Focus: Asia Franchise Markets April 2016 | Page 15

Do you have to open your franchise in Tokyo?

Japan's Regions

Kansai

Kansai:
The Kansai region in western Japan is the second most important
economic centre and has the second largest population. Kansai
consists of Kyoto, Mie, Osaka, Hyogo,Wakayama, Shiga, Nara, Fukui,
Tokushima and Tottori prefectures. Kansai would rank as the world's
11th largest economy if compared to the world's leading economies.
Kansai's Gross Regional Product (GRP) is $917 billion.
Kansai covers only 12% of Japan's total land area but has a population
of almost 25 million people concentrated in the cities of Osaka, Kobe
and Kyoto. The biggest city is Osaka with a population just shy of 3
million and has an international airport. Consumers in Kansai are very
receptive to new ideas hence the traditional Japanese saying that you
should go to Kansai to see what the rest of Japan will soon be buying.
Successful foreign firms such as Procter & Gamble use the Kansai area
as a test market for launching new products in Japan.
236 foreign-affiliated companies maintained their Japanese
headquarters in the region. Osaka offers benefits to foreign
corporations to set-up in the region, such as the country's first 'zero
local tax' system.