Both Ford and GM completely abide by NYSE corporate governance standards, as they are domestic US companies. Ford and GM are required to strictly follow NYSE corporate governance standards. Toyota is permitted to follow certain corporate governance practices complying with Japanese laws and regulations, the NYSE has ruled that Toyota is exempt from certain NYSE corporate governance requirements. A significant difference in Toyota’s corporate governance structure is that the company currently does not have any directors that can be deemed as independent directors. Another major difference is that unlike domestic US companies Toyota is not required to have shareholder approval of equity compensation plans, …show more content…
General Motors has created a reputation as one of the big three automakers in the US, and continues to promote large vehicle lines. GM has been in the press frequently with the current issues regarding their pension plans, which are currently a large burden to the company. However, GM has also been in the spotlight with its recent introduction of alternatively powered vehicles. This includes hybrid technology and ethanol powered drive trains. GM has been in the wake of Toyota and other Japanese auto manufactures in this aspect of the market.
GM has handled its social obligations for its workers very admirably with the continued support to all its ex-employees that still receive their pension plans. This is at a time where many other companies that are over extended bail on their old employees.
In 2005, investor Kirk Kerkorian announced he had purchased just under 10% of GM's common stock, this was in part to assist GM from their troubles that they were entering and to kick start a turnaround.
Ford Motor Company has also had recent the same