Entrepreneurial In-migrants for Sustainability:
Policy implications for the future of rural regions

By Mai Iida

Advisor: Professor Hideaki Shiroyama
Co-Advisor: Professor Masaru Yarime

Graduate School of Public Policy
The University of Tokyo

May 2015

ii

Abstract
Rural regions have been faced with challenges regarding revitalization in
many developed countries. Not only do these countries face an ageing population, butsome countries like Japan also face an excessive population out-migration from therural to the urban. On the other hand, there is a growing movement ofcounter-urbanization, where city residents move to the countryside. In Japan, although
actual counter-urbanization has yet to be observed, there is clearly a growing interest
especially among those aged in their 20s-40s. Given this situation of population drainfrom the countryside, the current Japanese government has announced regional
revitalization policies aimed to induce in-migration to the rural regions.
This research aims to analyze what conditions are required for attracting
in-migrants that could essentially lead regional revitalization through their initiatives.
The research will focus on two municipalities: Gotsu city of Shimane prefecture andKamiyama town of Tokushima prefecture. Both regions suffer from population decline,
and have been pursuing policies to encourage in-migration. These two municipalities
were compared upon in-migration trends and policy approaches. Furthermore, actual
entrepreneurial in-migrants to the area were interviewed to understand the process of
in-migration and initiation of their businesses in the community.
While both municipalities hope to call in more in-migrants for the region, twodifferent approaches could be identified: the individual-based approach and thecommunity-based approach. The individual-based approach is where the municipalityiii

directly supports the individual through their in-migration and embedding into thecommunity, and helps their business start-up as well. Emphasis is laid on utilizing
human capital – the individual’s capacity to bring new value into the region, as well as
to develop the individual’s capacity. On the other hand, the community-based approachshows the government supporting the creation of the community, and then allows
autonomy for the community to welcome in-migrants and embed them into thecommunity. Rather than centering direct public support on the individual’s humancapital to match the community, it gives direct public support towards the existingsocial capital in the community to attract individuals. It is important to note that both
approaches need human capital and social capital; the difference lies in which capital toemphasize for direct public support.
The local government’s choice of policy approach may depend on the level of
local embeddedness. If a community has rigid embeddedness, it is difficult for the
in-migrants to integrate on their own as well as for the community to adapt andwelcome them. Therefore, direct public support for in-migrants is crucial to assist theembedding process and to gain more understanding from the locals. If a community’sembeddedness is more flexible, however, the government can give more freedom andautonomy to the community since the locals can accommodate the in-migrants fromthemselves. The local government can assist with funds to help initiate community
activities, and the activities can be led by actors at the grass-root level.
The identification of these two policy approaches is crucial for discussion on
neo-endogenous rural development, because the process of in-migration must beivmanaged carefully depending on the state of the host community’s embeddedness. Thisis especially the case for the individual-based approach; if a community does not
originally possess characteristics that can allow more flexibility in its embeddedness, itwould be crucial for communities to develop the mentality that in-migrants arenecessary for their region. However, having the mentality come to surface is anothercomplicated step for the transition of the rural region. The local government will need toobtain a capable individual with strong local and extralocal ties as soon as possible.
Unfortunately, as most municipalities suffer from both rapid population decline andbudget constraints, the capacity of these local governments may also be limited.
Furthermore, the ultimate constraint for both approaches would be time. Despite therapid population decline in many regions, the process to in-migration indicates a long
battle. It is because of this time constraint that the process of in-migration must be
handled carefully, so that a successful and sustainable in-migration cycle can beachieved as early as possible.
Since the embedding process of in-migrants is a long-term process, there aremany rural communities that are still in their early stages of constructing theirin-migration policies. This research provides a guide for how local municipalities
should carry their policies out for the sustainability of their communities. Given the
rapid decline of population in many regions, the process of in-migration should be
handled carefully, to get the local residents to recognize the gravity of theircommunity’s decline, and for the municipalities to pave the way for in-migrants to enterfor breakthrough.
v

Acknowledgements

First and foremost, I would like to express my deepest gratitude to mysupervisors, Professor Shiroyama and Professor Yarime, for providing me with all theirsupport and feedback despite their busy schedule. I saw a new light in my research eachtime I had a discussion with them, and it was an exciting adventure to pursue thisresearch from beginning to end. I would also like to thank Professor Horii for his advice
during my thesis preparation as well as his time for the thesis defense.
I am also grateful for the hospitality of the individuals I have met in Shimane
and Tokushima prefectures during my fieldwork. They not only let me interview themfor my research, but also offered their precious time to guide me through the region,
introducing me to the rich local culture and values. I would especially like to thank thefollowing individuals: Mr. Yoshida of the Shimane prefectural government for
introducing me to the Shimane prefectural staff, Mr. Hatayama of the Shimane
prefectural government for introducing me to the in-migrants in the Iwami region, Mr.
Imazu of the Tokushima prefectural government for introducing me to other prefectural
staff members, and Mr. Ominami and Mr. Kinouchi of NPO Green Valley for
introducing me to in-migrants in Kamiyama town.
This research was supported through the GSDM Program by the Ministry of
Education, Culture, Sports, Science and Technology. The financial assistance provided
by GSDM allowed me to conduct the fieldwork, an extremely valuable step in myviresearch procedure. My research would not have been possible had it not been for
GSDM’s support.
Lastly, I would like to thank my mother, who gave me the final push to enter
the GSDM program and pursue my ambitions as a researcher. I hope to repay that
support she has given me through my future research and contributions to society.

vii

Table of Contents
TABLE OF CON TEN TS .................................................................. III
LIST OF FIGU RES ............................................................................ 4
LIST OF TABLES .............................................................................. 5
1.

INTRODUCTION ......................................................................... 6

2.

OVERVIEW OF CU RREN T TREN DS ............................................ 9

3.

2.1.

JAPAN’S POPULATION TREND ............................................................................ 9

2.2.

JAPAN’S POLICY TREND ................................................................................... 16

2.3.

CURRENT NATIONAL POLICIES ....................................................................... 20

LITERATU RE REVIEW ............................................................. 23
3.1.

EXOGENOUS, ENDOGENOUS, AND NEO-ENDOGENOUS DEVELOPMENT .......... 23

3.2.

THE ROLE OF IN-MIGRANTS AND COMMERCIAL COUNTER-URBANIZATION ..... 25

3.3.

IN-MIGRANTS AS FRONTRUNNERS OF TRANSITION TO SUSTAINABLE

DEVELOPMENT .......................................................................................................... 29

3.4.

THE EFFECT OF LOCAL EMBEDDEDNESS ON IN-MIGRATION ........................... 31

3.5.

HUMAN CAPITAL AND SOCIAL CAPITAL FOR IN-MIGRANTENTREPRENEURSHIP ................................................................................................ 32

3.6.

THE PROCESS FOR SUCCESSFUL IN-MIGRANT ENTREPRENEURSHIP IN A RURALREGION ..................................................................................................................... 34

3.7.
4.

QUESTIONS FOR SUCCESSFUL IN-MIGRANT ENTREPRENEURSHIP ................. 37

M ATERIALS AN D M ETH OD S .................................................... 38
4.1.

SHIMANE PREFECTURE ................................................................................... 39

4.1.1.
4.2.

TOKUSHIMA PREFECTURE ............................................................................... 49

4.2.1.
4.3.
5.

Gotsu city ................................................................................................ 45
Kamiyama town ..................................................................................... 54

DATA COLLECTION AND FIELDWORK ............................................................... 58

RESU LTS .................................................................................. 59
5.1.

IN-MIGRATION POPULATION TRENDS IN GOTSU CITY ..................................... 59

5.2.

SHIMANE PREFECTURAL GOVERNMENT’S POLICIES ....................................... 62

5.3.

IN-MIGRATION POPULATION TRENDS IN KAMIYAMA TOWN ............................. 65

2

6.

5.4.

TOKUSHIMA PREFECTURAL GOVERNMENT’S POLICIES ................................... 68

5.5.

ACTUAL IN-MIGRANTS: PROCESS TO IN-MIGRATION ....................................... 72

5.6.

ACTUAL IN-MIGRANTS: PROCESS TO ENTREPRENEURSHIP ............................. 80

DISCU SSION ............................................................................ 84
6.1.

REGIONAL DIFFERENCES ................................................................................ 85

6.2.

DIFFERENCES IN POLICY APPROACH ............................................................... 86

6.3. POLICY PROPOSAL FOR JAPAN AND ITS MUNICIPALITIES ................................ 87
7.

CON CLU SION ........................................................................... 93

8.

BIBLIOGRAPH Y ........................................................................ 98

9.

APPEN DICES .......................................................................... 105

3

List of Figures
FIGURE 2-1: TOTAL NUMBER OF LIVE BIRTHS AND DEATHS IN JAPAN FROM 1947 TO 2013..........................10
FIGURE 2-2: TOTAL IN-MIGRANTS IN EACH PREFECTURE BETWEEN 2010 AND 2014 ....................................12
FIGURE 2-3: PERCENTAGE OF PEOPLE WHO WISH TO MIGRATE OUT OF TOKYO ............................................13
FIGURE 2-4: CONCERNS ABOUT MIGRATION AMONG THOSE WHO WISH TO MIGRATE ...................................15
FIGURE 2-5: DIFFERENCE BETWEEN MEN AND WOMEN ON MIGRATION TO RURAL REGIONS ........................16
FIGURE 2-6: VISION BY THE OFFICE FOR OVERCOMING POPULATION DECLINE...........................................21
FIGURE 4-1: POPULATION TRENDS IN SHIMANE PREFECTURE FROM 1960 TO 2010 ......................................40
FIGURE 4-2: TOTAL NUMBER OF IN-MIGRANTS TO EACH REGION IN SHIMANE PREFECTURE FROM 2009-2013............................................................................................................................................................43
FIGURE 4-3: TOTAL PRODUCTION IN SHIMANE PREFECTURE FROM 2001-2012 ............................................44
FIGURE 4-4: TOTAL NUMBER OF WORKERS IN SHIMANE PREFECTURE PER INDUSTRY DURING THE YEARS
1990-2010 ..........................................................................................................................................45
FIGURE 4-5: COMPARISON OF TOTAL POPULATION IN SHIMANE PREFECTURE AND GOTSU CITY, 1995-2010............................................................................................................................................................46
FIGURE 4-6: TOTAL PRODUCTION IN GOTSU CITY FROM 2001-2011 ............................................................47
FIGURE 4-7: RATIO OF BUSINESS TYPES IN GOTSU CITY (2011) ...................................................................48
FIGURE 4-8: NUMBER OF WORKERS AND BUSINESSES IN GOTSU CITY, 2001-2012.......................................48
FIGURE 4-9: AVERAGE RATIO OF NEW BUSINESSES TO PRESENT BUSINESSES PER YEAR IN GOTSU CITY FROM
2001-2012 ..........................................................................................................................................49
FIGURE 4-10: POPULATION TRENDS IN TOKUSHIMA PREFECTURE FROM 1960-2010 ....................................50
FIGURE 4-11: TOTAL PRODUCTION IN TOKUSHIMA PREFECTURE, 2001-2012 ..............................................52
FIGURE 4-12: TOTAL NUMBER OF WORKERS IN TOKUSHIMA PREFECTURE PER INDUSTRY DURING THE YEARS
1970-2010 ..........................................................................................................................................53
FIGURE 4-13: COMPARISON OF TOTAL POPULATION IN TOKUSHIMA PREFECTURE AND KAMIYAMA TOWN,
1960-2010 ..........................................................................................................................................54
FIGURE 4-14: TOTAL PRODUCTION IN KAMIYAMA TOWN FROM 2003-2012 ................................................56
FIGURE 4-15: NUMBER OF WORKERS AND BUSINESSES IN KAMIYAMA TOWN, 2001-2012 ...........................56
FIGURE 4-16: RATIO OF WORKERS PER INDUSTRY IN KAMIYAMA TOWN, 2005-2010 ..................................57
FIGURE 4-17: RATIO OF BUSINESS TYPES IN KAMIYAMA TOWN, YEAR 2011 ................................................57
FIGURE 5-1: NET IN-MIGRATION IN GOTSU CITY, 2003-2011 .......................................................................60
FIGURE 5-2: TOTAL IN- AND OUT-MIGRATION LEVELS IN GOTSU CITY, 1993-2011......................................61

4

FIGURE 5-3: IN-MIGRATION FROM OTHER PREFECTURES INTO GOTSU CITY, 2003-2011 ..............................62
FIGURE 5-4: NET IN-MIGRATION IN KAMIYAMA TOWN, 2006-2012 .............................................................66
FIGURE 5-5: TOTAL IN-MIGRATION AND OUT-MIGRATION IN KAMIYAMA TOWN, 1989-2013 ......................67
FIGURE 5-6: IN-MIGRATION FROM OTHER PREFECTURES INTO KAMIYAMA TOWN, 2006-2012 ....................68
FIGURE 6-1: INDIVIDUAL-BASED AND COMMUNITY-BASED APPROACHES ....................................................89
FIGURE 6-2: PUBLIC-LED AND PRIVATE-LED POLICIES BASED ON LEVELS OF EMBEDDEDNESS.....................92

List of Tables
TABLE 2-1: REASONS FOR DESIRE TO MIGRATE OUT OF TOKYO ...................................................................14
TABLE 2-2: NUMBER OF MUNICIPALITIES BEFORE AND AFTER THE MUNICIPAL MERGERS............................19
TABLE 4-1: POPULAR IN-MIGRATION DESTINATIONS FROM 2009 TO 2014 ...................................................42
TABLE 5-1: NUMBER OF PARTICIPANTS AND THOSE WHO IN-MIGRATED AFTERWARDS IN KAMIYAMA-JUKU............................................................................................................................................................71
TABLE 5-2: INTERVIEW RESULTS FOR IN-MIGRANTS ON THEIR IN-MIGRATION .............................................73
TABLE 5-3: TYPOLOGY OF SOCIAL INNOVATOR IN-MIGRATION ....................................................................80
TABLE 5-4: INTERVIEW RESULTS FOR IN-MIGRANTS ON THEIR ENTREPRENEURSHIP ....................................835

1. Introduction
In recent years, there has been a heightened interest over the potential of rural
regions and their advantages over urban regions. Many literatures have focused on thestrengths these rural communities possess, such as their locally rooted economy,
cultural and community ties, and quality of life elements (Toyama, 2014; Motani, 2013;
Hiroi, 2009; Kanamaru, 2009; Schuman, 2006). Most pointed to the sustainability ofthese communities, and how such rural regions, however small or remote, should not be
neglected from discussion (Motani, 2013; Yamashita, 2012; Odagiri, 2009).
Sustainability is an important concept that is now commonly mentioned in
discussions on development. In 1987, the United Nations World Commission on
Environment and Development declared the following definition for sustainable
development:“Sustainable development is development that meets the needs of thepresent without compromising the ability of future generations to meet theirown needs.” (WCED, 1987, p43)

