Press ReleaseTanabe Consulting Co.,Ltd.

Tanabe Consulting Reveals: Approximately 80% of JapaneseCompanies Expanding or Intending to Expand Overseas Operations••

ASEAN is the most targeted region for expansion; nearly half expect "increased revenueand profit" in overseas business over the next three years
Results of the "corporate survey on overseas business by Japanese companies" released

Tanabe Consulting Co., Ltd., a leading management consulting firm in Japan (Head office: Chiyoda-ku,
Tokyo, and Yodogawa-ku, Osaka; President: Takahiko Wakamatsu, hereafter Tanabe Consulting),announces the results of the "Corporate Survey on Overseas Businesses." This survey was conductedamong corporate managers, executives, senior management, and those in charge of corporate planningdepartments throughout Japan. The survey results are as follows.
High Interest in Overseas Expansion: Approximately 80% of Japanese companies responded
positively that they are either currently developing overseas business or would like to do so in the future.
This indicates a strong interest in ongoing or future overseas business development.

Popular Regions for Expansion: ASEAN accounted for the largest number of countries and regions
where Japanese companies are considering or expanding their overseas operations, making up
approximately half of the total. About 40% of respondents cited "market growth potential and future
prospects" as the reason for selecting a particular country or region for expansion.

For media inquiries, please contact: Shimizu & Tauchi, Corporate Planning Department (PublicRelations), Tanabe Consulting Group Co.,Ltd.
MAIL:pr-tanabe@tanabeconsulting.co.jp

Positive Business Outlook: About half of the Japanese companies expect their overseas businesses
to see "increased sales and profits" over the next three years. Specifically, 49.4% of companies anticipate
increased sales and profits, while only 3.1% foresee a decrease. This suggests that overseas businessis currently the mainstay of growth for Japanese companies.

Importance of Market Potential: More than 40% of the respondents place importance on "market growthpotential and future prospects" when entering or expanding their overseas business. The most common
reason for selecting countries and regions for expansion was "market growth potential/future prospects"
at 41.8%, highlighting the importance of promising markets in decision-making.
These findings highlight the growing focus and optimism of Japanese companies regarding international
markets, particularly in the ASEAN region, and their expectations of positive business outcomes in thenear future.

Insights from Tanabe Consulting's expert consultants
About half of the companies engaged in overseas business anticipate "revenue and profit growth" overthe next three years and have prioritized the development of new markets. However, securing and training
global and specialized human resources, essential for business promotion, remains a significant
challenge regardless of industry or company size.
According to the Bank of Japan's “Short-Term Economic Survey of Enterprises in Japan” released inDecember 2023, approximately 70% of all Japanese companies reported a "not so good" outlook. Incontrast, about half of the companies in our survey view their overseas business prospects as favorable
over the next three years, with only 3.1% expecting a decline in sales and profits. This indicates thatoverseas business can be a catalyst for further growth in Japanese companies.

Report Author
Director, Tanabe Consulting Co., Ltd
Strategy & Domain Consulting Division and Global Consulting

Koichi Murakami

Tanabe Consulting Co., Ltd
Global Consulting Chief Yuma Kawana
Tanabe Consulting Co., Ltd
Strategy Research Institute Segment & Region Marketing Chief Tang Tang Huang (Creation Support)
Methodology
The survey received 203 responses from corporate managers, executives, senior management, andindividuals responsible for corporate planning departments across Japan. Conducted between January
15, 2024, and February 2, 2024, the study encompassed participants from all over Japan, including those
based in overseas offices.

Services offered by Tanabe Consulting
With a population of approximately 130 million people, Japan is a safe, cutting-edge Asian country thatoffers a very attractive business environment. On the other hand, for foreign companies looking to enter
the Japanese market, Japan is an unknown market, with unique business customs and businesspractices. In order to smoothly launch a business in Japan and penetrate the Japanese market, it isimportant to build an entry and market expansion strategy based on a clear understanding of the market
size and future potential of your product, the competitive landscape and differentiation from competitors,
and your supply chain model.
Tanabe Consulting is a pioneer in management consulting in Japan, with over 65 years of history andexperience. Tanabe Consulting, with its thorough knowledge of the Japanese business environment,
provides total support for expansion and development in the Japanese market.
（１） Japan Market Analysis
Tanabe Consulting, which operates in 10 regions throughout Japan, can provide highly accurate
market research and information through consultants who are familiar with the relevant areas.
（２） Entry strategy planning
After market analysis, we will prioritize your expansion into the Japanese market based on yourgoals and your company's strengths and core competencies. We determine the direction of entry,
create a roadmap, and provide support for the materialization of your strategy.
（３） Marketing Implementation Support
Based on market analysis and entry strategies, we support your business in Japan by identifying
potential partners and implementing effective website development and marketing initiatives inJapan, drawing on over 65 years of nationwide management consulting experience and network.
（４） Cross-border M&A
Based on our contacts and networks with companies throughout Japan, cultivated through more than 65years of management consulting, we support capital alliances with companies that are suitable for gaining
a position in the Japanese market.

About Tanabe Consulting Group (TCG)
Founded in 1957, TCG is a leading management consulting firm in Japan with over 65 years of history
and achievements. Based on the management philosophy of “we love companies walk together withcompanies and work for company prosperity,” aiming to create values for the future society.
TCG primarily serves top management (executives and leaders) of large and medium-sized companies,
as well as government and public organizations, having supported more than 17,000 companies since
its founding. In the area of management consulting, TCG has developed a comprehensive consulting
model that provides support for corporate management from strategy formulation (upstream) to theimplementation and execution of management operations, such as DX in the field (midstream todownstream), with close ties to local communities throughout Japan.
Adhering to a client-centered philosophy of “All for Client Success,” TCG offers “team consulting,” wheremultiple professional consultants are selected to form a team tailored to address the specific management
challenges of each company.
Company Overview:
Company Name: Tanabe Consulting Group Co., Ltd.
Representative: Takahiko Wakamatsu (President and CEO)Founded: October 16, 1957
Established: April 1, 1963
Capital: 1,772 million yen
Number of Employees: 679 (whole group) *As of April 1, 2024
Listing: Tokyo Stock Exchange Prime Market
Head Office: 1-8-2 Marunouchi, Chiyoda-ku, Tokyo; 3-3-41 Miyahara, Yodogawa-ku, OsakaFor media inquiries, please contact:
Shimizu & Tauchi,
Corporate Planning Department (Public Relations),
Tanabe Consulting Group Co.,Ltd.
pr-tanabe@tanabeconsulting.co.jp