Nothing special is required in the form of maintenance. Stick to what the manual recommends, oil change every 10hr, or less if used under hard racing conditions. Replace the spark plug when you don't remember when the last time was that you replaced the spark plug, or when it fouls.
As for getting it to run better, it runs about as good as it can for the state of tune the motor is in. And one can only expect so much from a 125 twostroke. One way to improve performance is to do an SX conversion, which is the lightened flywheel, smaller stator coil and the CDI unit from the KTM SX125 or WhiteKTM(Husqvarna) TC125, and maybe an FMF, Pro Circuit, HGS or some other 'performance' full exhaust system.
Obviously there are other ways to get more performance, like porting and altering compression etc etc. But mostly when one gains in performance, you also lose reliability, especially where high RPM's are concerned.
I have a relative who owns a TE125, and I think it is an amazing little bike, perfectly capable as is. Sometimes a little maintenance can make a huge difference. Have you checked exhaust packing and reed petals for fraying edges? Do a compression test, if the bike has more than 50Hr on, chances are you might benefit from a ring change.
Hope this helps