This thesis focuses on clutch type torque vectoring differentials and their control strategies, it dedicates to show effects of torque vectoring differential. Different solutions of clutch type torque vectoring differential and their layout schemes, characteristics (outputs on both axles, torque difference between two outputs, clutch torque, speed difference, etc) and working principles will be discussed using velocity diagrams. Then one solution will be studied in detail and a control logic is designed to optimize the performance of the differential, especially its effects on vehicle lateral behaviors. MATLAB and IPG CarMaker for Simulink are the main tools to analyze and compare these behaviors of vehicle with and without a torque vectoring differential.