The importance of achieving sustainability at the local level was further acknowledgedat the 1992 United Nations Conference on Environment and Development, also known
as the Earth Summit in Rio de Janeiro. At the Summit, the UN called upon the Local
Agenda 21, which outlined the economic, social and environmental agenda forsustainable development from the local communities. In these ways, the international
6

arena has shifted its focus to sustainability for local development.
Although there is increased interest in sustainable development of local
regions, the current ageing population trend and continuous out-migration of youths tothe cities is a challenge. Rural regions have been faced with an ageing population in
many developed countries. The ageing rural population has been raised as a concern
especially in Europe and Japan, where the ageing population has been reinforced byexcessive out-migration of youths from the peripheral to central areas (Amcoff andWestholm, 2007; Coulmas, 2007; Lindh, 2003). These population changes havethreatened the sustainability of these communities’ future.
Despite the demographic changes that point towards an alarming future forthese regions, it has been observed that there is a growing trend of“counter-urbanization” – individuals migrating from the cities to the countryside,
whether it is for family, quality of life perceptions, or other motives (Stockdale, 2002;
Findlay, Short and Stockdale, 2000; Halliday and Coombes, 1995). These “in-migrants”
are also seen to have a positive impact on the rural regions, and could therefore pave
way towards more positive projections for the future population of the regions(Bosworth, 2006; Findlay, Short and Stockdale, 2000).
On the other hand, the situation for Japan seems severe, especially for thesmaller rural regions. Unlike Europe, Japan is experiencing a rapid population decline
due to its low birth rate. On top of that, Japan’s rural regions have been burdened withexcessive out-migration of the youths in particular to larger cities, ever since thepost-war years (Masuda, 2014a; Cox, 2014; Matsutani, 2009). Unfortunately for Japan,
7

people are much less mobile than in Europe: youths usually aim for jobs in large cities,
and end up staying in the city once they move out (Matsutani, 2009). Thus, it is difficult
for the rural regions to immediately expect more people to migrate back from cities.
However, in recent years, even Japan has begun seeing a growing number of peopleinterested in migrating to the countryside (Kasami, 2014; Cabinet Office, 2014a). In thecurrent era where rural regions are suffering from the population drain, what policies
can help in-migration become a stronger current?
This research will observe the current in-migration policies taken at thenational and local levels, and will analyze what the required conditions are for attracting
in-migrants that could essentially lead regional revitalization through their initiatives.
The research will focus on two municipalities: Gotsu city of Shimane prefecture andKamiyama town of Tokushima prefecture. Both regions suffer from population decline,
and have been pursuing policies to encourage in-migration. These two municipalities
were compared upon in-migration trends and policy approaches. Furthermore, actual
entrepreneurial in-migrants to the area were interviewed to understand the process of
in-migration and initiation of their businesses in the community. From the observations,the research aims to show policy approaches best suited for rural regions in attracting
in-migration for their sustainability.
The current chapter addresses a general background to the topic of population
decline, in-migration and the rural regions. Chapter 2 provides current information on
the overall population trends and national policies of Japan. Chapter 3 presents past
literatures on in-migration and rural development. Chapter 4 explains the two case8

studies chosen for this research, and addresses the methods taken for the fieldwork.
Chapter 5 outlines the in-migration data obtained on the two areas, and the interview
results with policymakers and entrepreneurial in-migrants. Chapter 6 discusses the dataand gives the author’s analysis on in-migration policy approach. Chapter 7 sums up theresearch findings and refers to further policy implications.

2. Overview of Current Trends
2.1. Japan’s population trend
Japan’s population entered decline in the late 2000s. The number of deaths
exceeded the number of births for the first time in 2004, but the numbers remained
stagnant for a couple years before hitting a clear decline of births from 2008 (Figure 2-1)1.
Based on this data of the current population decline, The National Institute ofPopulation and Social Security Research (2012) also presented projections on the trendof Japan’s population (Masuda, 2014b). There will be three declining stages: in the firststage, there will be a decline in young working-age population till 2040, while theelderly population rises. For 2040 to 2060, the elderly population will begin to level orslightly fall with the young and working age population. In the third stage of 2060 to
2090, both the elderly and young/working age population will continue to fall. In thisway, Japan may continue to face a decline in overall population in the decades to come.

In Figure 2-1, the year 1966 shows a dip in the number of births; this was the year of thefirehorse, indicating bad luck for those who were born in this year. Due to this superstition,
many people avoided giving birth. Hooper, R. from The Japan Times (2012).

1

9

Figure 2-1: Total number of live births and deaths in Japan from 1947 to 2013
3 000 000

Number of people	 2 500 000

2 000 000

1 500 000
Number ofbirths

1 000 000

Number ofdeaths	
 500 000

2013

2010

2007

2001

2004

1995

1998

1992

1989

1983

1986

1980

1977

1971

1974

1965

1968

1962

1959

1953

1956

1950

1947

	
 	
 	
 	
 

Source: “Vital Statistics Survey”, Ministry of Health, Labour and Welfare (2013).

Amongst this population ageing and decline is another major concern:
population concentration in Tokyo, followed by other major cities such as Osaka andNagoya. Figure 2-2 shows that migration to Tokyo remains high compared to other
cities throughout the years 2010 to 2014, and the regional areas suffer from inward
migration to the cities. According to census figures, Tokyo has welcomed over 10.0%
of its people from other prefectures in 2010, whereas other prefectures did not see as
many people migrate to their regions. This migration rate to Tokyo is even much higher
than any other capital cities in the advanced economies (Masuda, 2014a). The highnumber of in-migration is not limited to Tokyo, but expands to the whole Tokyo
metropolitan area2, which is home to many who commute to Tokyo (Cox, 2014). This
2

Includes Saitama, Chiba, and Kanagawa prefectures.

10

shows that Japan’s population trend is distinct – and the trend indicates continuing risein migration to Tokyo, posing a threat to the sustainability of other local municipalities.
Japan’s post-war history explains this chronic population drain from local
regions to the major cities. There were three periods of population migration thatmarked the youths’ move to the three largest cities, Tokyo, Osaka and Nagoya. In thefirst period (1960-1970), mass employment from the rapid economic growth resulted in
the migration of youths to industries in the three major cities. The second period(1980-1993) was during the bubble economy, when the service and financial industry inTokyo grew significantly, pulling the youth workforce to the Tokyo area. The third
period (2000 - present) was a result of the regional economic decline, causing the youth
to seek job opportunities in Tokyo over opportunities in other regions. This third period
still persists, and the regional population is being drained year by year. These threemigration phases show a clear centralization of population into Tokyo with a continuous
decline in the regional population, reflecting the need for these local regions to make up
for the population they have lost.

11Prefectures	 F igu re 2-2: To tal in -m igran ts in each p ref ecture betw ee n 2010 and 2014

Hokkaido
Aomori
Iwate
Miyagi
Akita
Yamagata
Fukushima
IbarakiTochigi
Gunma
Saitama
Chiba
Tokyo
Kanagawa
NiigataToyamaIshikawa
Fukui
Yamanashi
NaganoGifu
Shizuoka
Aichi
Mie
Shiga
Kyoto
Osaka
Hyogo
Nara
Wakayama
Tottori
Shimane
Okayama
Hiroshima
Yamaguchi
Tokushima
KagawaEhime
Kochi
Fukuoka
Saga
Nagasaki
Kumamoto
Oita
MiyazakiKagoshima
Okinawa

2010
2011
2012
2013
2014

0

50,000 100,000 150,000 200,000 250,000 300,000 350,000 400,000 450,000 500,000
Total number of in-migrants	
 Source: “National population census”. Ministry of Internal Affairs and Communications (2014).

12

On the other hand, Japan has an increasing number of those who wish to
migrate out of the city and into rural regions. In a poll taken in August 2014, 40.7% ofTokyo residents aged between 18 and 64 answered that they are planning to, or
considering moving out of Tokyo (Figure 2-3). The desire to migrate out of Tokyo washigher for the population whose hometowns lie outside the Kanto region3.

Figure 2-3: Percentage of people who wish to migrate out of Tokyo

I plan to, or am
considering to moveout of Tokyo within thenext year

Out of total (n=1200)

I plan to, or am
considering to moveout of Tokyo within thenext 5 years
I plan to, or am
considering to moveout of Tokyo within thenext 10 years
Out of those whose
hometown is outside Kanto
region (n-300)

I don't know when, but
I would like to consider
moving out of Tokyo
sometime
I plan to stay in Tokyo
0%

20%

40%

60%

80%

100%

Source: “Survey on future migration for Tokyo residents”, Cabinet Office (2014).

The motive behind their desire to migrate are various; among the population aged 18 totheir 40s, many answered that they wish to migrate back to their hometown, or to

3

Includes Tokyo, Chiba, Kanagawa, Saitama, Ibaraki, Gunma, and Tochigi.

13experience a slower paced lifestyle (Table 2-1). Thus, reasons usually related topersonal connections to the region, or quality of life components.

Table 2-1: Reasons for desire to migrate out of Tokyo

Age

Men

Women

10s – 1. It’s my hometown (42.9%)

1. It’s my hometown (53.6%)20s

2. I have family and friends there

2. I want to live a slower life (26.8%)
3. I have family and friends there (26.8%)

30s(41.1%)

1. I want to live a slower life (47.9%)

1. It’s my hometown (51.1%)

2. It’s my hometown (35.4%)

2. I have family and friends there(36.2%)
3. I want to live a slower life (36.2%)

40s

1. I want to live a slower life (40.4%)
2. It’s my hometown (36.8%)

1. There is good food, clean waterand air (40.9%)
2. Better climate for living (34.1%)

Source: “Survey on future migration for Tokyo residents”, Cabinet Office (2014).

However, these individuals also raised several concerns with regards to migration, witha significant reason being the availability of jobs (Figure 2-4). The concern of jobs waslisted at the top, especially for women. While it is not clear which kind of region –urban or rural – these individuals wish to migrate to, finding a job seems to be acommon concern for all individuals when they leave Tokyo. This may be a more serious
dilemma if they were to migrate to the countryside.

14

Figure 2-4: Concerns about migration among those who wish to migrate

45
40
35
30
25

%	
  20
15
10
5
0

Source: “Survey on future migration for Tokyo residents”, Cabinet Office (2014).

Furthermore, a different poll taken in June 2014 showed that 31.6% ofresidents replied that they wish to migrate to a rural area, increasing from 20.6% back in
November 2005 (Cabinet Office, 2014). Yet, there was a gap between gender; moremen showed desire to migrate than women (Figure 2-5).

15

Figure 2-5: Difference between men and women on migration to rural regions

11.7

Men

25

26.7

33.5

Yes
I think I will
I don’t think I
will migrate
No
Women

6.1

20.6

32.3

37.7

Can't say
I don't know

0%

20%

40%

60%

80%

100%

Source: “Survey on rural regions”, Cabinet Office (2014).

Among residents already in rural areas, 63% answered that finding a job would be a key
issue for in-migrants coming from cities. The concern over jobs seems to be a pressing
issue among both potential in-migrants and present residents in rural communities,
showing that, despite the increased interest in in-migration, there could be great
hesitance in actually deciding to in-migrate, especially to a remote rural area.

2.2. Japan’s policy trend
With the continuous population decline and population drain from peripheral
regions to main cities such as Tokyo, there is great need for these regions to reconsider
their future. Often called “chiiki kasseika” in Japanese, regional revitalization has

16

received attention particularly after population decline became apparent in the nation.
Yet, regional revitalization is not a new concept; there have been policies directed atrural development from the 1960s, such as the Comprehensive National Development
Plans announced by the Ministry of Land, Infrastructure and Transport.
Over the decades, the government’s approach on regional development has
shifted (MLIT, 2012). At first, from the 1960s, the target was on establishing
infrastructure and relocating firms and factories to boost the local economy. Japan wasin the era of rapid economic growth; the building of infrastructure was prioritizednationwide. The relocation of firms and factories was another key aspect of regional
revitalization policies at the time. It was believed that by relocating companies andfactories to the peripheral regions, it would consequently also relocate the capital andhuman resources to those regions. However, this policy was met with little success. The
workers at the newly relocated factories were often people from outside the region,
therefore not providing local job opportunities. Also, eventually the companies
relocated their factories to another location such as abroad, where they could makemore profit from cheaper investment such as for workers. Therefore, as more companies
relocated their factories abroad and public construction works got cut due to budget
constraints, it was evident that these approaches were not sufficient to achieve asustainable rural growth.
Since the 2000s, policies became more “bottom-up”, and focus was laid noton hard infrastructure but more on the soft, qualitative factors. This was due to the little
success of previous development plans, which were executed in a “top-down” manner.
17This time, the local municipalities were given more autonomy in directing their own
regions rather than from a solely top-down approach. More emphasis was laid on
assisting the small and medium enterprises and industries other than manufacturing todevelop. This shift from the quantitative to qualitative development was officiallyintroduced by the MLIT as the “Bill for partial amendments to the Comprehensive
National Land Development Act and other laws in order to promote sustainable
development of the national land” in 2005. With this Bill’s enforcement, theComprehensive National Development Plans was revised as the “National Land
Sustainability Plan”, allowing a proposal system from prefecture system as a bottom-up
approach to regional revitalization.
At the municipal level, the local regions have suffered from multiple mergers,
the largest being the “Heisei-Dai-Gappei (the Great Heisei Consolidation)”. The main
reasons behind this merger, according to the Ministry of Home Affairs (current Ministryof Internal Affairs and Communications), were the following (Yokomichi, 2007):

1. Promotion of decentralization
2. A declining birthrate and ageing population
3. Deteriorating financial situation of national and local governments,
4. Expansion of daily living space.

After the numerous mergers, almost half of the municipalities diminished from 1990
(Table 2-2). The mergers aimed for efficiency in terms of fiscal budget and did succeed18

in reducing the number of assembly members by 17,500 and the number of mayors by
1,400 (Yokomichi, 2007). However, local residents of the municipalities became
frustrated over how the town office became further away, or how the administration has
become less transparent for the residents (Odagiri and Fujiyama, 2013).

Table 2-2: Number of municipalities before and after the municipal mergers

Number of municipalities

Reduction rate

March 1990

March 2006(%)

Hokkaido

212

180

15.1

Tohoku

400

232

42.0

Kanto

637

427

33.0

Hokuriku

223

86

61.4

Tokai

330

177

46.4

Kinki

326

207

36.5

Chugoku

318

114

64.2

Shikoku

216

96

55.6

Kyushu/Okinawa

570

302

47.0

Total

3,232

1,821

43.7

Source: Ministry of Internal Affairs and Communications

19

2.3. Current national policies
The current Abe administration declares regional revitalization as one of the
key topics on its policy agenda. Ever since the publication of the Masuda report in May
2014, the cabinet has begun preparation for establishing an office especially for regional
revitalization. This office, called the “Overcoming Population Decline and Vitalizing
Local Economy in Japan” (hereafter “Office for Overcoming Population Decline”), wasestablished in September 2014 with Minister Shigeru Ishiba at its head. While its
policies are still under discussion, the office has agreed on its long term visions and key
goals that it aims for.
Unlike previous regional revitalization policies, which had focused on the unitof the local economy and achieving a uniform growth across all regions in Japan, thenewly proposed plan by the Office focuses on the unit of people. Previous policies werebased on the declining birthrate and ageing population in Japan; this time, thegovernment addresses the demographic migration patterns, especially of the youths, aswell as the lifestyles they obtain in the local regions. The government also emphasizes
the importance of respecting each region’s individuality rather than taking a uniform
approach. As the Office’s long-term vision outlines (Cabinet Secretariat, Feb 2015),
Japan aims to maintain a population of 100 million by 2060, and lists three basic
perspectives towards this vision:

1.

Correct the population concentration to Tokyo;

2.

Realize the desires among youths for employment, marriage and20childcare;
3.

Provide solutions to local issues based on each region’s traits.

To achieve the above, the Office aims to take a 5-year “comprehensive strategy” from2015 to 2019, to encourage local communities in creating a positive cycle between jobs,
people and the community (Figure 2-6). This strategy focuses on the unit of the people,
aiming to enhance both the human resources and the environment to attract humanresources into the region. For example, the improvement of employment opportunities
in both quantitative and qualitative means can attract more human resources and prompt
economic stability for marriage and childcare; with an increase in population comes
more job opportunities. This synergy between jobs and people can consequently
revitalize the local community.

Figure 2-6: Vision by the Office for Overcoming Population Decline

Jobs	
 

Community	 People	 Source: Office for Overcoming Population Decline (2015)21

To create this cycle, the Office has outlined four basic goals:

1. Create stable employment opportunities in the regions;
2. Create a new flow of people to the regions;
3. Realize the desires among youths for marriage, birth and childcare;
4. Build a community suitable for the era, securing a safe living andfostering collaboration among regions.

