Japanese gov’t project aims to help small biz go big

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TOKYO — The economy ministry in Japan plans to open overseas shopping areas named after famous Japanese shopping districts such as Harajuku, Shibuya and Ginza as part of the ministry-led Cool Japan program to promote awareness of Japanese culture abroad.

TOKYO — The economy ministry in Japan plans to open overseas shopping areas named after famous Japanese shopping districts such as Harajuku, Shibuya and Ginza as part of the ministry-led Cool Japan program to promote awareness of Japanese culture abroad.

The Economy, Trade and Industry Ministry intends to introduce shops abroad selling the same selection of products as the original stores in Japan. In April, the ministry will start a project to match major retailers who have strong export businesses with small and midsized companies that sell popular items.

In other countries, mainly in Asia, Japanese pop culture has become well-known through animation, comics and magazines. In China, the top three women’s fashion magazines are actually Chinese versions of Japanese publications.

However, small specialized shops located in areas like Harajuku have difficulty exporting their businesses abroad despite their popularity. Such businesses often lack sufficient funding and know-how for expanding into international markets.

The ministry will hold its first meeting to link department stores and large retailers experienced in expanding their businesses in China, India and Southeast Asian nations with such small, popular shops.

This project will target not only fashion brands but also stores selling anime character goods and comics, and food and beverage establishments. Retailers are urged to prepare the same selection of items for sale as their shops in Japan.

The ministry also expects the project to increase the number of foreign tourists visiting Japan.

As an example, 15 new Japanese apparel companies opened a sales floor named Harajuku Street Style in October in a commercial facility in Singapore.

The project has provoked a favorable reaction from the public. Local commercial facilities have requested these Japanese companies open additional shops.

The government has set a target to expand the Cool Japan market to between 8 trillion yen and 11 trillion yen in 2020.

The value of textile imports to Japan is 50 times greater than the nation’s exports, while in France, Germany and South Korea, the value of textile imports is only twice that of exports. Compared to these countries, Japan’s export industry is much weaker.

Yusuke Kawamura, senior counselor at Daiwa Institute of Research Ltd., hailed the ministry’s efforts.

Kawamura said: “Young people in Asia, the United States and some European nations really admire Japan’s design and fashion sense. Thus the idea of exporting shopping areas to other countries is good.

“Especially, clothes and other goods sold at small boutiques tend to be more popular than products from large brands. The ministry’s efforts can help small and midsized shops that don’t have access to much capital.

“The major export industries in Japan were vehicles and high-tech products before. From now on the country should beef up cultural exports of Japanese brands that can increase the nation’s influence abroad,” Kawamura said.