Singapore vs. Japan: A Comparative Summary
Japan, the third-largest global economy, offers economic sophistication but has bureaucratic challenges. Singapore, a major financial hub, excels in ease of business, low taxes, and advanced infrastructure. The table below provides a quick comparison of key factors for businesses considering these two environments.
| Aspect | Singapore | Japan |
| – Economic Factors – | ||
| Economic Size | Major Asian financial hub | Third-largest economy in the world |
| Industries | Trade, financial, agri-commodity, technology | Automobiles, electronic equipment, chemicals |
| Top Export Destinations | Global trade, strong ties to Asia-Pacific | United States, China, South Korea, Thailand, Hong Kong |
| Global Companies Headquarters | Attracts 7,000+ multinational corporations | 51 Fortune Global 500 companies |
| – Labor Force and Education – | ||
| Top Export Destinations | Global trade, strong ties to Asia-Pacific | United States, China, South Korea, Thailand, Hong Kong |
| Global Companies Headquarters | Attracts 7,000+ multinational corporations | 51 Fortune Global 500 companies |
| – Labor Force and Education – | ||
| Educated Labor Force | Highly educated workforce, 59% tertiary education | 9th in quality of education, 3rd in scientists |
| Incentives for Skilled Labor | Incentive packages for hiring skilled labor | Skilled labor, but complex bureaucratic process |
| – Business Environment – | ||
| Ease of Doing Business | Easiest country to do business (World Bank) | Bureaucratic process, multiple layers of administration |
| Corporate Tax System | Low tax rates, zero capital gain tax | Ranked 123rd by World Bank, 30% corporate tax |
| Government Cooperation with Global Initiatives | Adapts to FATCA, AIFMD and tax treaties with 70+ | Stable politically, but bureaucratic |
| – Infrastructure and Connectivity – | ||
| World-Class Infrastructure | Top-notch transportation, network-ready | High connectivity, advanced infrastructure |
| Strategic Location | Crossroads of maritime routes, proximity to major markets | Strong global ties, strategic location |
| Strong Points | Attracts multinational corporations, strong connectivity, easy business environment | Third-largest economy, stable, strong R&D, High connectivity, but bureaucratic process |