The first two goals especially raise specific goals directly linked to attracting
in-migration to regions other than Tokyo.
The first basic goal, “Create stable employment opportunities in the regions”,
comes from the background that Tokyo has excessive in-migration especially of youths
aged in their late teens to their 20s. This background is seen mainly as a result of
disparity among the economic and employment situation between the Tokyo
metropolitan area and other regions (Cabinet Secretariat, 2015). Thus, to combat thisissue, the Office has set the goal to create more jobs for youths in the local regions, withthe aim to achieve jobs for 300 thousand people within the next five years. In specific,
the Office outlined three Key Performance Indicators (KPI): 1. Double the balance of
foreign direct investment from 18 trillion to 35 trillion yen; 2. Triple the laborproductivity growth rate of the service sector from an average of 0.8% to 2.0%; 3.
Increase the percentage of employed at-home teleworkers to above 10% of the whole22

labor population. The Office’s second basic goal, “Create a new flow of people to theregions”, aims to attract more in-migrants to these local regions with the target ofincreasing 40,000 out-migrants from and reducing 60,000 in-migrants to the Tokyo
metropolitan area by the year 2020. KPIs for this goal includes an annual 11,000 casesof in-migration, an average of 80% of new graduates to get employed within theprefecture, and the increase of 7500 local corporate offices by 2020.
Given this comprehensive strategic plan by the Office of Overcoming
Population Decline, the government calls on local municipalities to come up with theirown “local” strategic plan over the next year. This is to be decided based on eachmunicipality’s local population and its demographic trends. In addition, the local
version is expected to consist of clear goals and KPIs for the period between 2015 and2019, along with a PDCA cycle that includes various actors across levels and fields.
Through the local plans, the national government hopes to encourage independent
activities and regional collaboration (Cabinet Secretariat, 2015).

3. Literature Review
3.1. Exogenous, endogenous, and neo-endogenous development
Theories of local and rural development have undergone shifts in notion overthe decades, formulating three different approaches. In the past, local developmentemphasized economic growth, especially in terms of agricultural modernization forindustrialization. This development was led not by the regions themselves, but by thenational government, therefore making it a “top-down”, centralized process – an23

exogenous approach. Till the 1980s, policies addressed economically disadvantaged
regions, and pursued the development of new industries and relocation of firms to lessprosperous regions (Cochrane, 2011). This exogenous approach was later met withcriticism; as it was exogenously governed by the state, rural regions grew
over-dependent on external factors for their growth4, and this also imposed high costson the national government (Bosworth and Atterton, 2012, Bosworth, 2006).
Furthermore, views on development gradually drifted away from a solely economic andquantitative dimension to a more qualitative account on sustainable development,
considering the subjective quality of life and well-being (Pike, Rodriguez-Pose, andTomaney, 2011). Such a sustainable rural development requires economic development
to harmonize economic, social, and environmental goals (Todtling, 2011), to achieve a“state of harmony between human life and nature” (WCED, 1987).
This shift to more emphasis on sustainability gave way to a new form of
approach on development. From the 1990s, the focus shifted from an exogenous
approach to an endogenous approach, which aimed to generate growth and prosperity
through the initiative of locally based actors, businesses, and public agencies (Cochrane,
2011; Todtling, 2011). Coffey and Polese (1984) explained the following four stages
that take place in endogenous growth:

1. Emergence of local entrepreneurship and local firms

4

Once factories and firms that had been relocated or established in rural regions closed, they left many
local residents without a job.

24

2. Growth and expansion of local firms beyond region
3. Emergence of local control structure
4. Establishment of strong locally controlled economic sector

In this process, the population’s entrepreneurial spirit and the sum of its talents areimportant factors of production along with labor and capital (Coffey and Polese, 1984).
However, it was also pointed out that endogenous development is not sufficient to yield
entrepreneurial behavior in the local region; other stimulus would be necessary to
encourage entrepreneurship (Bosworth and Atterton, 2012). This perspective led to therise of a third approach to development: the neo-endogenous approach.
The neo-endogenous approach still focuses on the local forces, but also takes
into account their interplay with extra local factors. Ray (2001) defines neo-endogenousdevelopment as an approach in which “extra-local factors are recognized and regarded
as essential but which retains belief in the potential of local areas to shape their future”(Ray, 2001, p4). There are two attributes in neo-endogenous theory: the ability for thearea to interact with extra-locals, and also for the local area to accrue requisite means torealize development locally (Bosworth, 2010). This interplay between endogenous andexogenous forces for rural development becomes a key notion when looking at the roleof in-migrants to the region.

3.2. The role of in-migrants and commercial counter-urbanization
When considering the neo-endogenous approach to development, there needs25to be an actor that can bridge the local and extra-local. A key actor could be thein-migrants to rural regions. While many rural regions suffer from continuous
depopulation and youth out-migration, such as in the case of Japan, a rural region willneed to obtain the appropriate human capital for development (Stockdale, 2006).
In-migrant entrepreneurs have a positive influence on the pace and direction of
economic development (Kalantaridis and Bika, 2006). Especially in remote areas,
Stockdale’s research has found that in-migrants can serve to create new economic
activity through creation of compatible jobs (Stockdale, 2006). This is particularly thecase because rural areas are no longer dominated by agriculture, given the increase inother rural businesses (Bosworth, 2010). Furthermore, not only do these in-migrants
possess the necessary human capital, but they also have ties with external actors,
allowing them to bridge the local and extra-local for neo-endogenous growth. Anotherresearch has also found that in-migrants to rural areas are relatively affluent individuals
with distinct attributes and networks of contacts (Kalantaridis and Bika, 2006).
Therefore, these in-migrants have the potential to significantly contribute to the region’s
development5.
The discussion of in-migrants has especially attracted attention with“counter-urbanization”. Counter-urbanization is a net migration of population fromlarger urban centers to smaller towns and rural areas (Bosworth, 2006). In the earlier
period, counter-urbanization was thought to simply be a temporary anomaly (Halliday

5

It must be noted that the in-migrants are not the sole factor that triggers economic development, butthey can accelerate the pace and alter the direction of rural change (Kalantaridis and Bika, 2006).

26and Coombes, 1995); however, the urban to rural migration remains a trend and cantherefore be acknowledged as an actual phenomenon (Bosworth, 2010).
When assessing the patterns of counter-urbanization, we should not neglect
the relevance of out-migration from rural areas as well as the state of non-migrants who,
while remaining in their residence, may desire to live in rural areas (Champion, 1998).
Counter-urbanization is not simply a phenomenon where individuals resettle from thecities to the countryside; it should also consider the number of individuals who leave therural areas, and also include those who have not yet, but are considering the possibilityof, in-migration. This is a key observation that can be applied in Japan’s case as well,because while Japan does not have as much population redistribution from the cities tothe rural areas as in western countries, it has been seeing an increase in the number of
those who wish to migrate (Cabinet Office, 2014). Thus, there could be a nascentcounter-urbanization trend in Japan, implying a possible increase in the number of
in-migrants that can eventually contribute to the neo-endogenous development of rural
regions in the future.
Furthermore, not only has the in-migration of people to rural regions emerged,
but a new form of counter-urbanization – “commercial counter-urbanization” – has beencoined by Bosworth (2010). Commercial counter-urbanization is a combination of
population movement and new opportunities for business activity in a rural setting,
implying the positive effect in-migration has on rural economic development. Manyin-migrants were observed to have established a wide range of rural businesses,
employing local people, trading with local firms, and providing important local services.
27

This role taken by the in-migrants can positively advance a local economy, especiallygiven the human capital of these in-migrants (Stockdale, 2006; Kalantaridis and Bika,
2006). While some raise concern over recognizing commercial counter-urbanization as
an actual movement (Mitchell and Madden, 2014), it is worth considering the process
leading up to a possible establishment of such counter-urbanization. By focusing on aparticular cohort of in-migrants that contribute to rural economic development (Mitchelland Madden, 2014), this commercial counter-urbanization – the growth of rural
economies by inward migration – could explain a possible approach for
neo-endogenous development in rural areas.
When speaking of counter-urbanization in general, however, we must also be
careful with which “rural” region we wish to address. It is important to note here that“rural” points to areas relatively distant from urban centers and excludes commuter
towns situated along the periphery of major cities (Champion, 1998). However, evenamong the rural regions referred to by Champion, two further categories can be made:the popular rural regions and depopulating, less popular rural regions (Bijker andHaartsen, 2011). After analysis of the Netherlands, Bijker and Haartsen (2011) foundthat in-migrants to popular rural regions have different motives than those who move toless popular rural regions. In-migrants to popular rural areas were often those who werehighly educated and used to live in urban areas. Their motives for migration tended to
be for the environment (presence of nature) and accessibility. On the other hand, lesspopular, more remote rural areas were more likely to have in-migrants whose families
and friends lived in the region. Thus, familiarity to the region and proximity to their28

friends and family seemed to be a significant reason for the in-migration to less-popular
rural areas. In these ways, “rural” can have a broad definition; it is important to notneglect the various types of rural regions that exist underneath the terminology.

3.3. In-migrants as frontrunners of transition to sustainable development
As Japan’s declining rural regions have been suffering from population drain
to larger cities over the decades, a transition is necessary for their sustainability. A
transition refers to a fundamental structural change in the societal system to tackle
persistent problems, which are rooted in its deep structure (Frantzeskaki, Loorbach, andMeadowcroft, 2012). By resolving persistent problems, a societal system can becomesustainable. Thus, in the context of Japan’s declining rural regions, rather than ashort-term solution, a lasting transition towards revitalization and neo-endogenous
growth is desirable. In order for such a transition to occur, there needs to be thepresence of “frontrunners” that can lead the movement to tackle persistent problems
over the long run (Loorbach, 2010).
A potential frontrunner for these regions could be the individuals that migrate
into the region. In past research, it was observed that many in-migrants to less-populardeclining regions come not upon choice, but because of inevitable or personal reasons(Stockdale, 2006). In contrast, as noted before, recent opinion poll has shown an
increase in the number of people, especially the youths, who desire to move out of thecity and go to the rural regions, possibly even the agricultural rural regions. Not only
can these individuals be seen as potential in-migrants, but such in-migrants could also29contribute to the regeneration of the local economy with their entrepreneurship(Bosworth and Atterton, 2012; Bosworth, 2010). Thus, if Japan is to pursue ruralchange in these regions for their sustainable future, these in-migrants could become thefrontrunners to lead transition towards sustainable revitalization.
How can a less popular declining region attract such frontrunners in the firstplace to yield its transition towards sustainable revitalization? Such a long-term policy
design for sustainable transition involves a contested process of social innovation (Voß,Smith and Grin, 2009). Social innovation is the satisfaction of human needs that have
not yet been met through existing approaches, and that is achieved through thetransformation of social relations6 and empowerment of people politically and socially(Moulaert, MacCallum, Mehmood, and Hamdouch, 2013). To achieve social innovation,
past social innovation theories have outlined the following two-step procedure: First,
social movements are necessary to raise awareness of certain needs and to satisfy them.
These social movements are triggered by particular individuals or groups called the“innovator(s)”, who raise awareness of social issues and gather support. Second, inorder for social movements to emerge and social innovation to diffuse, there is a need totransform social relations (Moulaert, MacCallum, Mehmood, and Hamdouch, 2013).
Throughout this procedure, the innovator plays a crucial role; thus, this actor (or actors)
can serve as the frontrunner for transition management – for rural regions, this may be
the in-migrants.

6 In this research, I will mainly refer to the transformation of social relations and empowerment ofpeople for rural development, especially in terms of neo-endogenous development.

30

3.4. The effect of local embeddedness on in-migration
In-migration is especially vital for smaller rural economies, because they tend
to depend more on external factors such as in-migration as opposed to larger rural
economies, which are also more popular (Amcoff and Westholm, 2007). However, it
may be more difficult for the less popular remote areas to attract in-migrants, unless theindividuals already have personal connections with the region such as family andfriends (Bijker and Haartsen, 2011). Even with personal connections, however,individuals may not be encouraged to return, as many may feel “outgrown” (Stockdale,
2006). Given this complex situation, smaller rural areas may have more difficulty
achieving a breakthrough in their status quo.
This complex situation in certain rural regions can be explained by the levelsof local embeddedness in a community. Local embeddedness is the situation where
economic and social actions are influenced by being and feeling part of a local
community (Bosworth and Atterton, 2012). For in-migrants, it is essential for them tobecome locally embedded so that they can establish their sense of belonging in thecommunity; they can also gain access to local resources and information, creating more
opportunities in the region for the individual (Bosworth and Atterton, 2012).
However, some communities may have such strong internal ties that they arein a state of over-embeddedness. Over-embeddedness is especially prevalent in the ruralcontext; it is when a tight community network restricts the flow of new ideas, leaving“non-embedded” individuals difficult to enter and reconstruct existing social structures31

(Andre, Abreu and Carmo, 2013; Bosworth and Atterton, 2012; Kalantaridis and Bika,
2006). This can be a significant constraint as it could stifle in-migration as well as
future local activities by the in-migrant, and may thus limit the region’s capacity tomake external linkages necessary for development (Yamashita, 2014; Kalantaridis andBika, 2006). It is important for these remote rural communities to avoid or overcome
over-embeddedness, so as to welcome more in-migrants and allow them to contribute to
the region.

3.5. Human capital and social capital for in-migrant entrepreneurship
Even after in-migration is achieved, simply having in-migrants in a region
does not necessarily lead to their entrepreneurship for the community. While
in-migrants are highlighted to have the human capital and entrepreneurship beneficial
for a rural region (Stockdale, 2006; Kalantaridis and Bika, 2006), these individuals needto utilize such human capital in a beneficial way for the community. Some in-migrants,
although self-employed, may not possess the entrepreneurship vital to a region’s
development. The underlying factor of commercial counter-urbanization is that there isan initial stock of potential entrepreneurs with necessary information, skills, and accessto capital in the region. However, just as Cecora (2000) states, “All entrepreneurs are
self-employed but not all self-employed persons are entrepreneurs” (p86), some may
simply be “unwilling” entrepreneurs who become self-employed only because they had
to gain income in some way – a form of “survival self-employment” (Cecora, 2000). It
has been criticized that unless the in-migrant entrepreneurs contribute to job creation, it
32may be difficult to expect a significant economic regeneration; remote areas would
benefit little if in-migrants only employ themselves, or perhaps even reside in an area
without implementing any business idea (Stockdale, 2006; Cecora, 2000). It becomes
crucial to encourage in-migrants to utilize their knowledge and skills – in other words,
their human capital – for the benefit of their host communities (Stockdale, 2006). What,then, are the necessary factors for this encouragement, especially in remote rural areas?
Past research has explained that the individual capacity of in-migrants, suchas their human capital and entrepreneurship, contributes to the region’s growth(Stockdale, 2006; Cecora, 2000; Coffey and Polese, 1984). Yet, these in-migrants
cannot be expected to drive the local economic generation alone, although they may
serve as the frontrunners to trigger social movement for transition. While individuals’
human capital is also important, it is the strong social and economic networks in acommunity that are essential for realizing the potential of economic development(Bosworth, 2006). Therefore, along with the individual actions of the in-migrants, it isjust as essential for the rural community to encourage in-migrant entrepreneurship in theregion. This can be implemented through the creation and fortification of social capital.
Social capital is an important element to consider when discussingcommercial counter-urbanization, and in-migration in general. Social capital is theability to secure resources by virtue of membership in social networks or other larger
social structures7 (Bankston, 2014; Davidsson and Honig, 2003; Portes and Landolt,

7

In this thesis, social capital will not address relations based on market-driven factors or hierarchy, butrather on social exchange (Honig and Davidsson, 2003).

