, it took until 1961 for
Honda to tune their chassis well enough to allow Mike Hailwood to claim their first Grand Prix
victories in the 125 and 250 cc classes. Hailwood would later pick up their first Senior TT wins
in 1966 and 1967. Honda's race bikes were known for their "sleek & stylish design" and exotic
engine configurations, such as the 5-cylinder, 22,000 rpm, 125 cc bike and their 6-cylinder
250 cc and 297 cc bikes.

In 1979, Honda returned to Grand Prix motorcycle racing with the monocoque-framed, four-
stroke NR500. The FIM rules limited engines to four cylinders, so the NR500 featured non-
circular, 'race-track', cylinders, each with 8 valves and two connecting rods, in order to provide
sufficient valve area to compete with the dominant two-stroke racers. Unfortunately, it seemed
Honda tried to accomplish too much at one time and the experiment failed. For the 1982 season,
Honda debuted their first two-stroke race bike, the NS500 and in 1983, Honda won their first
500 cc Grand Prix World Championship with Freddie Spencer. Since then, Honda has become a
dominant marque in motorcycle Grand Prix racing, winning a plethora of top level titles with
riders such as Mick Doohan and Valentino Rossi .

In motocross, Honda has claimed six motocross world championships. In the World Enduro
Championship, Honda has captured six titles, most recently with Stefan Merriman in 2003 and
with Mika Ahola in 2007 and 2008.

In observed trials, Honda has claimed three world championships with Belgian rider Eddy
Lejeune.
 
 
  

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The Honda Civic GX is the only purpose-built natural gas vehicle (NGV) commercially
available in some parts of the U.S.[42][43] The Honda Civic GX first appeared in 1998 as a
factory-modified Civic LX that had been designed to run exclusively on compressed natural gas.
The car looks and drives just like a contemporary Honda Civic LX, but does not run on gasoline.
In 2001, the Civic GX was rated the cleanest-burning internal combustion engine in the world by
the U.S. Environmental Protection Agency (EPA).[44][45]

First leased to the City of Los Angeles, in 2005, Honda started offering the GX directly to the
public through factory trained dealers certified to service the GX. Before that, only fleets were
eligible to purchase a new Civic GX. In 2006, the Civic GX was released in New York, making
it the second state where the consumer is able to buy the car.[46] Home refueling is available for
the GX with the addition of the Phill Home Refueling Appliance.[47]

 #, 

Honda's Brazilian subsidiary launched flexible-fuel versions for the Honda Civic and Honda Fit
in late 2006. As others Brazilian flex-fuel vehicles, these models run on any blend of hydrous
ethanol (E100) and E20-E25 gasoline.[48][49] Initially, and in order to test the market preferences,
the carmaker decided to produce a limited share of the vehicles with flex-fuel engines, 33 percent
of the Civic production and 28 percent of the Fit models.[48][49] Also, the sale price for the flex-
fuel version was higher than the respective gasoline versions, around US$1,000 premium for the
Civic, and US$650 for the Fit, despite the fact that all other flex-fuel vehicles sold in Brazil had
the same tag price as their gasoline versions.[49][50][51] In July 2009, Honda launched in the
Brazilian market its third flexible-fuel car, the Honda City.[52]

During the last two months of 2006, both flex-fuel models sold 2,427 cars against 8,546
gasoline-powered automobiles,[53] jumping to 41,990 flex-fuel cars in 2007,[54] and reaching
93,361 in 2008.[55] Due to the success of the flex versions, by early 2009 a hundred percent of
Honda's automobile production for the Brazilian market is now flexible-fuel, and only a small
percentage of gasoline version is produced in Brazil for exports.[56]

In March 2009, Honda launched in the Brazilian market the first flex-fuel motorcycle in the
world. Produced by its Brazilian subsidiary Moto Honda da Amazônia, the CG 150 Titan Mix is
sold for around US$2,700.[57][58][59]

