Reason3. Excellent business environment

Adequacy of regulatory and administrative systems
World
No. 2
Transparency and efficiency in import and export
World
No. 3
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The Global Competitiveness Report 2019 (World Economic Forum)
Office rent in Tokyo is about one-third of Beijing
Office rent in Nagoya and Yokohama is cheaper than that of Shanghai.
Comparison of office rents in each cities when the cost in Tokyo is 100

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(NOTE) For Tokyo, the rent in Minato Ward is used. For San Francisco, the average rent in the city is used. And for other cities with variance in rents, the mid-point value (of the highest and lowest) is used.
[Source] Comparison of investment costs (JETRO).
Foreign affiliated companies operating in each region
(2808 companies that responded to the survey)
Based on the business opportunities and the business environment, many overseas companies are expanding their business in areas beside Tokyo.

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[N.B.] The number of foreign affiliates by region and prefecture responding to the following survey (n=2808). It does not cover all foreign affiliates with bases in Japan.
[Source] Survey of Trends in Business Activities of Foreign Affiliates (conducted in connection with business for FY2019)" (METI)
Project-based "Regulatory Sandbox" system
By limiting the number of participants and the period, the participant can demonstrate new technologies and business models without being constrained by existing regulations.

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[Source] Prepared from "Regulatory Sandbox System (Project-type Sandbox)" (Regulatory Sandbox Team)
“Japanese Green Card for Highly Skilled Foreign Professionals” system
Foreign professionals who score 70 points or more on the scoring sheet are recognized as “highly skilled foreign professionals” and eligible for preferential immigration treatment.

“Projects for Encouraging Foreign Entrepreneurs
to Start Business ” (so-called “start-up visa”)
A foreign national starting a business in Japan needs to obtain the status of residence of “Business manager” as a general rule. However, the system enables the applicant to obtain the status of residence without satisfying the requirements. Foreign entrepreneurs supported by local governments will be granted the status of residence of “designated activities" to set up a business for up to one year.

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[Source] Compiled from "System Outline for Projects for Encouraging Foreign Entrepreneurs to Start Business" (METI)
Reason4. Stable Infrastructure