33

2000). Social capital can be established and fortified through the process of becoming
local embedded; as mentioned before, if an individual is locally embedded, he or she
will have more access to resources and opportunities in the region. This process can beespecially crucial for commercial counter-urbanization, as it would allow more
in-migrants to reside in the rural areas and later become entrepreneurs that drive local
economic growth (Bosworth, 2010; Jack and Anderson, 2002).

3.6. The process for successful in-migrant entrepreneurship in a rural region
The process of becoming locally embedded, and thus creating and reinforcing
social capital in a community, is vital for in-migrants to become social entrepreneurs forthe region (Mitchell and Madden, 2014; Jack and Anderson, 2002). This process, which
eventually establishes commercial counter-urbanization, should be considered in two
main stages: the residential move and the start-up of a rural business (Figure 3-1;
Bosworth, 2010). Between these two stages is the build-up of local embeddedness for
successful entrepreneurship (Bosworth, 2010).

34

F igu re3- 1:

P roce ssofsucce ssf ulen tre p ren eur ial

in-m igratio n

f or

co mm erci al co unte r-urban iz atio nStage 1:
Residential move	
 Embedded
into local
community	 Stage 2:Start-up rural business	 The beginning of entrepreneurship as shown in the second stage can be
broken down into two smaller stages: discovery and exploitation (Davidsson and Honig,2003). While both human capital and social capital largely contribute to the initiation ofentrepreneurship, the ratio of their contribution depend on the specific stages. Twocharacteristics of social capital become important in the start-up of a business: bonding(exclusive social capital), which holds closely knit organizations together, and bridging(inclusive), a loosely knit network that yields exchange of resources like information(Davidsson and Honig, 2003; Putnam, 2000). The bonding social capital is especially
important in the discovery stage of entrepreneurship, where an individual seeks forpotential business opportunities. As the stage progresses to exploitation of suchopportunities after discovery, the bridging social capital becomes growingly important,as weak ties allow the individual to connect with specific knowledge that is necessary
but unknown to them. On the other hand, Davidsson and Honig (2003) have found that,while human capital can be helpful during the discovery stage of business opportunities,35

it does not necessarily differentiate successful and less successful entrepreneurial
processes in the following exploitation stage (Figure 3-2). This may contrast previous
findings, which state human capital is the primary source of innovation and growth of aregion (Stockdale, 2006; Aghion and Howitt, 1998). Instead, Davidsson and Honig(2003) point to social capital as a key factor in successful entrepreneurship. Building on
human capital by acquiring business education and skills through classes does not makesuccess more likely; rather, an individual could gain more from actively maintaining,
pursuing, and developing social relations (Davidsson and Honig, 2003).

F igu re 3-2: Stag es of n ascen t e ntrep re ne urshi p

Bonding social capital

Bridging social capital
Human capital

Discovery

Exploitation

Yet, as mentioned before, an individual must become locally embedded toacquire the social capital. There are two approaches to build this local embeddedness:the purposive approach and the passive approach (Bosworth and Atterton, 2012). For
some in-migrants, if they had migrated with the intention of starting a local business,they can take the purposive approach to intentionally become locally embedded for a36

successful business (Bosworth, 2010). On the other hand, if an in-migrant did not
originally intend to become an entrepreneur, they can take the passive approach andbecome locally embedded over time, receiving local and extra-local influences as they
gradually construct their business plan. In this way, not all in-migrants come with abusiness plan, although they may possess the potential to become an entrepreneur. It is
up to both the individual and their host community to allow entrepreneurship to develop
in the region. Thus, just like the neo-endogenous approach on development, bothinternal community efforts as well as external linkages created by in-migrants arenecessary.

3.7. Questions for successful in-migrant entrepreneurshipThe

previous

sectionshaveoutlinedthecurrent

discussions

on

neo-endogenous rural development, and the potential importance of in-migrant
entrepreneurs in forming the link between the local and extra-local. At the same time, it
was stated that, for successful in-migrant entrepreneurship in a rural region, we should
not focus just on the in-migrants’ capacity. The understanding of successful commercial
counter-urbanization must be two-fold: on one hand, the in-migrants must utilize their
human capital to exercise their entrepreneurship to its potential in the local community.
On the other hand, the host communities should be able to welcome in-migration andbuild on social capital to allow successful in-migrant entrepreneurs to develop, rather
than restrain them through over-embeddedness. It is with these two dimensions that
more successful in-migrant entrepreneurs would emerge, and we may see an expansion37

of commercial counter-urbanization as an actual phenomenon that advances
neo-endogenous growth in the more remote communities.
However, how can such successful in-migrant entrepreneurship, and thus therealization of commercial counter-urbanization into the more remote areas, beachieved? As less popular rural areas are bound by over-embeddedness and may lackresources to initiate such movements from within, what external policies can help
advance their neo-endogenous development with the in-migrant frontrunners?

4. Materials and Methods
Assuming that the neo-endogenous approach is necessary for the developmentof Japan’s rural regions, and that the in-migrant 8 entrepreneurs can serve as thefrontrunners for regional transition to sustainability, what efforts are necessary for the
future of Japan’s rural regions? In this thesis, the prospects of current policies set forth
by the Office for Overcoming Population Decline will be examined. To analyze if they
are sufficient for the development of the remote rural areas of Japan, two prefectures
have been chosen as case studies: Shimane prefecture and Tokushima prefecture. In
particular, Gotsu city in Shimane prefecture and Kamiyama town in Tokushima
prefecture will be focused.

For this research, I will include all in-migrants – not just the return migrants who
originated from the area, but also migrants whose hometowns are elsewhere and are new tothe area.

838

4.1. Shimane prefecture
Shimane prefecture is located in the Chugoku region9 of western Japan. The
prefecture can be divided into three regions: Izumo (east, with the prefectural capital),
Iwami (west), and Oki (islands off the coast of Shimane). Among the municipalities
within the prefecture, the Iwami and Oki regions are mostly designated as the “hilly andmountainous areas”, defined by the prefecture as “areas in need of development interms of industry, employment opportunities, health and welfare, and other social needs
that are difficult to obtain as opposed to other regions”10. These areas are known tosuffer from rapid depopulation, and are at the frontier of regional decline. Shimane
received even more attention when the Masuda report (2014a) revealed that within
Japan, Shimane ranks 3rd in the prefectures with the most municipalities suffering froma vanishing population: 84.2% of Shimane’s municipalities may face a rapid decline in
population that would lead to the unsustainability of its municipal unit (Masuda, 2014a).
Overall, Shimane is seen to be a prefecture suffering from great population decline,
surmounted by numerous other challenges such as its geographic characteristics.
Shimane’s population entered into natural decline from the early 1990s, when
the number of deaths surpassed the number of births in the prefecture (Figure 4-1). Twoyears later, Shimane declared that it would strengthen policies against further

9

Chugoku region includes Shimane, Tottori, Hiroshima, Okayama, and Yamaguchi
prefectures.
10 Translation by author, from the Shimane Prefecture website (in Japanese). Shimane
Prefectural Government (2013) Available at: http://www.pref.shimane.lg.jp/ (Accessed: May
11, 2015)

39

population decline by encouraging more in-migration 11. With investment from theprefecture, central government and private firms, Shimane prefecture established apublic interest incorporated foundation called “Furusato Shimane Teiju Zaidan(Hometown Shimane Settlement Foundation)” within the prefectural government toassist in-migration.

Figure 4-1: Population trends in Shimane prefecture from 1960 to 2010
16000

1000000
90000014000

80000070000010000

6000008000

5000004000006000

Total population

Number of people	
 

12000

Total
population
Births3000004000

2000002000

Deaths

100000001960 1965 1970 1975 1980 1985 1990 1995 2000 2005 2010

Source: “National population census”. Ministry of Internal Affairs and Communications

At the time of the foundation’s establishment, projects focused on providing
employment-related assistance, such as information sharing, career seminars forstudents, enhancing local firms’ labor environment, etc. In the years that followed, thefoundation expanded its services to include trial programs for working in primary

Furusato Shimane Teiju Zaidan (2014) Available at: http://www.teiju.or.jp/ (Accessed:
May 11, 2015)1140

industries, support for housing, and support for leading projects in community building
and revitalization. From 2004, the foundation began the “Job Cafe Shimane”, offering
consultation for youth employment in the prefecture. From 2005, the foundation alsobegan working together with the prefectural government to promote the “Shimane Rural
Tourism”, which is aimed at having individuals experience life in Shimane andinteraction with the local residents before deciding to migrate. Now, the foundation
conducts a wide range of support programs under three fields: 1. Promote employment
within Shimane, especially for youths, 2. Promote in-migration from outside theprefecture, 3. Promote the creation of a community rich in vitality and value. With thesethree dimensions, the foundation aims to increase the number of in-migrants that decideto permanently reside in Shimane prefecture.
In contrast to the Masuda report’s negative projections about the declining
population in most of Shimane’s municipalities, other reports show Shimane prefecture
to be a popular destination for those wishing to migrate. According to a survey by the
non-profit organization Furusato Kaiki Shien Center (Return to Hometown Support
Center), among the visitors to the organization’s office in Tokyo, Shimane prefecture
has been listed within the top 15 popular desired destinations for in-migration since2012 (Table 4-1). However, it must be noted that these survey results only accounts for
those who are considering in-migration, and not actual in-migrants. The challenge
therefore lies in encouraging those individuals to in-migrate, and to permanently settle
as well.

41

Table 4-1: Popular in-migration destinations from 2009 to 2014
Year

2009

2010

2011

2012

2013

2014

(N=788)(N=775)(N=406)(N=1017)(N=1642)(N=2885)

1

Fukushima

Fukushima

NaganoNaganoNaganoYamanashi

2

NaganoNaganoFukushima

Okayama

Yamanashi

Nagano

3

Chiba

Chiba

Chiba

Fukushima

OkayamaOkayama4

Ibaragi

Iwate

Ibaragi

KagawaFukushima

Fukushima

5

Yamanashi

Yamagata

Iwate

Chiba

Kumamoto

Niigata6

Hokkaido

Ibaragi

Oita

Shimane

Kochi

Kumamoto

7

Fukui

MiyagiToyamaOita

ToyamaShizuoka

8

Yamagata

Yamanashi

Kumamoto

Tottori

Gunma

Shimane9

Shizuoka

Shizuoka

Akita,

Miyazaki

KagawaToyama10

Akita

MiyazakiMiyazaki

Wakayama

Kagoshima

Kagawa11

Wakayama

Hokkaido

Niigata

Yamagata

Tochigi

Ishikawa

12

Tochigi

Akita,

Tochigi,

Kochi,

Niigata

Chiba

13

Gifu

Gifu,

Yamanashi,

Kagoshima

Yamaguchi

Gunma

14

Iwate

Oita

Tottori

Shiga

ShimaneAkita

15

Miyagi

Tochigi

Ishikawa,

Yamanashi

Oita

Yamaguchi

Okayama,Kagoshima
Source: Ranking of desired in-migration destinations, Furusato Kaiki Shien Center (2014)

It must also be noted that there are differences in actual in-migration levels
among the three regions (Izumo, Iwami, and Oki) within Shimane prefecture. As seen in
Figure 4-2, the Iwami region has an increasing number of in-migrants, as opposed to the
Izumo region, which shows a declining trend. This is ironic as the Izumo region consistsof more populated cities such as Matsue – location of the prefectural government – andIzumo – a popular tourist area for the famous Izumo shrine. On the other hand, the Oki

42islands have also experienced a great increase in in-migration since 201112. However,the data only accounts for the number of in-migrants recorded by the municipalities; thegraph does not give an accurate representation of the total number of in-migrants
including return migrants.

Figure 4-2: Total number of in-migrants to each region in Shimane prefecture from 2009-2013
350

300

Number of poeple	
 

250

200

Iwami
Izumo

150

Oki

100

50

0
2009

2010

2011

2012

2013

Source: Western Regional Center, Shimane prefectural government.

Aside from the population change, Shimane’s economic environment is also
alarming. The prefecture’s local production has been on a decline over the years (Figure4-3). In addition, the labor force has been continuously declining in number since 1995
(Figure 4-4). The primary and secondary industries have been shrinking as well, with
12

The Oki islands will not be discussed in this research as they have special characteristics
as smaller islands and population.

43

the growth of the tertiary industry. In particular, the primary industry now only
constitutes a small percentage of Shimane prefecture’s economy. The decline in thenumber of workers is alarming, especially given the declining total population as well,and thus could imply a continuously shrinking economy.

Figure 4-3: Total production in Shimane prefecture from 2001-2012

3,000,000

Total production (million yen)	
 2,500,000

2,000,000

1,500,000

1,000,000

500,000

0
2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

Source: Statistics Information of Shimane, Shimane prefectural government

44

Figure 4-4: Total number of workers in Shimane prefecture per industry during the years

100

4500009040000080

35000070

30000060
250000502000004015000030

10000020

Number of workers	
 Percentage of workers in each industry	 1990-2010

Tertiary
industry
SecondaryindustryPrimary
industry
Workers

50000

10
0

0
1990

1995

2000

2005

2010

Source: “National population census”. Ministry of Internal Affairs and Communications

4.1.1. Gotsu city
Gotsu is a small city with an area of 268.51km2 and a population of around24,800 people. Gotsu has been suffering from gradual population decline over the
decades (Figure 4-5).

45

Figure 4-5: Comparison of total population in Shimane prefecture and Gotsu city, 1995-2010
90000035,00080000030,00025,00060000020,00050000040000015,000300000Population in Gotsu city	 Population in Shimane prefecture	
 70000010,000200000

Shimaneprefecture
5,000

1000000

Gotsu city

0
1995

2000

2005

2010

Source: “National population census”. Ministry of Internal Affairs and Communications

The business environment in Gotsu also does not convey a positive message.
The local production of Gotsu city declined between the years 2004 to 2008, but has
been gradually increasing again onwards (Figure 4-6). However, overall, it seems thatthe total production is slowly declining.

46

Figure 4-6: Total production in Gotsu city from 2001-2011
100,000

Total production (million yen)	
 90,00080,00070,00060,00050,00040,00030,00020,00010,000
0
2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

Source: Statistics Information of Shimane, Shimane prefectural government

Gotsu city constitutes of a balance between privately managed and corporate
firms, at 46% and 48% of all businesses each (Figure 4-7). Over the years, however, theoverall number of businesses within Gotsu city has slowly diminished, along with thenumber of workers (Figure 4-8). In addition, although new businesses emerged during
the years 2004 to 2006, the ratio of new businesses to current businesses dropped
significantly in the years that followed, indicating a fall in entrepreneurship (Figure 4-9).
Fewer businesses imply less job opportunities, which could possibly leave a detrimental
effect on the already declining population and in-migration levels.

47

Figure 4-7: Ratio of business types in Gotsu city (2011)
Private (sole proprietorship)

Private (Corporate)

Public

6%

46%
48%

Source: “Economic census”. Ministry of Internal Affairs and Communications

Figure 4-8: Number of workers and businesses in Gotsu city, 2001-2012
12000

10764
9824

9706

10000

8854

8000
Workers

6000

Businesses
4000

2000

1618

1414

1353

1295

0
2001

2006

2009

2012

Source: “Economic census” and “Establishment and Enterprise Census”,
Ministry of Internal Affairs and Communications

48

Figure 4-9: Average ratio of new businesses to present businesses per year in Gotsu city from2001-2012

Ratio of new businesses to present
businesses per year	
 

0.035
0.03
0.025
0.02
0.015
0.01
0.005
0
2001-2004

2004-2006

2006-20092009-2012

Source: Statistics Information of Shimane, Shimane prefectural government

4.2. Tokushima prefecture
Tokushima prefecture is located in the Shikoku region13 of Japan. It consistsof three different regions: the Naruto region, southern region, and western region. The
Naruto region is where the prefectural government is located and manages; the othertwo regions are managed by each respective regional center. Given its smaller
population as opposed to other regions in Japan, its population trends are not as drastic
as that of Shimane prefecture; Tokushima has experienced a mild growth in population
between 1970 and 1985 (Figure 4-10). However, like Shimane prefecture, Tokushima
has also experienced natural population decline since the number of deaths surpassed
the number of births at around the year 1995.

