Advantages and Disadvantages of Starting a Business in Nagasaki

Nagasaki startup
demerits

×Llimited Market Size

Nagasaki boasts beautiful landscapes and a rich culture, but on the flip side, its small market size presents a serious disadvantage for entrepreneurs. Unlike major cities, the number of consumers is limited, and niche business models often struggle to acquire enough customers. Consequently, even if creative products or services are developed, expanding their appeal can be challenging. For instance, even if you open a trendy cafﾃｩ or restaurant, experiencing buzz only on weekends is far from enough to stabilize your business. Capturing consumers' hearts requires considerable ingenuity and creativity.

×Severe Reality of Talent Shortage

As the desire to start a business grows, how much talent can actually be secured? Many areas in Nagasaki rely on tourism, making the hope of sourcing talent from this sector merely a dream. Finding skilled staff can become a "mission impossible." In particular, professionals strong in IT and marketing often flow out to major cities like Tokyo and Osaka. Moreover, a local culture exists in Nagasaki where "jobs are sought from one's hometown," making it even more difficult to welcome talent from outside.

×Limitations of Transportation Infrastructure

While Nagasaki's attractions are wonderful, its transportation infrastructure is far from sufficient. This transportation issue becomes a significant disadvantage for business and customer mobility. For example, if you plan to meet a business partner in Fukuoka or Saga, don't underestimate Nagasaki's transportation situation! During peak hours, it can take too long, prompting you to wish you could shout, "Tardiness is the enemy of business." If you're not careful to leave with ample time, you risk missing important negotiations. For entrepreneurs, time is money, and the harsh reality of wasting that precious time is like a painful burden on the heart.

×Difficulty in Building Local-Specific Networks

Entrepreneurs place great importance on "connections," but networking in Nagasaki can be more challenging than expected. The area's closed nature often leads to a feeling that "it's difficult for newcomers to enter." If you attend local events or gatherings at the chamber of commerce, you might feel overwhelmed by the rigidly established relationships and experience a sense of isolation. Even attempts to introduce new ideas can lead to frustration due to the temperature gap with long-standing locals. As a result, taking the first step into entrepreneurship can become a daunting challenge.

×Scattered Customer Base

The people of Nagasaki have a strong attachment to their respective regions. This results in a dispersed customer base, making it difficult to acquire customers. For instance, even if you open your restaurant in the food service industry, you may struggle to connect with the culinary cultures of Nagasaki residents or those from other prefectures, leading to an imbalanced customer demographic. If you cannot present a "special charm" to attract people from neighboring areas, a tragic fate of becoming "a store no one visits" waits ahead. Depending on the industry, the fear of being outcompeted by rivals just a few kilometers away with a low-margin model can haunt you.

As shown above, there are various disadvantages to starting a business in Nagasaki. Nonetheless, it is also true that the area's charm makes it worth the challenge. Fully understanding the disadvantages and possessing the determination and creativity to overcome them is the first step toward success.