Japan has proven itself to be an industrialized economy driven by hard work and focus. Over the years, countless business opportunities have opened in the country’s economy, and businesses are taking the opportunity to grow and expand.
In recent times, the Japanese economy is recognized as one of the strongest in the world with a conducive atmosphere for businesses (whether local or international). The Japanese market offers countless business opportunities with high potential of maximizing profit and gaining an astounding return on your investments.
There are countless reasons why you should immediately start a business in Japan, and if you already have one, you should consider moving over or expanding your coverage to the ever warm and receptive Japanese market.
Why Should You Be Doing Business in Japan?
The best reply to this common question should be, why shouldn’t you do business in Japan? Japan has become home to popular business giants like Apple, BMW, Mercedes-Benz, Microsoft, Chanel, Louis Vuitton, Tiffany & Co., and the list goes on. These brands have enjoyed and still enjoy a good share of the Japanese economy. If their presence in Japan wasn’t profitable, they’d already left by now.
So, in essence, Japan has all the opportunities and resources your business needs to excel in. All you need is put on your thinking hat and churn out those beautiful ideas.
Are you looking for an all-encompassing Guide to Doing Business in Japan? We have exactly what you need!
Ease of Doing Business in Japan!
Japan is a choice location for foreign businesses and has enjoyed global recognition and applauds for the ease at which one can establish and get a business running.
Data from recent world bank annual ratings place Japan at number 39 among 190 world economies. This figure indicates an all-time high in Japan’s ranking in the ease of doing business in 2018. The lowest being 13 in 2017.
Talk about innovation and technology – Japan has got it! The Ministry of Technology and Industry (METI) identifies Japan’s advancements in Research and Development (R&D), and its well-structured business policies as leading factors why the economy is healthy for businesses. Also, a thoughtfully structured intellectual property right is in place to guard you.
The Japanese business landscape competes favorably with its western and Asian counterparts. You also don’t have to worry about establishing a customer base as the consumer market is already willing and is waiting to patronize you.
Why Start A Business in Japan?
Japan’s free-market economy has earned it second place in the world’s GDP ranking and fourth-largest in purchasing power parity (PPP). There are diverse business opportunities in Japan; Japan has the most significant electronic goods Industry in the world and also comes in third in automobile manufacturing.
Starting a business in Japan has its challenges, but equipping yourself with the right information and been prepared will make things a whole lot easier, and you will be able to navigate the market without breaking a sweat.
- Starting A Business
Before starting a business in Japan, you are expected to communicate your intentions with relevant authorities before you put your plan to play. Among them is the legal affairs bureau of the ministry of justice, the labor standards inspection office, The Japan pension service, the public employment security office, and the ward office. Once you can meet with all that is required, you can be assured of a profitable business in Japan.
- Getting Construction Permit(S)
If you are looking to get a construction permit for your business, ensure that you contact the local authorities and governmental departments in charge.
The same goes for registering property and getting electricity. To register a property in Japan, there are procedures to follow like payment of duty, payment of property acquisition tax, and a couple others.
Electricity supply is managed by the Tokyo Electric Power Company. You would have to submit an application and arrange for a date when your building will be connected. It takes an average of 105 days to get electricity to your business property.
Making A Choice of Business in Japan
While you are planning on finding the right business niche to fill in the vast Japanese market, you should pay as much attention to the nature of the business you want to venture into and be sure that you are making the right decision.
Japan has a bubbling free-market economy built on a successful foundation of innovation and a willing customer base. Japan offers a wide range of opportunities in Finance, automotive, pharmaceuticals, computing, high-tech and precision goods, such as optical instruments, hybrid vehicles, and robotics.
With little or no government hindrances, you will enjoy doing business in Japan so long as you are not breaking any rules. And with accurate Japanese translation services, getting your message across won’t be an issue.
Let’s explore some businesses you can easily venture into as a foreigner in Japan. These businesses are prevalent and will make you lots of money. If you put in enough effort and remain persistent, you can turn any of them into a money-making enterprise.
- Import and Export
There are lots of items you can gain easy access to in Japan and sell elsewhere and make significant profits. Likewise, you can also bring in things that would create the right amount of buzz and make sales. Exports is quite more comfortable to get into as a foreigner, and you can consider food, clothing, clothing, cars, commodities, and even machinery.
Owning a restaurant in Japan is another money-spinner. With a population of over 120 million, and a market that often never sleeps, there are people always looking for something to satisfy their pallets and stomach. All you need to do is find the right location, get in touch with relevant authorities and you are good to go! You can take a case study of different food outlets like American burgers, British pubs, and Indian curry that have successfully got their businesses running in big cities of Japan.
- 3D Printing Company
Starting a Technology-based like 3D printing is an excellent idea to pursue in the Japanese market. It will enable you to tap into the rapidly growing tech industry. 3D printing also involves rapid prototyping services such as 3D printing rapid prototyping and 3D printing support services. Other aspects of the industry you can venture into are selective laser sintering (SLS), fused deposition modeling (FDM), stereolithography (SLA), and lots more. This is a highly profitable business to consider.
- Open an Animation studio
Sometimes having a skill is all you need to get your share of Japan’s profitable market. Owning an animation studio means you will be providing animated media services like videos. Countless businesses in Japan resort to animation companies to help with advertisements on social media and other channels. If you have the solution, they will flood you with offers. This is another profitable business to consider!
Interestingly all of these are not capital intensive – you can get started and expand as time goes on. However, if you are thinking big investments, then there are outstanding options you can consider as well.
- Start an alternative medical practice clinic (popular know as Ayurveda Clinic)
- Start a Biotech Company
- Biodegradable Plastic Bag Manufacturing Company
- Biodiesel Production Company
- Open a Car Assembling Plant
- Car Customization and Modification Business
- Security Camera Installation Business
- Start an ICT Consulting Business
- Start a Courier Service
- Data Mining and Analytic Company
- Start a Medical Waste Management and Recycling Business
There are so many more business opportunities in information and technology, Energy, Pharmaceuticals, Retail, Real estate, Agriculture, and even jewelry. We could go on and on this subject, but it all comes down to doing what you can handle and what’s within your budget. Hopefully, these ideas will give some directions on what you want to do.