 D    

In late 1999, Honda launched the first commercial hybrid electric car sold in the U.S. market ,
the Honda Insight, just one month before the introduction of the Toyota Prius, and initially sold
for US$20,000.[60][61] The first-generation Insight was produced from 2000 to 2006 and had a
fuel economy of 70 miles per US gallon (3.4 L/100 km; 84 mpg-imp) for the EPA's highway
rating, the most fuel-efficient mass-produced car at the time.[60][61] Total global sales for the
Insight amounted to only around 18,000 vehicles.[61]

Honda introduced the second-generation Insight in its home nation of Japan in February 2009,
and released it in other markets through 2009 and in the U.S. market in April 2009. At $19,800
as a five-door hatchback it will be the least expensive hybrid available in the U.S.[62] Honda
expects to sell 200,000 of the vehicles each year, with half of those sales in the United States.[63]

Since 2002, Honda has also been selling the Honda Civic Hybrid (2003 model) in the U.S.
market,.[60] It was followed by the Honda Accord Hybrid, offered in model years 2005 through
2007. Sales of the Honda CR-Z began in Japan in February 2010, becoming Honda's third hybrid
electric car in the market.[64]

 D  

In Takanezawa, Japan, on 16 June 2008, Honda Motors produced the first assembly-line FCX
Clarity, a hybrid hydrogen fuel cell vehicle. More efficient than a gas-electric hybrid vehicle, the
FCX Clarity combines hydrogen and oxygen from ordinary air to generate electricity for an
electric motor.

The vehicle itself does not emit any pollutants and its only by products are heat and water. The
FCX Clarity also has an advantage over gas-electric hybrids in that it does not use an internal
combustion engine to propel itself. Like a gas-electric hybrid, it uses a lithium ion battery to
assist the fuel cell during acceleration and capture energy through regenerative braking, thus
improving fuel efficiency. The lack of hydrogen filling stations throughout developed countries
will keep production volumes low.[65] Honda will release the vehicle in groups of 150. California
is the only U.S. market with infrastructure for fueling such vehicle, though the number of
stations is still limited. Building more stations is expensive, as the California Air Resources
Board (CARB) granted $6.8 million for four H2 fueling stations, costing $1.7 million USD
each.[66][67]


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Honda's official slogan is "The Power of Dreams". They have never used this slogan to sell their
products. Mr. Honda's belief is that well built products will sell themselves.

In 2003, Honda released its  advertisement in the UK and on the Internet. To make the ad,
the engineers at Honda constructed a Rube Goldberg Machine made entirely out of car parts
from a Europe Domestic Market Honda Accord (upon which the USDM Acura TSX is based).
To the chagrin of the engineers at Honda, all the parts were taken from two of only six hand-
assembled pre-production models of the Accord. The advertisement depicted a single cog which
sets off a chain of events that ends with the Honda Accord moving and Garrison Keillor speaking
the tagline, "Isn't it nice when things just... work?" It took 606 takes to get it perfect.[68]

In 2004, they produced the

advert, usually immediately followed by a shortened version of


the 2005  
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In December 2005, Honda released   


 a two-minute panoramic
advertisement filmed in New Zealand, Japan and Argentina which illustrates the founder's dream
to build performance vehicles. While singing the song "Impossible Dream", a man reaches for
his racing helmet, leaves his trailer on a minibike, then rides a succession of vintage Honda
vehicles: a motorcycle, then a car, then a powerboat, then goes over a waterfall only to reappear
piloting a hot air balloon, with Garrison Keillor saying "I couldn't have put it better myself" as
the song ends. The song is from the 1960s musical , sung by Andy Williams.

In 2006, Honda released its  


advertisement, for the UK and the internet. This featured a 60-
person choir who sang the car noises as film of the Honda Civic are shown.

For the last several years in the United States, during model close-out sales for the current year
before the start of the new model year, Honda's advertising has featured an animated character
known simply as Mr. Opportunity, voiced by Rob Paulsen. The casual looking man talks about
various deals offered by Honda and ends with the phrase "I'm Mr. Opportunity, and I'm
knockin'", followed by him "knocking" on the television screen or "thumping" the speaker at the
end of radio ads. Also, commercials for Honda's international hatchback, the Jazz, are parodies
of well-known pop culture images such as Tetris and Thomas The Tank Engine.