13

Shikoku region consists of Tokushima, Kagawa, Kochi, and Ehime prefectures.

49

Figure 4-10: Population trends in Tokushima prefecture from 1960-2010
14000

90000080000012000

7000006000008000

5000006000

400000300000Total population	
 Number of people	
 

10000
Total
population
Births4000
2000002000

Deaths

100000001960 1965 1970 1975 1980 1985 1990 1995 2000 2005 2010

Source: “National population census”. Ministry of Internal Affairs and Communications

While Tokushima prefecture also faces population decline, it has anothercharacteristic: there is a high percentage of marginal villages, or “genkai shu-raku” inJapanese, at 35.5% as opposed to the regional average in Shikoku of 24.3% and thenational average of 15.5% 14 . These marginal villages are categorized as “genkai
shu-raku” when they are attributed with the following characteristics: the majority ofthe people living in the community is over the age of 65 (Tokushima prefectural
government, 2012). Given the aged population, it becomes harder for thesecommunities to function, as there are not enough people to maintain the functions of acommunity such as local governance, taking care of empty lands, and hosting
14

Definition taken from Tokushima prefectural government (2012) Tokushima Shuraku Saisei
Project (Tokushima Village Revival Project).

50

ceremonial occasions.
To combat this issue, the prefecture has set forth the “Tokushima Village
Revival Project (Tokushima Shu-raku Saisei Project)” from 2012. In collaboration withprivate businesses and non-profit organizations, the prefecture aims to achieve safety
and security, the utilization of local residences, acquisition of human resources and theircultivation, and promotion of the region. Even with this policy, the prefecture is keen on
calling in in-migrants that can lead the region towards revitalization (Tokushima
prefectural government, 2012). The following are some of the policies outlined in thereport by Tokushima prefecture:•

Attract human resources with the capacity to contribute and promote•

Enhance support system for in-migrants at both prefecture andmunicipality level•

Advance implementation of regional revitalization volunteers•

Cultivate human resources with patents through support by local firms
and experts

Through these ways, the prefecture aims to obtain more individuals that can advanceinteraction between the villages and extra-local communities.
As for the prefecture’s local economy, the total production is experiencing aslow, but steady decline, especially from the year 2004 (Figure 4-11). As shown in
Figure 4-12, the number of workers has also been declining from the year 1995. This51

may be due to the decrease in youths and a high population of the elderly, as it will be
explained in the next paragraph. Furthermore, over the decades, there is a significant
growth of the tertiary industry, as opposed to a shrinking primary industry (Figure 4-12).
This shows that in Tokushima prefecture, the service industry is growing as the mainindustry that supports the local economy.

Figure 4-11: Total production in Tokushima prefecture, 2001-2012

3,500,000

Total production (million yen)	
 3,000,000

2,500,000

2,000,000

1,500,000

1,000,000

500,000

0
2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

Source: Calculation of local economy, Tokushima prefectural government

52

Figure 4-12: Total number of workers in Tokushima prefecture per industry during the years

100%

45000090%40000080%

35000070%

30000060%
25000050%20000040%15000030%

10000020%

Number of workers	
 Percentage of workers in each industry	 1970-2010

Tertiary
industry
SecondaryindustryPrimary
industry
Workers

50000

10%
0%

0
1970

1975 1980

1985 1990

1995 2000

2005 2010

Source: “National population census”. Ministry of Internal Affairs and Communications

Despite the challenges, Tokushima also has a particular strength unlike otherprefectures. It has widespread access to information and communication technology(ICT), and is the prefecture with the most households possessing cable television
service15. This policy, formerly called the “e-Tokushima promotion plan” (2004), has
now developed into the “ICT Tokushima Creation Strategy” (2014-2018), focusing on
utilizing ICT as a tool to solve various local social problems. The availability of ICT isa strength that the prefecture has achieved through support from government funds.

15

As of March 2014. From Tokushima prefectural government.

53

4.2.1. Kamiyama town
Kamiyama is a small town in the Naruto region of Tokushima prefecture. It is
about an hour away from central Tokushima city by bus, and is composed of several
settlements in between the mountains. Kamiyama town has also suffered from
population decline, with many youths leaving the town for education from high schoolor college. Its population decline is significant when compared to the mild population
change in Tokushima prefecture as a whole (Figure 4-13).

Figure 4-13: Comparison of total population in Tokushima prefecture and Kamiyama town,
1960-2010
900000

25000

20000

70000060000015000
500000400000
10000
300000200000Population in Kamiyama town	 Population in Tokushima prefecture	
 800000Tokushima
Kamiyama

5000

100000001960 1965 1970 1975 1980 1985 1990 1995 2000 2005 2010

Source: “National population census”. Ministry of Internal Affairs and Communications

54

Contrary to in-migration efforts, the economic environment in Kamiyama
town seems to be at a decline. For Kamiyama, the local production is declining
continuously (Figure 4-14). In addition, just as data for Tokushima prefecture showed adecline in the number of workers in recent years, the same could be said of Kamiyama
town; both the number of businesses and workers have declined between the years 2001
and 2012 (Figure 4-15). With regards to the labor population, we see a great increase in
the number of workers in the tertiary industry (Figure 4-16). On the other hand, there isjust a slight decrease from 2005 levels for both primary and secondary industries, notingthat both of these industries still remain strong contributors to Kamiyama town’s
economy. Furthermore, it is important to note that the majority is under private
management at 56%, whereas private corporations are at 38% (Figure 4-17). The dataon new businesses in Kamiyama town was only available for the year 201216; its ratioof new businesses to present businesses was at 0.67% (Ministry of Internal Affairs andCommunication, 2012).

16

The town officials also did not have record of business start-ups before 2012.

55

Figure 4-14: Total production in Kamiyama town from 2003-2012
14,000Total production (million yen)	
 12,00010,000
8,000
6,000
4,000
2,000
0
2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

Source: Economic results for Tokushima municipalities, Tokushima prefectural government

Figure 4-15: Number of workers and businesses in Kamiyama town, 2001-2012
2500

2359
2113
1879

2000

1580
1500
Workers
Businesses

1000
537
500

446

428

350

0
2001

2006

2009

2012

Source: “Economic census” and “Establishment and Enterprise Census”,
Ministry of Internal Affairs and Communications

56

Figure 4-16: Ratio of workers per industry in Kamiyama town, 2005-2010

Ratio of workforce in industry(%)	
 

45
40
35
30
25
2005

20

2010

15
10
5
0
Primary industry

Secondary industry

Tertiary industry

Type of industry	 Source: “National population census”. Ministry of Internal Affairs and Communications

Figure 4-17: Ratio of business types in Kamiyama town, year 2011

Private (sole proprietorship)

Private (Corporate)

Public

6%

38%
56%

Source: “Economic census”, Ministry of Internal Affairs and Communications57

4.3. Data collection and fieldwork
To assess the current situation of in-migration into these regions, I haveanalyzed data on the in-migration trends for each of the selected communities. In
addition, I have conducted interviews with municipal employees involved in regional
revitalization and in-migration policies, and actual in-migrants who have also become
entrepreneurs. As not all data on in-migrants have been collected by municipalities, thein-migrants chosen for this thesis were introduced by the municipal employees. I haverequested to interview in-migrant with the following characteristics:

1. They are either return migrants or in-migrants who originatedelsewhere;
2. They have started their own business at the region after migrating;
3. They have migrated and begun their business between their 20s - 40s;
4. They are considered to be key individuals in the community.

The fieldwork took place over a course of five days, with three days being spent in
Shimane prefecture and two days in Tokushima. Municipal employees were interviewed
on the details of their policies, the effect of the policies along with the current situationof in-migration to the prefecture, and what in-migrants they perceive as necessary in theregion (Appendix A). In-migrants were questioned on their thought process behind theirdecisions on migration as well as starting their business, to analyze what elements
became determining factors of their decisions (Appendix B). I conducted an in-depth
58interview with each migrant that was selected by the municipal employees as key
individuals in the region. In this thesis, the migration decision-making process will not
be regarded as a response to a particular circumstance, but as a complex
decision-making process that depends on the transitions an individual goes through overthe course of their lifetime. This approach, called the “biographical approach”, is also
used by Stockdale (2002) and focuses on life-course migration. This understanding of
migration can be defined as having the following three traits (Stockdale, 2002; Boyleand Halfacree, 1998). First, migration is part of a long-term biography formation;
second, migration involves complex decision-making; and third, decision-making needs
to be related to societal norms, which yield distinct migration cultures that reproduce
migration. For this research, as I will be targeting particular in-migrants considered to
be key individuals in the region, I have focused on interviewing each individual
personally to examine both their transitional process towards in-migration as well as
towards their activities in the community.

5. Results
5.1. In-migration population trends in Gotsu city
The previous chapter showed both a declining local economy and total
population in Gotsu city. To analyze the details behind the continuous population
decline, levels of net in-migration were examined (Figure 5-1). Over the years, there has
been a continuous out-migration over in-migration, which could also be a factor
affecting the population decline. From 2008, there has been a decline in excessive59

out-migration. While social population decline is not as large as it used to be, Figure 5-2
shows that the numbers of in- and out-migrants in general have been decreasing as well,over a longer period of time. Thus, the improvement in net in-migration levels is notdue to any increase in in-migration or decrease in out-migration, but simply due tofewer migrants in general.

Figure 5-1: Net in-migration in Gotsu city, 2003-2011

0
2003

2004

2005

2006

2007

2008

2009

2010

2011

Net in-migration (population)	
 

▲ 50

▲ 100

▲ 150

▲ 200

▲ 250

▲ 300

Source: “National population census”. Ministry of Internal Affairs and Communications

60

Figure 5-2: Total in- and out-migration levels in Gotsu city, 1993-2011

1,600
1,400

Number of people	
 

1,200
1,000
800
600

Total inmigration

400

Total outmigration

2000Source: “National population census”. Ministry of Internal Affairs and Communications

Next, levels of in-migration from other prefectures, excluding the in-migrants
from other municipals within Shimane prefecture, were observed (Figure 5-3). The
result was similar to that of total in-migration levels; there is a decline up till 2008, but
in the years that follow, the numbers seem to be stagnant. It could also be noted that the
decline of in-migration has come to a halt since 2008, compared with the declining
trend leading up to that year.

61

Figure 5-3: In-migration from other prefectures into Gotsu city, 2003-2011
800
700

Total in-migrants	
 

600
500
400
300
200
100
0
2003

2004

2005

2006

2007

2008

2009

2010

2011

Source: “National population census”. Ministry of Internal Affairs and Communications

As seen in Chapter 4, the number of businesses and workers in Gotsu city also
seem to be at a continuous decline, implying fewer jobs for local residents. The
previous chapter has shown that total population also remains at a decline; despite lessout-migration in recent years, in-migration does not seem to increase. As a result, it
seems that Gotsu city suffers a generally declining population, leaving grim prospects
for the city at the statistical level.

5.2. Shimane prefectural government’s policies
For the Shimane prefectural government, there are five steps for promoting
in-migration:

62

1.

Promotion and information sharing

2.

Consultation and invitation

3.

Experience and interaction in Shimane

4.

Acceptance of in-migration

5.

Follow-up

The staff explained that, at stage 1, it is crucial to “loosely surround” potential
in-migrants, and have them study about Shimane and also envision what they wish to doafter moving into the region. While Shimane targets a wide variety of people forin-migration, the process of recruiting in-migrants is carried out carefully.
To reach this approach towards in-migration, however, it took Shimane
prefecture 20 years – since the beginning of its in-migration policies. This was because
it took a long time for the municipalities and its communities to recognize the necessityof in-migrants for the region.

“What often happens is, some local residents would complain, ‘Why do weneed to spend money to outsiders? Shouldn’t the local government dosomething about my house first of all?’ This was especially common 10
years ago. But now, the municipalities are clearly aware of the population
decline and its consequences. Attracting new in-migrants means the local
residents and municipalities are prepared to ‘welcome outsiders’.”63The staff emphasized that it is crucial for in-migrants to be embedded in thecommunity, especially because not all communities are welcoming towards outsiders.
To allow the embedding of in-migrants, Shimane places emphasis on having theindividuals obtain a local job. The staff described that many in-migrants come becauseof the availability of jobs; if there are no jobs available for them in the first place, they
do not move in. Thus, some individuals utilize short-term trial programs to experience
life in Shimane before actually moving in and searching for jobs.
Among the municipalities attracting more in-migrants, Gotsu city was raised
as a particularly interesting case. Despite the grim prospects for Gotsu city, the staff at
Furusato Shimane Teiju Zaidan (Hometown Shimane Settlement Foundation) insisted
that Gotsu city is interesting in terms of in-migration for the following reason:“The reason why we say Gotsu is exciting is because it has been attracting
individuals that have a strong impact. These people attract other people
into the community. [...] If you look at the statistical data, it may not soundconvincing. But just because there is a decline in population does not mean
the community is losing its vitality. If a community has passionate
individuals of ‘high quality’, then the community can be sustained.”

The staff raised Gotsu as a model for in-migration, due to its success in attracting suchpassionate individuals.

64

“As part of our in-migration policies, we try to bring passionate
individuals to the community, and let that passion spread to the locals. [...]
These individuals raise the temperature of the community – this is what we
think is the key to bringing in people who contribute to community
building.”

While some local residents may only be focused on improving their own life,
individuals from outside can influence the community with their passion for the region.
From 2010, Gotsu city started the “Go-Con (Gotsu Business Plan Contest)”,and from the following year, the city established a non-profit organization called“Tegonet Iwami” to be in charge of the contest’s operation. “Go-Con” aims to attractand discover individuals who wish to become entrepreneurs in the social businesssector17. It accepts applications from individuals who wish to migrate into the region or
also to start their own business utilizing local resources. The winner of the contest canreceive funding for their initial cost in starting their business, and can also accesssupport by the local network including the chamber of commerce, junior chamber, local
banks and the city office. Despite the negative trends shown in data, Shimane prefecture
looks to Gotsu city for further positive results in in-migration.

5.3. In-migration population trends in Kamiyama town
The previous chapter showed a declining total population trend for Kamiyama
17

NPO Tegonet Iwami (2011) Available at: http://tegonet.net/ (Accessed May 8, 2015)65

town. When examining the net in-migration levels, however, an entirely different trend
can be seen. As shown in Figure 5-4, the data presents a contrasting trend to that of
Gotsu city: there is a diminishing level of social decrease in population up till 2011. It iseven remarkable that the decline in excessive out-migration results in the increasing
trend of in-migration levels (Figure 5-4). Although the social decrease becomes larger
again in 2012, the apparent decline in excessive out-migration is worthy of attention,
especially given the declining local economy as well. Furthermore, there is a narrowing
gap between out-migration and in-migration, with the town experiencing its first socialincrease in the year 2011 (Figure 5-5).

Figure 5-4: Net in-migration in Kamiyama town, 2006-2012

0
2006

2007

2008

2009

2010

2011

2012

Net in-migration	
 

-50

-100

-150

-200

-250

-300

Source: “National population census”. Ministry of Internal Affairs and Communications

66

Figure 5-5: Total in-migration and out-migration in Kamiyama town, 1989-2013
400
350

Number of people	
 

300
250
200

Inmigration

150
Outmigration

100
50

1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013

0

Source: Kamiyama town office

While the total number of in-migrants is increasing, when compared with thenumber of in-migrants from other prefectures, such a trend is not clearly visible (Figure5-6). Yet, if we consider the previously shown Figure 5-5 on in and out-migration, thedecline in in-migration seems to slow down, and is gradually improving from 2007.

