Ford vs Toyota Essay

Decent Essays
Ford vs. Toyota

Ford Motor Company is the second-largest automobile company in the world. Ford's main focus is automobiles; however, they also operate in Ford Credit and Hertz Corporation. Ford also has controlling interest in Mazda Motor Corporation. Ford was established June, 1903; in an old wagon factory in Detroit Michigan. In 1903, Ford began production on a two-cylinder, 8 horsepower called the Model A. They produced a total of 1,708 of these cars in their first year of operation.
Toyota Motor Corporation was Japan's largest car company. Toyota ranked the world's third largest by the year 2000. The company could produce near five million car units annually in the 1990s and controlled approximately 10 percent of the global market.
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This form tends to be used more in the Japanese forms than in U.S. The fact is that there are many differences between U.S, and Japanese accounting practices as well as the management accounting practices. Management accounting accounts for only one component of a company's total management system and the role of that system cannot be completely understood without considering the organizational context and the goals that are to be achieved.
United States companies such as Ford Motor Company tend to put more emphasis on manufacturing costs after the fact. The Japanese tend to stress the proactive use of managerial accounting to promote the success and innovation of the products that are introduced. The accounting system used by the two is similar in some ways and differ in many others. The key area where they tend to come together is the bottom line which is where the final numbers are clear. Some feel as though to further shed light on how U.S. and Japanese companies differ, they must consider the goal, context and the process of the accounting practices.
When visiting Toyota's website, the same flashy graphics are displayed as their American competitor's website, Ford. Looking deeper for differences in generally accepted accounting principles (GAAP) between Toyota and Ford, the financial results for both companies can be viewed online. The Ford Motor Company's annual report and financial
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