Unlocking Growth: How SMEs Can Thrive at the Osaka Expo and Beyond
The Osaka Expo 2025 is more than just a global event — it’s a powerful platform for small and medium-sized enterprises (SMEs) to tap into new growth opportunities in Japan and across Asia. For internationally minded businesses already established overseas or in Japan, the Expo offers a chance to accelerate expansion, forge strategic partnerships, and uncover hidden business opportunities.
A Zombie Market Ready for Revitalization
While Japan is renowned for its global giants, SMEs form the backbone of the economy. Yet today, this sector faces two pressing challenges. An estimated 2.45 million SME owners are over the age of 701 and many have no succession plan in place. In 2022 alone, 40% of business bankruptcies were tied to owner illness or death.
The absence of fresh and innovative leadership has led to business stagnation and “zombification,” where company profits fail to cover interest payments over extended periods. In fact, in the first half of 2024, nearly 5,000 companies went bankrupt, marking the highest first-half tally in a decade.2
This creates a unique moment in time for SMEs and investors alike. At the Osaka Expo, attendees have the chance to connect with Japanese businesses seeking fresh partnerships, capital, and international expertise. These companies hold incredible potential for collaboration, mergers and acquisitions (M&A), and revitalization.
Unlocking Hidden Value in Japan’s SME Market
Across industries — from traditional craftsmanship to advanced manufacturing — many of Japan’s SMEs are highly respected, profitable, and deeply rooted in their communities. However, these challenges put them at risk of disappearing. International SMEs looking to expand can find extraordinary opportunities: businesses with strong reputations, loyal customer bases, and specialized expertise that are seeking new leadership, strategic partners, or are open to mergers and acquisitions. These opportunities often remain hidden without the right local connections, making platforms like the Osaka Expo — and trusted networks like YOUNEEDS — essential for discovering and accessing them.
Japan’s SME sector is at a pivotal crossroads, and international businesses have a real opportunity to play a positive role. For SMEs already operating overseas or within Japan, the Osaka Expo is not just an event; it’s a launchpad for strategic expansion, innovation, and sustainable success. By seizing the moment, SMEs can thrive — and help preserve some of Japan’s most treasured enterprises along the way.
Support Your Success in Japan
As Japan’s SME sector faces the dual challenges of an aging business owner population and increasing stagnation, global businesses have a unique opportunity to step in and drive revitalization. However, navigating this market requires local expertise and strategic insights.
This is where YOUNEEDS can help. Our services are designed to help you succeed in Japan by providing in-depth market research and target lists to identify key strengths and opportunities within the local SME landscape. With our talent sourcing, YOUNEEDS matches you with the best-fit partnerships for long-term success. And everything is signed and sealed with the help of our legal support.
The Osaka Expo may be a limited-time opportunity, but the partnerships and success you build with YOUNEEDS will last a lifetime. Contact us here for a free consultation.
