Discusses opportunities for U.S. franchisers and legal requirements in the market.
Last Published: 9/6/2019

U.S. franchising has heavily influenced the development of Japan’s franchise industry since the early 1970s. Although Japanese consumers are generally receptive to U.S. franchise concepts, products and services generally must be adjusted to local tastes and expectations in Japan to ensure success. U.S. franchising businesses have several ways to enter the Japanese market, such as entering into an agreement with a master franchisee, establishing a wholly-owned subsidiary as a master franchisee with a flagship store or stores, or seeking a joint venture partner to develop the market in Japan. 

Identifying the right business partner in Japan requires time and effort, and it can be difficult to find companies that are willing to invest in master franchise rights or to invest in business concepts that do not have a clear market or strong growth potential in Japan. Therefore, thorough market research and a long-term commitment are necessary for U.S. companies that are considering launching a franchise-based business in Japan. 

Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting http://export.gov/usoffices.