Expected Challenges When Entering the Japanese Market

Investors around the world are always eager to do business in the Japanese market. This, of course, stems from the fertile economic environment and the flourishing opportunities foreign investors can find.

With good SWOT (Strength, Weakness, Opportunity, Threat) analysis before entering, your success rate in the Japanese market is very high.

However, there are unavoidable challenges waiting for any company looking to enter the Japanese market. Without the right creative and innovative team to guide them through these challenges, a company may be forced to abandon its operation. Let’s take a look at some of these challenges and how to handle them.

Japan Specific Standards and Testing Requirements

This is an immediate challenge most companies are faced with when entering the Japanese market; companies must meet the standards set by the Japanese government, and must pass any and all required tests. It can be quite difficult for companies new to the Japanese market to understand the numerous regulations and standards. Some companies do not survive.

Numerous documents devoted to Japan’s standards and regulations concerning import procedures, quarantine periods, technical requirements, etc. Section also details laws/ordinances and amendments concerning import standards and regulations.




Attaining certification for your business in Japan can be a very draining experience. There are several layers of bureaucracy to navigate before being issued the required certification allowing you to operate as a business.


Registering Your Place of Business

Another stressful and time-consuming procedure, requiring significant amounts of legwork, is registering your place of business in Japan.

Before a new company can register its place of business in Japan, it needs to provide a company-specific rubber stamp, payment of stamp duties, an application to the Legal Affairs Bureau, and evidence of taxes paid on the real estate property you intend to use as the place of business.

Once all these documents are presented, a government official will initiate a thorough vetting process. Finally, after all these steps, your registration will be complete.



Proper financing is a major challenge companies face when entering the Japanese market. As fertile and promising the market may be, without funding, you can expect slow business growth.

Although having access to credit in Japan isn’t too much of a concern, you may be disadvantaged by not fully grasping how to go about attaining it.

Any investors that are available want to avoid risk. If such protection cannot be offered, investor commitment will not be guaranteed.


For a company to strive in the Japanese market, that company must understand the local culture. The ability to maintain a Japanese-style business relationship is core to a company’s success. You must show respect, courtesy and politeness coupled with a high level of diplomacy to succeed. Most companies struggle to cope with the cultural dynamics of the Japanese market.


The Way Forward

The one reliable method of dealing with the challenges of the Japanese market is crowdfunding.

The crowdfunding platforms provide the means to help new investors and companies to overcome the common challenges found when starting a business. It can fast track the entire process, simplifying the prospect of doing business in Japan.

When it comes to English, the Japanese people struggle! You wouldn’t believe the panic and dismay when they want to purchase a product, but give up at the sight of the English language.

Gloture is a new class of promotion agency located in the heart of Tokyo. We specialize in helping overseas startups to launch products in the Japanese market.

As the top choice in our field, we will handle each step from start to finish. 

Get in touch today and let Gloture help your brand stand out with huge success in Japan!