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The Japanese economy landscape

and the Startup Ecosystems

Taisuke Alex Odajima

EDGEof INNOVATION / CEO

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Taisuke Alex Odajima

EDGEof INNOVATION / CEO

As a business incubation expert, I have engaged in the creation of numerous start-ups and business divisions of large companies. Through my company EDGEof INNOVATION, I am actively working on building bridges between Japanese and other countries' innovation ecosystems. Currently working with embassies and other government entities of over 20 countries to support various government initiatives on innovation, providing mentorship for many global startup programs including the Canadian Technology Accelerator. Selecting committee member of the Japanese Ministry of Economy (METI) ‘s J-Startup program, global ambassador of the Shibuya city office’s startup program, board member French Tech Tokyo, Japan Representative of German Entrepreneurship Asia.

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Landscape

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KANTO �2,018

(Russia, 2,097)

CHUBU �780

(Saudi Arabia, 746)

KINKI �793

(Thailand [420]+ South Africa [366])

HOKKAIDO/TOHOKU �592

(Sweden, 580)

CHUGOKU

280�(Finland, 268)

SHIKOKU�136

(Hungary, 133)

Tokyo

Osaka

Kyoto

Fukuoka

REGIONAL GDP

BILLION USD (2013)

(COUNTRY WITH CLOSEST EQUIVALENT GDP 2013)

KYUSHU�477

(Austria, 428)

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USA

China

Germany

UK

India

Japan

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Average annual wages

-0.94%

+19.76%

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US

Japan

US

Japan

Operating profit

Operating profit

R&D

Capital investment

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Japan

US

UK

Germany

France

Percentage of people “NOT” interested in starting a business

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Graduation Year

Major corporation, regardless of what I do there

Major corporation, if I can do what I want to do

Want to start my own company/business

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Startup�Ecosystem

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Number of unicorns (as of August 2021)

288

133

11

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Exit strategy

US

SEA

Europe

India

Japan

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Billion Yen

Corporate

VC

Financial Institution

Oversea entities

Individual

Other

500

400

300

200

100

Investment per type of investor

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Companies Reserve Cash

446 Trillion JPY

400

300

200

100

500

0

2008

2014

2017 (FY)

2011

Trillion JPY

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AGING POPULATION & INCREASING MEDICAL/NURSING COSTS

  • Japan's population is declining, but are living longer than ever
    • In 2040, 40 million people will be aged 65 or over (35% of the total population)
    • Expenditure connected to aging is set to grow, calling for new cost efficient solutions

ENERGY & ENVIRONMENTAL ISSUES

  • Increased importance of energy efficiency, savings and renewables​ following the Fukushima nuclear accident​.
    • Japan aims to increase renewable energy to 22-24% in 2030 – a 100% increase from today​
    • Feed-in-tariffs was introduced in 2012 and boost primarily solar

DECREASING POPULATION & LABOUR FORCE

  • Decreasing population and labor market calls for innovation. Increased focus on productivity enhancements and new tech within automation, robotics and A.I

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Thank you

alex@edgeof.co