67

Figure 5-6: In-migration from other prefectures into Kamiyama town, 2006-2012
90
80

Total in-migrants	
 

70
60
50
40
30
20
10
0
2006

2007

2008

2009

2010

2011

2012

Source: “National population census”. Ministry of Internal Affairs and Communications

5.4. Tokushima prefectural government’s policies
The Tokushima prefectural government does not specify ideal in-migrants,
but given the high percentage of marginal and ageing communities, the youth areespecially desired. While the prefectural government leaves the approaches up to eachmunicipality, there is collaboration among the prefecture, municipalities andin-migrants for follow-up after moving into Tokushima.

“We hold interactive sessions between the in-migrants, and seek theiropinion on challenges and ideas to invite more in-migrants. We think this isnecessary and important for the in-migrants.”

68Some individuals, while migrating to Tokushima, do not remain in theprefecture for a long time. These in-migrants tend to be those who did not have a vivid,
specific image of living in Tokushima from the start.

“There are some people who come with only a broad image such as ‘thecountryside is better for living’ ‘I’m tired of the city life’, etc. But for theindividuals with such a fluffy image, in-migration becomes a difficulttransition. These individuals especially have a hard time right after
arriving, when they look for jobs or gather the initial capital for farming.”

There are many private actors who actively offer help to in-migrants formaking their residential move go smoothly. For example, the upturn in in-migrationlevels in Kamiyama town could be linked to the activities of a particular organization.
In-migration support has especially been given not by the town office, but by anon-profit organization called Green Valley. The non-profit had originally beenplanning an art project, “Kamiyama Artist In Residence” since 1999, where they invitedartists from other countries to display their artworks in the town. In 2007, Green Valley
was asked by the government to manage Kamiyama’s in-migration support center,
unlike the centers in other municipalities that were run by the respective city and towns.
Green Valley has since then been offering residence information while, on the other
hand, recruiting in-migrants by actually naming individuals, or specifying types of69

in-migrants they wish to have in the town.18
Green Valley has three projects for calling individuals into the community: 1.
Satellite offices, 2. Work in Residence, 3. Kamiyama-juku. For the first project onsatellite offices, Green Valley promotes the well-established ICT infrastructure in theprefecture to attract firms from other cities. Up till August 2014, 22 firms have entered
the town, with even 46 jobs being created for the locals (Iizumi, 2014). By this project,
Kamiyama town has been developing a new type of working style in the rural areas:
telework, a flexible working style that utilizes IT and is not bound to time or location19.
The ICT environment in Tokushima prefecture has allowed Kamiyama town to use thisstrength to offer a new work style and attract firms from cities to the town.
The second project is an extension of the past “Kamiyama Artist in
Residence”. In this project, Green Valley recruits in-migrants by specifying certain
entrepreneurial in-migrants for each vacant housing they offer. This is possible because
the actor in charge is a private actor (non-profit organization) instead of a public actor,
which would not be able to specify in-migration recruitment to particular job titles.
The third project, “Kamiyama-juku”, is a six month training program for
employment seekers. The participants, who are job seekers, spend the six months
thinking about their career while engaging in community activities. Interaction isfrequent among the program students; they stay at a local resident’s house in groups,
and local residents also hold weekly dinner parties for the trainees. Beginning in
18

For example, if the community wishes a bakery, Green Valley would offer a vacant house only forin-migrants that could open a bakery in town.
19 Definition by the Japan Telework Association. (Akio, 2008)70

December 2010, it has already welcomed 77 individuals over the six terms. Of theparticipants, about 50% have in-migrated, showing effect in attracting individuals over
the years through the program (Table 5-1; Ominami, 2014).

Table 5-1: Number of participants and those who in-migrated afterwards in Kamiyama-juku

TermParticipantsParticipants who stayed in Kamiyama

1

8

4

2

15

6

3

20

6

4

11

6

5

9

3

6

14

7
Source: NPO Green Valley

Not only are there Kamiyama town and the non-profit Green Valley, but there
are also other examples within the prefecture such as Irodori Company in Kamikatsu
town, and the presence of a “welcome coordinator” in Minami town. The local
government also cooperates with new projects by providing funds annually. Throughthese local initiatives, many communities are making efforts to yield more people into
their regions.

“In these ways, we think there is a growing number of activities that ‘call71

people in’, creating a good flow of people. Each of the communities are
establishing a structure that calls people into the region.”

When asked if the advanced ICT environment makes Tokushima moreadvantageous than other prefectures for attracting in-migrants, the staff disagreed.

“ICT is just a tool for individuals to start their activity, not a reason for
their in-migration. It only makes things convenient. [...] Our ICT
environment only became successful because of the people at the core. [...]The people in Tokushima made success possible. There was an individual
at the core, and others gathered around him/her, keen on working together
with that person. We need to always think of people at the core of things.”

Such a model that “creates a flow of people into the community” issignificantly represented by Kamiyama town’s Green Valley, and could be a reason
why Kamiyama is one of the most popular destinations for in-migration in Tokushima
prefecture. However, even Green Valley took 20 years to reach its current success,showing that it is a long-term process that is still ongoing.

5.5. Actual in-migrants: process to in-migration
Six in-migrants – four in Shimane and two in Tokushima – were interviewed
for the fieldwork (Table 5-2). Three were in-migrants to Gotsu (of which 1 now lives in72

Hamada city, neighboring city). Two were in-migrants residing in Kamiyama town,
Tokushima prefecture. The remaining individual was an in-migrant to a small town in
Shimane prefecture, formerly called Yunotsu (but has now been integrated into Oda city
next to Gotsu city20). His case was used for comparison between communities withdifferent levels of embeddedness.

Table 5-2: Interview results for in-migrants on their in-migration
Interviewee
Destinationofin-migration
Age ofout-migration
Reason forout-migration
Attachment
to hometown
Age ofin-migration
Reason for
in-migration
Type ofin-migrant

A

B

C
Gotsu

Gotsu,

Gotsu,(Now

ShimaneShimaneHamada),Shimane

15

18

18

Work,

EducationD
Yunotsu(Oda),
Shimane18

E

F

Kamiyama,

Kamiyama,

Tokushima

Tokushima

15

20s

Education

Work

Education,

EducationPeer pressureEntertainment

StrongStrong

Weak

Weak

Weak

Weak

Early 40s

Early 30s

Early 30s

Late 20s

Late 20s

Late 30s

FamilyFamilybusinessbusiness

Childcare

Presence ofcommunity

Renewedinterest in
hometown

Voluntary return

Involuntary return

Tohokuearthquake
2011
Voluntarynew

The integration took place in 2005; however, the community of Yunotsu still exists. In
2005, the final recorded population of Yunotsu town was around 3900 people.

20

73

All interviewees had out-migrated during their late teens to early 20s for education orwork. Yet, they had different reasons for their in-migration. There were three types of
in-migrants among those interviewed: the voluntary return migrants, the involuntary
return migrants, and the voluntary new migrants. This typology categorizes individuals
depending on their process leading up to their decision to migrate into the particular
rural region.
First, the voluntary return migrants are those who willingly returned to theirhometown. One individual, who now owns a cafe at Gotsu city, had the desire to returnfrom when he resided in Nagano prefecture with his wife. He had a clear vision ofraising his child in the same environment he had been raised in.

“I couldn’t imagine raising my child in the city. When I think back to how I
was raised by my parents in the countryside, it’s easier for me tovisualize.”

The man held such a positive impression of his hometown due to his enjoyablechildhood spent there.

“I think it was because I had such fun memories of my childhood that I had
come back to Gotsu as a result. If you wanted to play video games, you
could do that anywhere, probably even more in the cities. Instead, I was
riding horses along the beach. You can only experience this kind of fun in74the countryside. These experiences stay in your heart. So, even if you do goout to the city, you eventually start wanting to come back. And you do.”Another interviewee, founder of a design office and who had also willingly returned tohis hometown in Gotsu city, shared similar thoughts on the motive to return.

“If you’ve spent your childhood with good friends and a good homeenvironment, you hold a positive image of your life at your hometown. Then,
you keep the option of returning. For some reason, you hold a broad idea
of wanting to go back at some point in your life. It’s just that those who
haven’t yet have just not been able to.”For these voluntary return migrants, their pleasant childhood memories were afundamental cause that prompted their return to their hometown.
Others did not originally have positive images towards their hometown. One
interviewee left his hometown in Hamada city of Shimane prefecture to go to auniversity in Tokyo. At the time, he had not planned to return to Shimane at all.

“When I was leaving for Tokyo, I didn’t think I would return at all. I simply
had no interest. I didn’t know anything about my hometown back then.”Yet, during his job in Tokyo as a secretary to a diet member, he had the opportunity to75interact with local residents of the electoral district. There, he realized the values andchallenges that he had overlooked in communities. This became a turning point for theindividual to rethink about his hometown and of the possibilities that lie in thecommunity. In this way, even if an individual does not have positive feelings toward hisor her hometown initially, personal experiences while being away from home could
allow the individual to revisit the hometown with an entirely new perspective. This
could thus allow voluntary return migration to occur.
Those who inevitably had to return regardless of their situation are the“involuntary return migrants”. In the cases of two interviewees, neither had a special
feeling of attachment to their hometown. One man disliked his hometown due to lack ofentertainment in the area, and thus willingly out-migrated when entering higher
education.

“Up until high school, I wanted to abandon my home in the countrysideand go out. There was nothing at Yunotsu town. I wanted to go to thefamous disco parties in Kyoto.”

For the other, he wished to leave his hometown in Kamiyama, but not because hedisliked the town. His decision to out-migrate was determined partly because he wishedto see what was outside of his small hometown, but it was also prompted by his
determined future that he would eventually return to inherit his family’s business.

76

“I was born in a family of four siblings, and I was the only boy. Because ofthat, I was constantly told from the people around me, ‘You’re going tocome back, right?’ That notion was rubbed into me. It was a given. So, I
thought, if I am going to eventually come back anyway, I’d might as well go
and see the world. I have always been interested in foreign countries fromwhen I was little. [...] I also wanted to go to Tokyo at least once. I simply
wanted to see what was outside. I’d eventually come back, anyway.”

Both individuals eventually returned, but not upon personal will. It was agiven that they would return for their family’s business, and therefore both individuals
knew from before that they would return sooner or later. One man described his feelingsat the time of return migration as the following:“I thought I had to return. There was no one to take over the business. I feltthat I had no other choice but to return.”

A significant component that may have allowed the two individuals to
become leading social entrepreneurs in the area is that they did not resist the return.
Although their return was determined from the beginning, they were not reluctant
towards the idea. This absence of negative feelings with regards to returning may havemade it easier for these individuals to pursue activities for their hometown later on.
In contrast, for other individuals that do not have such concrete reasons to77

return, encouraging return migration depends on their personal experiences, just as how
the voluntary return migrants were able to return due to their positive childhood
memories, and how one reconsidered returning to his hometown due to his discoveries
while living outside. For these individuals, however, it is a natural decision for them to
make, because they are originally from that area. In the case of individuals who havehometowns elsewhere, they have little connection with the region of destination. Suchindividuals can be perceived as the third type of in-migrants: the voluntary new migrant.
These are individuals who, while having a separate hometown, still decide to migrate
into the region for other reasons. The voluntary new migrant, like some of the otherin-migrants, also wished to leave her hometown in Osaka to see the outside world.

“I’ve always wanted to leave my hometown and see what’s out there. I feltthat the world here in this city was too small and narrow.”

After leaving for France, and Tokyo in her years after university, she moved to
Kamiyama town in 2012. Coupled with her yearning of becoming independent, theindividual was encouraged to move when the Great East Japan earthquake and tsunami
occurred on March 11, 2011.

“March 11 changed the way I saw our lives. I was in Tokyo at the time,working. I realized how dependent we were to things. The disaster showed
how we were too dependent on nuclear energy, especially in Tokyo. That78

made us all very vulnerable. I wanted to lead a more self-sustainable life.”

In this way, similar to the previously mentioned voluntary return migrant, an external
event triggered the individual to change her mind.
On top of that were her ties with Kamiyama town through her university
friend, which allowed her to leave Tokyo and come to Kamiyama, to better pursue her
ideal lifestyle. The individual first found out about Kamiyama town from her
acquaintance from university, who had also migrated to Kamiyama. Thus, while nothaving any inherent ties to the region, personal connections with an individual living in
the town allowed her to gain the opportunity to visit. In this way, voluntary new
migrants need not just a personal experience but also the social connection to thecommunity in order to decide on in-migration.
From these observations, we can see what factors especially played a role incausing the individuals to in-migrate (Table 5-3). Among those interviewed, those withpositive childhood memories in their hometown were more likely to eventually return(the first and second voluntary return migrants). Even if they did not necessarily hold apositive impression of their hometown, if they experience a turning point in their years
away from home that allows them to reconnect with their hometown, this could also
lead them to return (the third voluntary return migrant). The significance of experience
was the same for the voluntary new in-migrant; however, in her case, it was importantto have personal connections with the particular region, such as with her friend fromuniversity who also lived in the town. As for the two involuntary return migrants, since79their in-migration was not under their own control, their return was determined from the
beginning regardless of the individual.

Table 5-3: Typology of social innovator in-migration* The cells marked in bold show the key factor that directly led to the in-migration to the rural region.

5.6. Actual in-migrants: process to entrepreneurship
While the previous paragraphs explain the process behind in-migration, aseparate explanation is needed for the process of these in-migrants towards theirentrepreneurship or activity that defines them as the social innovator for the region.
Each in-migrant had different motives for starting their business or activity in the region.
As shown in

80

Table 5-4, four of the six interviewees, all voluntary in-migrants, relied on an existingorganization or program to start their business, such as the “Go-Con” and requests by
Green Valley in Kamiyama town. For the other two, the involuntary return migrants,
they already had a job to begin with – their family business. The involuntary return
migrant to Kamiyama town gradually established his activities after getting together
with other individuals on smaller community projects. The other in Shimane prefecture
decided to open a cafe alongside the business, but did all on his own, due to lack ofsupport from his family and other influential actors in town. He gave the small
community as a key reason behind this difficulty.

“I had no one to consult but myself. All the people in the hotel association,
tourism association, even the town mayor joined forces against me. The
hotels were worried I would take away their profit. In a small town likeYunotsu, even if you are a return migrant, if it’s a tight community, people
tend to be hesitant towards new initiatives.”

Among the six interviewees, three were cafe owners. While residing indifferent communities and varying in in-migration type (voluntary return, involuntary
return, and voluntary new), they all shared similar reasons for starting a cafe: theywanted to create or strengthen the community and believed that such a space was anecessary function.

