ASEAN-Japan Innovation Collaboration: Highlights of the Fast Track Pitch Event Shaping the Future

Introduction

To commemorate the 50th anniversary of the establishment of relations between Japan and ASEAN, the "ASEAN-Japan Fast Track Pitch Event" was conducted in multiple ASEAN locations.
This event aims to foster open innovation between ASEAN and Japan. This article is directed at business leaders active in the rapidly growing ASEAN market, offering insights into the event's highlights, the potential of the Japanese market, and the keys to successful collaboration with Japanese companies.

Overview of the ASEAN-Japan Fast Track Pitch Event

The "ASEAN-Japan Fast Track Pitch Event" was designed to foster innovation through the cooperation of startups and large corporations in ASEAN and Japan. Initially, major companies present the social challenges they face, soliciting solutions from startups in both Japan and ASEAN. The submitted ideas undergo a rigorous selection process, with the chosen finalists ultimately presenting their innovative solutions in a pitch. The proposed themes cover a broad range of fields, including telecommunications, healthcare, food, finance, transportation, construction, and energy. In these areas, startups are offering solutions using AI and digital technology to address challenges posed by leading companies.

Events Held Across the ASEAN Region

In 2023, events were conducted in Singapore, Thailand, Indonesia, and Vietnam, offering a summary of discussed themes and providing links to more detailed information on websites and YouTube videos. Readers can explore the content according to their interests.

First Event: Singapore-Japan Fast Track Pitch Event

Event Page: https://www.jetro.go.jp/en/events/pitch_sg2023/
YouTube Video: https://www.youtube.com/watch?v=sizsPKv5dbM&t=1311s
Event Summary: The Fast Track Pitch Event in Singapore gathered leading companies and startups from Japan and ASEAN to present innovative ideas and solutions in fields like healthcare, agriculture, sustainability, and the architectural environment, aiming to build cooperative relationships. Major companies, including Itochu Corporation, Pfizer, Buhler, Roquette, Takenaka Corporation, Johnson & Johnson, DeNA, and Panasonic, issued challenges. Startups proposed solutions that ranged from computer vision and AI models to radar and WiFi signals for emotion and behavior sensing, point-of-care diagnostic devices, gait analysis tools, and platforms for elderly care services.

Second Event: Zest Thailand Thailand-Japan Fast Track Pitch Event 2023

Event Page: https://www.jetro.go.jp/en/events/pitch_th2023/
YouTube Video 1: https://www.youtube.com/watch?v=F7iGPz2JhMQ&t=4111s
YouTube Video 2: https://www.youtube.com/watch?v=6drfjIUHiqg&t=3951s
Event Summary: In Bangkok, the "Zest Thailand Thailand-Japan Fast Track Pitch Event 2023" featured finalist startups proposing innovative solutions to challenges presented by major Thai and Japanese companies such as PTT Group, IRPC, Ajinomoto, Kubota, and Minebea. The challenges were related to smart cities, sustainability, mobility, and manufacturing. Keynote speeches and panel discussions emphasized strengthening the startup ecosystems and economic partnerships between ASEAN and Japan.

Third Event: Indonesia-Japan Fast Track Pitch Event 2023

Event Page: https://www.jetro.go.jp/en/events/pitch_idn2023/
YouTube Video: https://www.youtube.com/watch?v=An_fm0AgQNQ&t=12526s
Event Summary: The "Indonesia-Japan Fast Track Pitch Event 2023" in Jakarta connected major companies and startups from Indonesia and Japan, aiming to foster innovation and business partnerships. Challenges presented by leading Indonesian and Japanese companies, such as AEON MALL, Bank Danamon & Adira, BlueBird, and Credit Saison, covered areas like omnichannel, decarbonization, fintech, and medtech, with solutions being presented.

Fourth Event: Inno Vietnam-Japan Fast Track Pitch 2023

Event Page: https://www.jetro.go.jp/en/events/pitch_vn2023/
YouTube Video: https://www.youtube.com/watch?v=Dz_SrM2FTi0&t=988s
Event Summary: Held in Hanoi, the "Inno Vietnam-Japan Fast Track Pitch 2023" saw startups pitching solutions to challenges across fields such as carbon credits, fintech, and electric vehicle battery recycling, presented by major Vietnamese and Japanese companies including Becamex Tokyu, FPT IS, MoMo, and VinES.

