Global Expansion: US Companies Making an Impact in Japan’s Market

In the ever-evolving landscape of global business, burgeoning opportunities for US investment in Japan are on the rise. The successful expansion of American companies into Japan stands as a compelling narrative of strategic foresight and adaptability. Beyond geographical boundaries, these companies have navigated cultural nuances, embraced market trends, and established a presence in the East Asian country. We explore 3 US-based companies that have entered the Japanese market.

Note: This blog post is created for informational purposes only. GLOBAL ANGLE is an independent entity and is not affiliated with the companies mentioned in this article. The information provided is based on publicly available sources and does not constitute endorsement or representation of these companies by GLOBAL ANGLE. Any views or opinions expressed in this blog post are solely those of GLOBAL ANGLE and do not necessarily reflect the views of the mentioned companies.

Toys R Us
Toys R Us is a toy and baby products retailer company based in America. Toys R Us opened its doors in Japan about 30 years ago, and has established its presence in the market. With around 150 stores located in different parts of Japan, Toys “R” Us Japan used several marketing strategies to gain its aim of business expansion. A recent example is their implementation of a toy design competition for Japanese children which won them Toys & Games Retailer of the Year — Japan award in 17th Retail Asia Awards. The success of Toys “R” Us in Japan underscores the significance of strategic localization in global business expansion.

DoorDash
Understanding the unique market opportunities, situation, and culture is crucial for foreign company expansion into Japan. In the case of American company DoorDash, the company understood that Japan is one of the most restaurant-dense countries in the world. The online food ordering and delivering platform expanded to Japan in 2021, which was the first non-English speaking country that they expanded into. DoorDash localised their platform’s processes and tools to suit the needs of their target market, such as displaying Japanese address fields and ability to display honorifics, elements that are different from their American counterparts. To encourage successful foreign business expansion to Japan, companies have to ensure that they tailor the proper experiences for the market.

Flywire
Flywire, a global payments technology company, demonstrated their business expansion into the Japan market. The U.S.-based company recognised trends in the country, particularly, the growing international student sector in which they swiftly identified parallels between Japan and the U.S. education markets. This strategic insight led to Flywire’s successful rapid expansion since April 2016, facilitating cross-border payments for Japanese educational institutions and students, with over 90 signed partnerships and approximately $60 million in transactions. The case underscores the crucial role of market research in pinpointing opportunities and achieving success when entering the Japanese market.

Conclusion
As we explore American companies expanding into Japan, a common thread emerges — a meticulous understanding of the Japanese market and a nimble approach to align with its unique dynamics. At GLOBAL ANGLE, we provide expansion services as a guiding force for businesses aiming to navigate this intricate landscape seamlessly, ensuring a strategic and successful entry into the Japanese market.