81

“After coming back, when I went to the community center, I felt like I didn’t
have a place there. I realized it is no longer the generation to gather atcommunity centers. [...] There was no place for people to just gather andrelax. Without a place, there is no way people can gather.” (Voluntary
return in-migrant)“At a small town like this, we didn’t even have a place where we could
meet and exchange information. In the past, it was normal to gather atcommunity centers for meetings. But we can also have meetings while
having a cup of coffee, right? [...] Just like having post offices & hairsalons, cafes are an important community function.” (Involuntary returnin-migrant)“Throughout my life, I had always been supported by many people. Before,
I was working in the IT sector so I couldn’t see whom I was helping
through my business. This time, I want to connect with people directly, andI want this cafe to become where everyone can casually gather and have agood time.” (Voluntary new in-migrant)82

Table 5-4: Interview results for in-migrants on their entrepreneurship
Interviewee
Destinationofin-migration
Type ofA

Start-up year

Previous job

C
Gotsu

Gotsu,

Gotsu,(Now

ShimaneShimaneHamada),ShimaneCafebusiness

B

2011

Chef

DesignPromotion,

officePlanning

2012

2012

Renovation,

Secretary tohousing,

Diet member,freelanceNGOcreation

local needs

Reason for

Desire tostartupconnect

as a local
producers and

firm

E

F

Kamiyama,

Kamiyama,

Tokushima

Tokushima

Cafe

NPO

Cafe

2005

Late 1990s

2013

Car dealer

Construction

IT

Desire to

Desire toestablish aconnect

natural flow

with andofsupportin-migration

community

PlannedUnplanned

Unplanned

None

None

NPO

High school

PTA

University

friendmembers

friendYunotsu(Oda),
ShimaneUtilize own

Community

AnswerD

Promoteskills, create

values ofa function

Shimanenecessary

prefecture

for thecommunity

consumers
Planned or

Unplanned

PlannedPlanned

Received

Business

Business

Business

external support

contestcontestcontestSisterN/A

unplanned
entrepreneurshipKey
individual

Friend from
community
activity

Whether the in-migrant utilized an existing platform or started activities on
their own, for most individuals, their entrepreneurship was often triggered by others intheir community. For example, those who used a platform like the “Go-Con” business83

plan contest were introduced to the opportunity by another friend. Some were also
inspired to take action for their community due to others who were also contributing
socially.

“Every time I came back to Gotsu, I noticed the good atmosphere createdby newcomers in the city. Though my capacity as an individual is limited, I
thought that if these people are here, there are many things we could do
together.” (Voluntary return migrant)“My friend, who is younger than me, had been saying he wants to start
Iwami Kagura21 in Yunotsu town. I sincerely wanted to encourage andsupport him. His passion inspired me a lot.” (Involuntary return migrant)

Regardless of whether the individual was a voluntary or involuntary in-migrant, mostinterviewees mentioned others in the region who had inspired their actions or allowed
them to take the opportunity to initiate. Only one did not mention a particular individualthat affected his entrepreneurship; this individual was determined to start a businessback in his hometown, after being inspired by his years away from Shimane prefecture.

6. Discussion
Both Gotsu city and Kamiyama town were selected due to their original
21

A traditional performing arts in the Iwami region.
84

categorization as a “less popular” rural region; both have been experiencing acontinuous population decline, with out-migration exceeding in-migration. Rather thancomparing the two in terms of economic scale, more focus was laid on their trends over
the years. As shown in Chapter 5, their data showed differences in the characteristics oftheir society and in-migration trends. The difference in the in-migration changes to the
local economy, as well as levels of embeddedness, may help explain the policy
approaches taken by the municipalities.

6.1. Regional differences
Two main differences could be observed between Gotsu city and Kamiyama
town. The first is the relationship between the local production and in-migration trends.
For Gotsu city, the local production has remained fairly stagnant, though leaning
towards slow decline over the years. On the other hand, there has been a continuoussocial decline, with excessive out-migration over in-migration throughout the years.
Kamiyama town has been facing a declining economy, with its productivity
continuously dropping. However, contrary to expectations, the in-migration levels havebeen picking up in recent years.
With regards to social capital, Gotsu city – and perhaps at a wider level, in the
Iwami region – seems to have a more rigid local embeddedness. As observed from theinterview with the municipal employees, entrepreneurship as an in-migrant seems
difficult. For Gotsu city, the business plan contest has served to be an effective entrance
to entrepreneurship in the region; however, without such a system, it may be difficult
85

for an in-migrant to become an entrepreneur from the start, just as one of theinvoluntary return migrants had trouble starting his cafe. For rural communities in
Shimane prefecture, over-embeddedness seems to be present – the process ofembedding oneself in the society becomes important for the in-migrants, especially for
entrepreneurship, because the communities are not fully welcoming of strangers. On theother hand, Tokushima prefecture has had the culture of “Shikoku pilgrimage”22, andhas higher tolerance for newcomers. This flexible embeddedness may have been a key
in allowing more in-migrants to arrive, as well as letting them start their own activities
in the community.

6.2. Differences in policy approach
When examining the policies taken by both local governments, a clear
contrast can be seen. For Shimane prefecture, where there is a more rigid local
embeddedness, there are more government-led initiatives recruiting individuals forin-migration. For example, the “Go-Con” business plan contest was initiated by Gotsu
city, and the program acquired a firm local support system among the local chamber ofcommerce and banks. On the other hand, Tokushima prefecture and its local
municipalities have allowed more private-led initiatives such as Kamiyama town andthe non-profit Green Valley. Such grass-root and private-led activities may be possible
due to the more flexible embeddedness in the community, allowing more fluidity in the22

A historical and cultural tradition of the Shikoku region, where individuals travel to
88 temples in the Shikoku region. Traditionally, the journey was done by Buddhist
monks.
86

activities.
It can also be noted that Gotsu city takes a more individual-based approach,whereas Kamiyama town is community-based. For example, Gotsu city recruits ideas
from the individuals, and supports them to match their entrepreneurial ideas to Gotsu.
This allows the individuals to make use of their human capital for the local community
first. Kamiyama town takes the macro approach and bases recruitment on thecommunity, such as with the Work in Residence project. Even for the “Kamiyama-juku”
project, Green Valley welcomes individuals and lets them experience life in Kamiyama
as a community. The town has also created the “Kamiyama Valley Satellite OfficeComplex”, a co-working space for entrepreneurs and the creative industry. Such sharedspaces also allow frequent interactions with each other, formulating a stronger social
capital. In these ways, Kamiyama town takes advantage of its existing social capital andsupports the communities to embed other in-migrants in the community.

6.3. Policy proposal for Japan and its municipalities
At the national level, as mentioned in Chapter 2, there are currently four basic
goals. However, there is no differentiation on goals or KPIs for the various kinds ofrural regions; instead, each municipality is expected to publish their own basic goals
and policies. The fact that each municipality establishes their own goals is not a
problem; yet, given that the national policy emphasizes job creation and in-migrationlevels as KPIs for the basic goals, many other municipalities may also pursue job
creation to encourage in-migration. It is true that both Gotsu city and Kamiyama town87

also pursue job creation for their community; however, there is a significant contrast
between the two approaches, and this difference should be considered when devising
in-migration policies for other rural regions as well.
Neo-endogenous development outlines that economic values should be placedon social factors as well, and that a combination of exogenous and endogenous policies
are necessary for development. When establishing policies per municipality, there could
be two different approaches for achieving sustainable in-migration: the individual-based
approach and the community-based approach (Figure 6-1).
The individual-based approach focuses on providing direct public support forindividuals to generate jobs from within, by recruiting those with the necessary skills
for a local job. As it considers the individual at the core, emphasis is laid on utilizing
human capital – the individual’s capacity to bring new value into the region, as well as
to develop the individual’s capacity. The “Go-Con” business plan contest is asignificant example of this approach; the individuals who apply are all those withentrepreneurial plans, and the winners receive support from the local network of actions
for the start-up. As the approach is from the individual level, the municipality tries toapply their human capital for the betterment of the community.
The community-based approach focuses on providing direct public support
for the community to embed individuals into the process of initiating their own job or toyield actors that can provide the region with necessary functions. This is different fromthe previous approach, because rather than centering direct public support on theindividual’s human capital to match the community, it does the opposite: there is direct88

public support towards the existing social capital and community values to attract
individuals. Just like in Kamiyama town, understanding the town’s needs to strengthen
the community comes before recruiting in-migrants, and when in-migrants come to thetown, they are embedded locally by interacting with the people within the community.
Eventually, this leads to the individuals discovering their sense of belonging within thesocial capital.

F igu re 6-1: Ind i vid ual -based and co mm uni ty-based ap p roach es

It is important to note that these two approaches do not neglect each other.
Both human capital and social capital are necessary for the two approaches; it is just thematter of which to emphasize for public support. The local government’s choice of89policy approach may depend on the region’s characteristics, especially in terms of thelevel of embeddedness. If a rural region has rigid embeddedness, it may be difficult toutilize social capital to welcome especially new in-migrants unless there is anotherfactor that assists the in-migrants to enter the community. In this case, a mediating
platform or actor is necessary to bring the in-migrants in, and to allow the in-migrants’human capital to be utilized for the benefit of the community. Such assistance becomes
crucial when yielding in-migrants to a rigid community, because over-embeddedness
can stifle entrepreneurial actions by in-migrants. Thus, municipalities must be well
prepared to provide the support when attracting in-migrants, especially for
entrepreneurship.
For regions that have more flexible embeddedness and can welcome
individuals from outside, the local government could focus on strengthening the social
capital in the community to smoothly embed in-migrants into society. Not only doactors such as Kamiyama town’s Green Valley become important coordinators, but thecreation of platforms such as shared spaces for interaction are also effective for social
capital. In Kamiyama town, such spaces are now common; participants of
Kamiyama-juku regularly communicate with each other and the locals at the weekly
dinner parties and community activities, and there are also several cafes and restaurants
run by both locals and in-migrants. These spaces have replaced the role of pastcommunity centers, which no longer serve as a community hub for youths in rural
regions. The creation of these spaces became possible not just because of the flexible
embeddedness that welcomes people from outside, but also because the local
90

government established such initiatives and allowed the local actors (such as Green
Valley) to take action.
For over-embedded regions, in order to achieve a social capital more open
towards outsiders, it may be essential to first attract capable individuals to establish
such shared spaces in place of the community centers. As some interviewees from
Shimane said, their communities did not have an alternative to community centers,
where now only the elderly gather, and thus the younger generations do not enjoy casualinteractions. These spaces, unlike the formal buildings made for meetings, allow morenatural interactions between residents, and could be an effective tool for embedding
new in-migrants as well.
When preparing the policies, it is worth considering which actors are to takethe lead. For Gotsu city, the local government takes the initiative; in Kamiyama town,
the local non-profit organization was entitled to manage the in-migration policies. The
decision to make activities mainly public-led or private-led may depend again on levelsof embeddedness (Figure 6-2); without an influential actor that could serve as acoordinator, it would be difficult for a region allow a private-led process. A public-led
process will also have its own restraints, such as not having the liberty to guideactivities autonomously – as a public-led process, policies must be implemented in a
way that is fair for all23. Thus, such municipalities will need an individual who canserve as the coordinator for the region, and therefore lead the regional transition.

23

Thus, policies such as choosing whom to call as an in-migrant, as done in Kamiyama
town, would be impossible.

91

F igu re 6-2: P ubl ic- le d an d pr ivate-le d p ol ici es based o n le vel s of e mbe dd e d ness

Public-led embedding process
Rigid embeddedness
e.g. Gotsu city

Individual

Community

based

based

Flexibleembeddedness
Private-led embedding process

Rural regions should not be generalized and approached as being the same“rural”. Job creation is one necessary function in attracting in-migrants. However, if thein-migration process is not managed carefully, even if jobs are available, not allindividuals would be able to successfully in-migrate, or even become entrepreneurs.
Attention is especially needed when setting the local version of the national strategicplan against population decline. The municipalities are expected to come up with clear
KPIs of their own for the five-year period from 2015 to 2019. In addition to raising
numerical goals for in-migration and job creation, municipalities need to also keep inmind that the process of attracting in-migrants and leading them to entrepreneurship

92

should be carefully planned, according to the community’s local embeddedness andcapacity of existing human and social capital. It is not just the numerical andinstitutional factors such as job employment, housing and welfare that determine
successful in-migration. If a community especially wishes for entrepreneurial
in-migrants, the direction of the process should be designed upon the local levels ofembeddedness as well.

7. Conclusion
This research aimed to analyze the process of in-migration andentrepreneurship in a rural region. Based on the neo-endogenous development approach,in-migrants to the rural regions were considered the potential frontrunners that could
introduce new values and mobilize both internal and external resources for local
development. The challenge to sustainable rural development is an especially urgent
issue in Japan, where population decline and out-migration from the rural to the urban
localities are occurring rapidly. For fieldwork, two rural municipalities were chosen:
Gotsu city in Shimane prefecture, and Kamiyama town in Tokushima prefecture. Bothlocations face population and economic decline, and can be considered “less popular
rural regions” as opposed to larger rural areas. At these two sites, in addition toobservation of their current policies and in-migration trends, interviews with municipal
employees and actual entrepreneurial in-migrants were conducted.
Data showed that while in Gotsu city, there is a declining number of
in-migrants each year, Kamiyama town has been seeing an upward improvement in its
93

in-migration numbers since 2007. Gotsu city has been pursuing in-migration throughtheir unique business plan contests, a government-led initiative that recruited
individuals wishing to in-migrate with a business plan for Gotsu city. On the other hand,
Kamiyama town had offered the responsibility over in-migration policies to a local
non-profit organization called Green Valley, which now organizes various projects thatallow individuals to experience Kamiyama life and to open a business requested by the
local residents. Lastly, the in-migrants who were interviewed could be categorized into
three types: voluntary return, involuntary return, and voluntary new in-migrants. The
return in-migrants are those who return to their hometown; they become involuntary
return in-migrants when they have no other choice but to return, such as due to theirfamily business. New in-migrants are individuals who migrate to an entirely newcommunity for themselves. All of the in-migrants interviewed had some kind of
personal connection with the region, which encouraged their in-migration.
While both municipalities hope to call in more in-migrants for the region, twodifferent approaches could be identified: the individual-based approach and thecommunity-based approach. The individual-based approach, as portrayed by Gotsu
city’s example, is where the local government directly supports the individual throughtheir in-migration and embedding into the community, and helps their business start-up
as well. The community-based approach, taken by Kamiyama town, shows the local
government directly supporting the creation of the community, and then leaves thecommunity itself to welcome in-migrants and embed them into the community. The
difference between the two approaches could be determined by the original state of94

embeddedness in the community: if a community has rigid embeddedness, it is difficult
for the in-migrants to integrate on their own as well as for the community to adapt andwelcome them. Therefore, direct public support for in-migrants is crucial to assist theembedding process and to gain more understanding from the locals. If a community’sembeddedness is more flexible, however, the government can give more freedom andautonomy to the community as the locals can accommodate the in-migrants fromthemselves. The local government can assist with funds to help initiate community
activities, and the activities can be led by actors at the grass-root level.
The identification of these two policy approaches is crucial for discussion on
neo-endogenous rural development, because the process of in-migration must be
managed carefully depending on the state of the host community’s embeddedness.
While the contribution of in-migrants via job creation is important for a rural region,
and while human and social capital are both necessities for successful in-migrant
entrepreneurship, the process to achieve successful in-migration of these frontrunners
consists of a complex mechanism for each locality. The findings of this research aresignificant in terms of policy-making for rural regions, especially the municipalities.
While it does not simply point out the necessary factors for rural revitalization, it
outlines the factors that need to be considered during the initial process of bringing in
the drivers of revitalization. As policies have been devised as the national level in Japan,
and as municipalities present their local strategies for in-migration, this research
provides a guide for how the municipalities should carry their policies out in a way that
results in sustainability for the communities in the long run.
95

While the two different policy approaches are useful in devising suitablein-migration policies for the region, both approaches have their own challenges. The
community-based approach would only be successful if there is the presence of awell-versed local actor with enough local ties and capacity for communication andcoordination between the local and extralocal. However, once a rural region can pursue
a community-based approach and can maintain a continuous flow of in-migration, theregion would be well on its way for sustainable development. The difficulty would bewith the individual-based approach, which many rural regions may take, given theirlevel of embeddedness. If a community does not originally possess characteristics that
can allow more flexibility in its embeddedness, the process will become complicated.
For example, Tokushima prefecture originally had the culture of welcoming extralocal
individuals; however, the rural regions in Shimane prefecture were much more closed to
begin with, due to reasons such as its geographical traits. It would be crucial forcommunities to develop the mentality that in-migrants are necessary for their region –but to have the mentality come to surface is another complicated layer for the transitionof the rural region. The local government will need to obtain a capable individual withstrong local and extralocal ties as soon as possible – however, as most municipalities
suffer from both rapid population decline and budget constraints, the capacity of these
local governments may also be limited. Further research is needed to identify how
policies can effectively and efficiently help assist municipalities overcome this stage ofover-embeddedness.
The ultimate constraint against both policy approaches would be time: just as96

Gotsu city and Kamiyama town both took 20 years to reach their current policies, andare still in the process of achieving success, the process to in-migration indicates a long
battle for the rural regions. Given the rapid population decline in many regions, taking
20 years with in-migration policies may insinuate a dead end. However, it is because ofthis time constraint that the process of in-migration must be handled carefully, to get the
local residents to recognize the gravity of their community’s decline, and for themunicipalities to pave the way for more in-migrants to enter.
While this research has shown that the social conditions of a rural community
can guide in-migration policies in different ways, further research is needed to examine
if the two policy approaches can be applied to other rural regions. A wider variety ofentrepreneurial in-migrants should be assessed to build on the current observations
made in this research. Yet, given the samples in this research, it is clear that there issome correlation between the level of embeddedness in a community and the different
policy approaches taken by the local governments. Since the embedding process of
in-migrants is a long-term process, there are many rural communities that are still in
their early stages of constructing their in-migration policies. As population decline andconcentration intensifies, the rural regions will be adversely affected in consequence: itis paramount that the in-migration process be further analyzed so that policies can be
pursued for the sustainability of the rural regions.

