India
High royalties paid to Honda.
With impending tighter gas emissions regulations, reluctance by Honda to share the necessary technology.
http://bikeadvice.in/honda-convince-hero-honda/
http://trak.in/tags/business/2010/12/21/real-reason-hero-honda-split/
http://businesstoday.intoday.in/story/hero-motocorp-after-honda/1/18359.html
Access to network is the key. The products will take care of themselves.
R&D spend in the past.