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Electric Car Reva

            

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The Indian Passenger Car Industry Contd...

GM was the first major manufacturer to produce an electric passenger car EV1. The first low-emission vehicles were the Hybrid Electric Vehicles (HEV), which combined the ICE of a conventional automobile and the battery and motor of an electric vehicle. The combination offered many advantages including fuel efficiency and environmental benefits. These vehicles were developed to overcome the disadvantages of an electric vehicle.

The electric vehicles could be used only for short trips, as its battery had to be recharged after a few kilometers. Some of the first HEVs include Toyota's Prius, Honda's Insight and Civic. In 1991, the GoI framed the first legislation on air pollution. By mid-1990s, the emission level for automobiles was tightened. The industry started using the latest technology and produced increasingly cleaner cars. It produced Low Emission Vehicles (LEV) in 1996 and Ultra LEV (ULEV) by 2000. By 2000, the new vehicles in the industry had emission levels, which were about 80% less compared to the 1989 levels. The emission level came down from 360 tons per day to 70 tons per day. A four-wheeler complying with the Euro II norms emitted 2-3 times less carbon monoxide and 3-4 times less hydrocarbons and nitrogen oxides.

Background Note

The Maini Group (Refer Table V) was established in 1973 in Bangalore (Karnataka) by Sudarshan. K. Maini (Sudarshan)4, who aimed to blend western technology with Indian craftsmanship. The group followed the 'single zero principle'5 and its philosophy was 'Karma Parma Dharma' (Work is Worship). The group's products ranged from precision components to in-plant material handling equipment and, from granites to abrasives. The group was also involved in international trading and offered ERP solutions. Maini Group had technological agreements with Abressa (Spain), Clark-Blue Giant (US), Hensel (Germany), HIAB (Sweden) and STILL (UK).

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4] Sudarshan K Maini was a technocrat at Motor Industries Company (MICO), the Indian subsidiary of Bosch and the
German-based engineering giant.

5] Meaning zero defects, zero delay, zero excuses and zero compromises.

Case Details

Case Code : BSTR030
Themes: Mergers Acquisition and Takeovers
Case Length : 9 Pages
Period : 2001
Organization : Reva Electric Car Company
Pub Date : 2002
Teaching Note : Available
Countries : India
Industry : Automobile & Automotive

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