Blog post -
Why Is Osaka Becoming Asia's Next Business Hub?
5 Strategic Advantages Drawing Global Companies to Japan's Second-Largest Economic Region
As global businesses seek new opportunities in Asia, Osaka is rapidly emerging as a prime destination for international investment and expansion. Through the dynamic "OPEN!! OSAKA"campaign, the Osaka Prefecture showcases five distinctive advantages that make this vibrant metropolis an increasingly attractive choice for global companies looking to establish or expand their presence in Asia.
The compelling story of Osaka's rise as a business hub can be understood through five strategic advantages, encapsulated in the letters of OSAKA.
OPENNESS: A Culture of Collaboration
Osaka's reputation for openness is deeply rooted in its 400-year history as Japan's kitchen and commercial heart. The city's business community welcomes newcomers with characteristic warmth and enthusiasm, creating an environment where international partnerships flourish naturally. This cultural openness translates into tangible business opportunities, fostering an ecosystem where innovation and collaboration thrive.
SMART INVESTMENT: Superior Cost Performance
Osaka presents an exceptionally attractive value proposition for businesses, offering significant cost advantages while maintaining high standards of infrastructure and talent. Office space costs average 40% lower than Tokyo, while companies gain access to a highly skilled workforce. The city boasts established industry clusters in pharmaceuticals, manufacturing, and life sciences, providing a robust foundation for business growth.
ACCESSIBILITY: Strategic Asian Gateway
Osaka's transportation infrastructure places it at the heart of Asian business operations. The city's 24/7 international airport connects to 76 cities worldwide, while the reliable bullet train system puts Tokyo just 2.5 hours away. This strategic positioning makes Osaka an ideal base for companies operating across Asian markets, offering unparalleled connectivity and convenience.
KEY TO JAPAN: Future Growth Engine
As the host city for EXPO 2025, Osaka stands at the threshold of transformative growth. The event is projected to generate approximately 3 trillion yen in economic impact, catalyzing major infrastructure developments and fostering a thriving innovation ecosystem. This momentous opportunity positions Osaka as the gateway to future business opportunities in Japan.
ASSISTANCE: Comprehensive Business Support
Through the Osaka Business and Investment Center (O-BIC) and Global Finance One-Stop Support Center Osaka, international companies receive exceptional support for market entry and expansion. This includes substantial subsidies and tax incentives, one-stop consultation services in English, and comprehensive assistance throughout the business establishment process.
The Numbers Tell the Story
Recent data demonstrates Osaka's impressive momentum:
- Aviation Hub Growth:
Kansai International Airport’s international passenger reached a record-breaking 9.46 million foreign visitors in the first half of 2024, surpassing the previous high of 8.67 million in 2019. - Startup Success:
According to INITIAL, a startup information database, Osaka's startup funding reached 23.7 billion yen in 2023 (23% year-on-year increase), making it Japan's second-largest startup hub after Tokyo. - Global Recognition:
The Economist Intelligence Unit ranks Osaka as the world's 9th most livable city among 173 global cities, based on stability, healthcare, culture, education, and infrastructure metrics.
Looking Ahead
The convergence of EXPO 2025 preparations, ongoing infrastructure development, and Osaka's traditional business strengths creates an unprecedented opportunity for global businesses considering Asian expansion. As the city continues to evolve and grow, it offers an increasingly attractive proposition for companies seeking to establish or expand their presence in one of Asia's most dynamic markets.
“OPEN!! OSAKA”Video
https://youtu.be/PvFE-vxrho8?si=G-CVvVChZVN_frrX
