With the economy in the doldrums, cash-strapped local governments have begun warring with each other to attract foreign businesses and the jobs and tax revenue they bring. Touting tax incentives, lower land prices and proximity to factories in related industries, they are encouraging foreign firms to ditch Tokyo and set up in other areas.
But following decades of slow foreign investment, conducting business away from the capital remains far from easy.
U.S. semiconductor parts maker Cabot K.K. is one happy entrant.