In late 2006, Honda released an ad with ASIMO exploring a museum, looking at the exhibits
with almost child-like wonderment (spreading out its arms in the aerospace exhibit, waving hello
to an astronaut suit that resembles him, etc.), while Garrison Keillor ruminates on progress. It
concludes with the tagline: "More forwards please".

Honda also sponsored ITV's coverage of Formula One in the UK for 2007. However they had
announced that they would not continue in 2008 due to the sponsorship price requested by ITV
being too high.

In May 2007, focuses on their strengths in racing and the use of the Red H badge a symbol of
what is termed as "Hondamentalism". The campaign highlights the lengths that Honda engineers
go to in order to get the most out of an engine, whether it is for bikes, cars, powerboats even
lawnmowers. Honda released its Hondamentalism campaign. In the TV spot, Garrison Keillor
says, "An engineer once said to build something great is like swimming in honey", while Honda
engineers in white suits walk and run towards a great light, battling strong winds and flying
debris, holding on to anything that will keep them from being blown away. Finally one of the
engineers walks towards a red light, his hand outstretched. A web address is shown for the
Hondamentalism website. The digital campaign aims to show how visitors to the site share many
of the Hondamentalist characteristics.

At the beginning of 2008, Honda released - the ^


^
. The advert outlines
Honda's environmental responsibility, demonstrating a hybrid engine, more efficient solar panels
and the FCX Clarity, a hydrogen powered car. The 90 second advert features large scale puzzles,
involving Rubik's cubes, large shapes and a 3-dimensional puzzle.

On 29 May 2008, Honda, in partnership with Channel 4, broadcast a live advertisement. It


showed skydivers jumping from an aeroplane over Spain and forming the letters H, O, N, D and
A in mid-air. This live advertisement is generally agreed to be the first of its kind on British
television. The advert lasted three minutes. The next flight of one of the two planes involved
resulted in a fatal crash as the plane broke apart in mid-air.[69]

In 2009, American Honda released the 


   documentary series, a collection of
5-8 minute web vignettes that focus on the core philosophies of Honda. Current short films
include Failure: 
  , 
and   !"". They feature
Honda employees as well as Danica Patrick, Christopher Guest, Ben Bova, Chee Pearlman, Joe
Johnston and Orson Scott Card. The film series plays at dreams.honda.com.

 $ 


In Australia, Honda advertised heavily during most motor racing telecasts, and was the official
sponsor of the 2006 FIA Formula 1 telecast on broadcaster channel "Ten". In fact, it was the only
manufacturer involved in the 2006 Indy Racing League season. In a series of adverts promoting
the history of Honda's racing heritage, Honda claimed it "built" cars that won 72 Formula 1
Grand Prix. Skeptics[ #] have accused Honda of interpreting its racing history rather liberally,
saying that virtually all of the 72 victories were achieved by Honda  
 (engined) machines,
whereas the cars themselves were designed and built by Lotus F1, Williams F1, and McLaren F1
teams, respectively. However, former and current staff of the McLaren F1 team have reiterated
that Honda contributed more than just engines and provided various chassis, tooling, and
aerodynamic parts as well as funding. Ayrton Senna, arguably the greatest F1 driver of all time,
repeatedly stated that Honda probably played the most significant role in his three world
championships. He had immense respect for founder, Soichiro Honda, and had a good
relationship with Nobuhiko Kawamoto, the chairman of Honda at that time. Senna once called
Honda "the greatest company in the world".

As part of its marketing campaign, Honda is an official partner and sponsor of the National
Hockey League, the Anaheim Ducks of the NHL, and the arena named after it: Honda Center.
Honda also sponsors The Honda Classic golf tournament and is a sponsor of Major League
Soccer. The "Honda Player of the Year" award is presented in United States soccer. The "Honda
Sports Award" is given to the best female athlete in each of twelve college sports in the United
States. One of the twelve Honda Sports Award winners is chosen to receive the Honda-Broderick
Cup, as "Collegiate Woman Athlete of the Year."
! &
'
Main article: List of Honda facilities

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