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The seat. HID like on their Acura cars. Then however big of a displacement bump I can get for $3,999, I will take. And the displacement bump is just to use up some of the cash. I would be happy with a nice HID setup and a decent seat.
 

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200cc engine with EFI, 14" wheels with redesigned performance street tires, vastly upgraded suspension, longer frame, functional 5 speed transmission, cool rear fender, softer seat, more attractive looking frontend, more color options, better and adjustable rearsets, more OOTB options similar to GYTR, and I am just getting started here. Very interesting thread start, hicksy712. Thanks!
 

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If I had to pay more I'd want a 4 valve head. Possibly a real front suspension, too.

I don't see why they couldn't make a "Grom-R" with a better head and a 12-1 compression ratio.

I wouldn't change much else, though. Bigger motors, wheels etc. would make a "better" bike, but it wouldn't be a Grom. A CBR125 will leave a Grom in the dust but they aren't at all as much fun to ride.

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with only a thousand dollars more than it is now most likely just put better springs front and rear and redesign the trans thats what the budget allows
 
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