97

8. Bibliography
Aghion, P. and Howitt, P. (1998) Endogenous growth theory. 1st ed. Cambridge, MA:
MIT Press
Akio, S. (2008) Terewāku: miraigata rōdō no genjitsu (Telework: The reality of afuture workstyle). Tokyo: Iwanami Shoten
Amcoff, J. and Westholm, E. (2007) ‘Understanding rural change—demography as a
key to the future’, Futures, 39(4), pp. 363–379.
André, I., Abreu, A. and Carmo, A. (2013) ‘Social Innovation through the Arts in Rural
Areas: The Case of Montemor-o-Novo’, in The International Handbook on Social
Innovation: Collective Action, Social Learning and Transdisciplinary Research. UnitedStates: Edward Elgar Publishing,
Bankston, C. L. (2014) Immigrant Networks and Social Capital. United Kingdom:
Polity Press
Bijker, R. A. and Haartsen, T. (2011) ‘More than Counter-urbanisation: Migration to
Popular and Less-popular Rural Areas in the Netherlands’, Population, Space and Place,18(5), pp. 643–657.
Bosworth, G. (2006) ‘Counterurbanisation and Job Creation: Entrepreneurial
In-Migration and Rural Economic Development’, Centre for Rural Economy Discussion
Paper Series, No. 4
Bosworth, G. (2010) ‘Commercial counterurbanisation: an emerging force in rural
economic development’, Environment and Planning A, 42(4), pp. 966–981.
Bosworth, G. and Atterton, J. (2012) ‘Entrepreneurial In-migration and Neoendogenous
Rural Development’, Rural Sociology, 77(2), pp. 254–279.
Boyle, P. and Halfacree, K. (1998) Migration into Rural Areas: Theories and Issues. 1st
ed. United Kingdom: Wiley, John & Sons, Incorporated
Brown, D. (2002) ‘Migration and Community: Social Networks in a Multilevel World*’,

98

Rural Sociology, 67(1), pp. 1–23.
Cabinet Office (2014) Survey on future migration for Tokyo residents.
Cabinet Office (2014) Survey on rural regions.
Cabinet Secretariat (2015) Machi, Hito, Shigoto Sousei (Overcoming Population
Decline and Vitalizing Local Economy in Japan) Long-term Vision and Comprehensive
Strategy.
Cecora, J. (2000) ‘Entrepreneurs and SMEs in Regional Economies: Policy Issues for
Sustainable Development in a Globalizing Economy’, International Review ofSociology, 10(1), pp. 83–100.
Champion, T. (1998) ‘Studying Counterurbanisation and the Rural Population
Turnaround’, in Boyle, P. and Halfacree, K. (eds.) Migration into rural areas: theories
and issues. New York: Wiley, John & Sons,
Cochrane, A. (2010) ‘Alternative Approaches to Local and Regional Development’, inPike, A., Rodriguez-Pose, A., and Tomaney, J. (eds.) The Handbook of Local andRegional Development. New York: Routledge,
Coffey, W. and Polèse, M. (1984) ‘The Concept of Local Development: A Stages
Model of Endogenous Regional Growth’, Papers in Regional Science, 55(1), pp. 1–12.
Coulmas, F. (2007) Population Decline and Ageing in Japan - The Social
Consequences (Routledge Contemporary Japan Series). Abingdon, Oxon: Taylor &Francis, Inc.
Cox, W. (2014) ‘International Shrinking Cities: Analysis, classification and prospects’,in Richardson, H. W. and Nam, C. W. (eds.) Shrinking Cities: A Global Perspective.
United Kingdom: Routledge,
Davidsson, P. and Honig, B. (2003) ‘The role of social and human capital among
nascent entrepreneurs’, Journal of Business Venturing, 18(3), pp. 301–331.
Findlay, A., Short, D. and Stockdale, A. (2000) ‘The labour-market impact of migration99

to rural areas’, Applied Geography, 20(4), pp. 333–348.
Findlay, A. M., Short, D. and Stockdale, A. (2000) ‘The labour-market impact of
migration to rural areas’, Applied Geography, 20(4), pp. 333–348.
Frantzeskaki, N., Loorbach, D. and Meadowcroft, J. (2012) ‘Governing societal
transitions to sustainability’, International Journal of Sustainable Development, 15(1/2),
doi: 10.1504/ijsd.2012.044032
Furusato Kaiki Center (Return to Hometown Support Center) (2012) Available at:
http://www.furusatokaiki.net/ (Accessed: 20 April 2015)
Furusato Kaiki Shien Center (Return to Hometown Support Center) (2012) NPO
Furusato Kaiki Shien Center. Available at: http://www.furusatokaiki.net/ (Accessed: 12
May 2015)
Furusato Shimane Teiju Zaidan (Hometown Shimane Settlement Foundation) (2014)
Available at: http://www.teiju.or.jp/ (Accessed: 11 May 2015)
Ganser, R. and Piro, R. (2012) Parallel Patterns of Shrinking Cities and Urban Growth.
Burlington, VT: Ashgate
Halliday, J. and Coombes, M. (1995) ‘In search of counterurbanisation: Some evidence
from Devon on the relationship between patterns of migration and motivation’, Journalof Rural Studies, 11(4), pp. 433–446.
Hiroi, Y. (2009) Community wo Toinaosu (Rethinking about Community). Tokyo:
Chikuma Shinsho
Hooper, R. (2012) ‘How astrology and superstition drove an increase in abortions inJapan’, The Japan Times, 8 July,
Iizumi, K. (2014) The challenge to a ‘depopulating society’ from the rural
Jack, S. L. and Anderson, A. R. (2002) ‘The effects of embeddedness on theentrepreneurial process’, Journal of Business Venturing, 17(5), pp. 467–487.

100

Kalantaridis, C. and Bika, Z. (2006) ‘In-migrant entrepreneurship in rural England:
beyond local embeddedness’, Entrepreneurship & Regional Development, 18(2), pp.
109–131.
Kamiyama

town

office(2013)Kamiyama

town

office.

Availableat:

http://www.town.kamiyama.lg.jp/ (Accessed: 12 May 2015)
Kanamaru, H. (2009) Inakaryoku: hito yume kane ga atsumaru itsutsu no hōsoku (ThePower of Inaka: 5 Rules for People, Dreams and Money to Gather). Nippon hōsō
shuppan kyōkai
Kasami, K. (2014) Furusato Kaiki no Genjou to Kadai (Current situation andchallenges of return migration).
Lindh, T. (2003) ‘Demography as a forecasting tool’, Futures, 35(1), pp. 37–48.
Loorbach, D. (2010) ‘Transition Management for Sustainable Development: A
Prescriptive, Complexity-Based Governance Framework’, Governance, 23(1), pp. 161–
183.
MacCallum, D., Moulaert, F., Hillier, J. and Haddock, S. V. (eds.) (2009) Social
Innovation and Territorial Development. Burlington, VT: Ashgate Publishing, Limited
Masuda, H. (2014) Chiho Shometsu (Vanishing Regions). Tokyo: Chuko Shinsho
Masuda, H. (2014) ‘The Death of Regional Cities: A horrendous simulation - Regional
Cities Will Disappear by 2040 A Polarized Society will Emerge’, Japan Foreign Policy
Forum: Discuss Japan, 18
Matsutani, A. (2009) Jinko Ryudo no Chihou Saisei-gaku (Regional Revitalization via
Migration). Nippon Keizai Shinbun Shuppansha
Ministry of Health, Labour and Welfare (2013) Vital Statistics Survey.
Ministry of Internal Affairs and Communications (2008) Establishment and Enterprise
Census.

101

Ministry of Internal Affairs and Communications (2012) Economic Census.
Ministry of Internal Affairs and Communications (2014) National population census.
Ministry of Land, Infrastructure, Transport and Tourism (2012) Internet de miru
Kokudo Keikaku (Learning about National Land Planning through the Internet).
Available at: http://www.kokudokeikaku.go.jp/index.html (Accessed: 11 May 2015)
Ministry of Land Infrastructure and Transport (2006) The New National Land
Sustainability Plan.
Mitchell,

C.

J.

A.

and

Madden,M.

(2014)‘Re-thinking

commercial

counterurbanisation: Evidence from rural Nova Scotia, Canada’, Journal of Rural
Studies, 36pp. 137–148.
Motani, K. (2013) Satoyama Shihon Shugi (Satoyama Capitalism). Tokyo: Kadokawa
Moulaert, F., MacCallum, D., Mehmood, A. and Hamdouch, A. (2013) The
International Handbook on Social Innovation. UK: Edward Elgar Publishing Limited
Murdoch, J. (2000) ‘Networks — a new paradigm of rural development?’, Journal of
Rural Studies, 16(4), pp. 407–419.
NPO Green Valley (2013) Kamiyama Valley Satellite Complex. Available at:
http://www.in-kamiyama.jp/kvsoc/ (Accessed: 10 May 2015)
NPO Tegonet Iwami (2011) NPO Tegonet Iwami. Available at: http://tegonet.net/(Accessed: 8 May 2015)
Odagiri, T. (2009) No-san-son Saisei: ‘Genkai Shuraku’ Mondai wo Koete. Tokyo:
Iwanami Shoten
Odagiri, T. and Fujiyama, K. (eds.) (2013) Chiiki Saisei no Frontier. Tokyo:
Nosangyoson Bunka Kyokai
Ominami, S. (2014) Thinking of the future of local regions from creative ruralities
Post-2020 Tokyo and Japan: beyond the conflict between large cities and local regions.

102

University of Tokyo. 4 November
Pike, A., Rodriguez-Pose, A. and Tomaney, J. (2011) Handbook of Local and Regional
Development. New York: Routledge
Portes, A. and Landolt, P. (2000) ‘Social Capital: Promise and Pitfalls of its Role in
Development’, Journal of Latin American Studies, 32(2), pp. 529–547.
Putnam, R. D. (2001) Bowling alone: the collapse and revival of American community.
New York: Simon & Schuster
Ray, C. (2001) Culture economies. Newcastle upon Tyne: Centre for Rural Economy
Roorda, C., Wittmayer, J., Henneman, P., van Steenbergen, F., Frantzeskaki, N. andLoorbach, D. (2014) Transition management in the urban context: guidance manual.
Rotterdam: DRIFT, Erasmus University Rotterdam
Shimane Prefectural Government (2012) Shimane Sogo Hatten Keikaku Dai ni ji Jisshi
Keikaku (Shimane Comprehensive Development Plan: 2nd Implementation Plan).
Shimane Prefectural Government (2013) Shimane Prefectural Government. Available
at: http://www.pref.shimane.lg.jp/ (Accessed: 11 May 2015)
Shuman, M. H. (2006) The Small-Mart Revolution: How Local Businesses Are Beating
the Global Competition. United States: Berrett-Koehler Publishers
Statistics Bureau, Ministry of Internal Affairs and Communications (1996) Statistics
Bureau Home Page. Available at: http://www.stat.go.jp/english/index.htm (Accessed:
11 May 2015)
Stockdale, A. (2002) ‘Towards a typology of out-migration from peripheral areas: aScottish case study’, International Journal of Population Geography, 8(5), pp. 345–
364.
Stockdale, A. (2006) ‘Migration: Pre-requisite for rural economic regeneration?’,
Journal of Rural Studies, 22(3), pp. 354–366.

103

The Small and Medium Enterprise Agency (2015) 2015 White Paper on Small andMedium Enterprises in Japan.
Todtling, F. (2010) ‘Endogenous Approaches to Local and Regional Development
Policy’, in Pike, A., Rodriguez-Pose, A., and Tomaney, J. (eds.) The Handbook of Local
and Regional Development. New York: Routledge,
Tokushima Economic Research Institute (2014) Keizai Doukou 2014.
Tokushima prefectural government (2012) Tokushima Shuraku Saisei Project(Tokushima Village Revival Project).
Toyama, K. (2014) Naze Local Keizai kara Nihon wa Yomigaerunoka (Why Japan will
revive from local economies). Tokyo: PHP Shinsho
Voß, J.-P., Smith, A. and Grin, J. (2009) ‘Designing long-term policy: rethinking
transition management’, Policy Sciences, 42(4), pp. 275–302.
World Commission on Environment and Development. (1987) Our Common Future:
World Commission on Environment and Development. Oxford: Oxford University Press
Yamashita, Y. (2012) Genkai Shuraku no Shinjitsu (The truth of marginal communities).
Tokyo: Chikuma Shinsho
Yamashita, Y. (2014) Chihou Shoumetsu no Wana (The trap of vanishing regions).
Tokyo: Chikuma Shinsho
Yokomichi, K. (2007) ‘The Development of Municipal Mergers in Japan’, COSLOG
Up-to-Date Documents on Local Autonomy in Japan, 1104

9. Appendices

APPENDIX A
Interview questions for municipal employees
1. What kind of individuals do you target for in-migration?
2. What kinds of individuals in-migrate to the prefecture?
3. What are their reasons for in-migration?
4. Where do the in-migrants receive information on your prefecture?
5. What questions do you receive from individuals who wish to in-migrate?
6. Are you seeing any changes in the number of in-migrants overall in the past years?
7. Are you seeing any changes in the number of in-migrants from major cities such as
Tokyo or Osaka over the past years?
8. What policies do you implement to encourage in-migration?
9. What policies do you implement to encourage the in-migrants to permanently residein the region?
10. Which municipalities in your prefecture are popular for in-migration?
11. Which municipalities have been notable for in-migration?

105

APPENDIX B
Interview questions for entrepreneurial in-migrants
1. Where is your hometown?
2. Where have you previously lived, and for how long?
3. When did you first leave your hometown?
4. What was the reason for your out-migration?
5. How attached were you to your hometown?
6. When did you in-migrate to your hometown/current location?
7. Why did you decide to in-migrate?
8. Did you consult with any local government or public service when preparing yourin-migration?
9. Are you glad to have in-migrated to this region?
10. Did you have any issues during your in-migration process?
11. How often do you interact with the local residents in the community?
12. Is there any place to gather in this community?
13. When did you start your business?
14. What was your previous job?
15. Did you originally intend to become an entrepreneur?
16. Why did you decide to start your business?
17. Did you have any challenges or issues when you were starting your business?
18. Why did you wish to start a business in this community?
19. Did you receive any support from anyone for your business?
106