Entrepreneurship must be encouraged more if Japan is to play a key role on the global stage, and foreign entrepreneurs are in a great position to lead the way, experts said at a recent conference in Tokyo.

"Japan has grown too structured, which has been a strength but is now a weakness," said Sanjeev Sinha, president of Sun and Sands Advisors Co., a Japan-based consultancy that advises companies doing business between India and Japan.

"Failure has been a big stigma and there is a lack of institutions for ventures," he said.