These events aim to strengthen the collaboration between the ASEAN and Japanese startup ecosystems, working towards solving societal challenges through open innovation. Each event showcased a range of innovative ideas and solutions, leveraging the unique characteristics of the region. Readers interested in more detailed information can refer to the links provided.

The Appeal of the Japanese Market and Collaboration with Japanese Companies

The Fast Track Pitch Event provided insights into "Why Japan, now?" by highlighting Japan's economic appeal and revealing secrets to successful collaboration with Japanese companies. The emphasized aspects of Japan's economic appeal include:

• 1. As a Market: Japan's significant market size (the 3rd largest GDP globally), innovative responses to societal issues like aging and disasters, and openness to new technologies highlight its importance. Japan's aging population particularly drives demand for AI and robotics solutions in elder care, healthcare, and infrastructure maintenance.

• 2. As a Partner: Known for their high research and development capabilities, global presence, and long-term partnership approach, Japanese companies are keenly interested in startups that provide innovative solutions in fields such as food tech, AI, and recycling. Collaborations with Japanese companies can potentially lead to global market expansion due to their international influence.

• 3. Startup Investments in Japan: While Japan's startup investment volume is 60% that of Singapore, its deal count is 3.4 times higher, indicating an active startup ecosystem. The investment volume and the number of IPOs and M&As are on an upward trend.

Japanese companies are known for their reliability once a decision is made, making them potentially long-term partners. However, understanding the unique processes of Japanese companies, such as the relatively slow pace of decision-making and its complexity, is crucial for collaboration. The primary challenges identified in collaborating with Japanese companies include the speed of decision-making, lack of clear criteria, and communication difficulties.

• 1. Speed Gap: Japanese companies, especially those based in Japan, often have protracted decision-making processes that may not align with the rapid pace expected by startups. It is recommended for companies to exercise patience and establish aligned expectations regarding schedules from the outset.

• 2. Ambiguity in Decision-making Criteria: Often, Japanese companies do not have clearly predefined criteria for business partnerships or investments, necessitating the building of trust through extensive dialogue. Establishing trust and maintaining transparent communication are key to overcoming these ambiguities. Startups are encouraged to engage in deep discussions about their value propositions and capabilities.

• 3. Communication Barriers: Language barriers can lead to misunderstandings about the services offered by startups and the requirements of Japanese companies. Such misunderstandings might emerge late in the negotiation process and potentially derail collaborations. Having Japanese management or representatives who can facilitate clear communication is desirable. Startups are advised to invest in language support or employ team members proficient in Japanese to mitigate these barriers.

For more detailed examples and information, please refer to the following URL. This document was presented at the Singapore-Japan Fast Track Pitch Event:
Manual on Collaborating with Japanese Companies:
https://www.jetro.go.jp/ext_images/en/events/pitch_sg2023/pdf/Singapore-Japan_FastTrackPitch_Collaboration_Manual_20230420.pdf

Introduction to J-Bridge

Besides the manual, JETRO has also established a business platform named "J-Bridge." It is designed to accelerate business exchanges between Japanese companies interested in leveraging Japan's capabilities in product development, manufacturing, sales, and marketing, and overseas companies considering investments for Japanese companies' global expansion. J-Bridge offers a variety of services including company introductions, meetup services with Japanese companies, invitations to events, and one-on-one business meetings. For more details, please visit the following

URL: https://www.jetro.go.jp/en/j-bridge/
JETRO provides support through the J-Bridge platform, serving as a bridge between startups in Japan and ASEAN. For consultations on collaboration with Japanese companies, please feel free to contact JETRO.

In Conclusion:
We hope that the information provided in this article and videos will assist ASEAN business leaders in exploring the possibilities of collaborating with Japanese companies and embarking together on the journey of creating new value. We remain committed to supporting the advancement of innovation and strengthening economic ties between the two regions. Taking the step to build the future together entails facing numerous challenges and difficulties, yet we firmly believe in the possibilities and opportunities it unveils. We are committed to supporting the collaborative efforts of the ASEAN and Japanese business communities in shaping a sustainable and innovative future together.

YouTube link: https://www.youtube.com/watch?v=v-L37RTXGIo