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The Japanese economy is dominated by the service sector, which contributed approximately 56.5% to the total GDP in 2015. Real estate and construction together contributes 22.9% to the service sector. The government is implementing structural reforms in aggressive monetary policy, flexible fiscal policy, and growth strategy under Abenomics which will improve the business climate of the country. The government has increased its spending on infrastructure projects and R&D. Domestic demand, along with an additional lift from exports, is expected to be the main growth driver of the Japanese economy, as global growth improves in 2016.
Lucintel, a leading global management consulting and market research firm, has analyzed the political, economic, social, technological, legal, and environmental factors of the Japan and has come up with a comprehensive research report, “PESTLE Analysis of the Japan 2016.” This report provides an analysis of the Japanese economy from historical, current, and future perspectives. SWOT analysis, forecast and scenario analysis, and risk analysis of the Japan are also included in the report. The report also includes the forecast for the economic growth of the Japan through 2021. 
The report highlights various drivers and challenges, which have influenced investment decisions in the economy. The Japan is a politically stable country. The country has a current account surplus and high foreign reserves. Japan is located in Northeastern Asia between the North Pacific and the Sea of Japan, due to which Japan attracts more trade. Japan is currently facing challenges, like aging population and a slowdown in the rate of economic growth over and above lower consumption. Another challenge for Japan is the impact of the slowdown on the US and Chinese economy, as well as international investors.
This unique report from Lucintel will provide you with valuable information, insights, and tools needed to identify new growth opportunities and operate your business successfully in this market. This report will save hundreds of hours of your own personal research time and will significantly benefit you in expanding your business in this market. In today’s stringent economy, you need every advantage that you can find.
To make business, investment, and strategic decisions, you need timely, useful information. This market report fulfills this core need and is an indispensable reference guide for multinational materials suppliers, product manufacturers, investors, executives, distributors, and many more that operate in this market. 
Some of the features of this report:
  • Trend and forecast for key macroeconomic variables that are useful to make major investment decision
  • Analysis on economic activity, investment environment, and trade structure of the country
  • Major industries in Japan and its contribution to GDP
  • Trends in savings, investments, and consumptions 
  • Analysis of Political, Economic, Social, Technological, Legal, and Environmental scenarios as well as their impact on different industries
  • Analysis on geographical importance and social structure such as labor quality
  • Strength, Weakness, Opportunity, and Threat (SWOT) analysis of  Japan
Table of Contents
1. Executive Summary
2. Japanese Political Analysis
2.1: Structure and Stability of Government
2.2: Government Changes and Policy Stability
2.2.1: Policy Agenda – Reforms and Future Plans
3. Japanese Economic Analysis
3.1: Sectoral Contribution to GDP and GDP Growth Rate
3.2: Macroeconomic Forecast and Scenario Analysis (2016-2021)
3.3: Pricing Trends- Inflation and Interest Rates
3.4: Consumption, Saving, and Investment Trends
3.5: International Trade and Its Contribution to GDP
3.6: Foreign Direct Investment by Industry
4. Japanese Economic and Business Risk Analysis
4.1: Risk in Financial Sector
4.1.1: Risk in Current Account Balance
4.1.2: Terms of Trade of Japan
4.2: Risk in Balance of Payment (BOP)
4.3: Risk in Foreign Exchange Reserves and Exchange Rate
4.3.1: Risk in Fiscal Balance
4.3.2: External Debt and Default Risk
4.4: Credit Rating of Countries – Credibility in the Debt Market
5. Japan’s Social Analysis
5.1: Social and Demographic Analysis
5.2: Labor Market – Quality and Availability
5.3: Social Development Index
6. Japanese R&D and Technological Factors
6.1: R&D Expenditure in Japan
6.2: Impact of Technology in Industry
6.3: Technology Policy
7. Japanese Legal Analysis
7.1: Company Law
7.2: Labor Law
7.3: Tax Law
7.4: Economic Policies – A Recent Development
7.5: Doing Business in Japan 2015 – Process to Establish Business
8. Japanese Environmental Analysis
8.1: Environment Policy
9. SWOT Analysis – Search of Potential Opportunities in Japan
List of Figures
Chapter 3. Japanese Economic Analysis
Figure 3.1: Economic Scenarios of Major Countries in 2015
Figure 3.2: Trends of Real GDP Growth Rate
Figure 3.3: Scenario Analysis of GDP Forecast
Figure 3.4: Trends of the Per Capita Income
Figure 3.5: GDP Sectoral Contribution
Figure 3.6: Share of Different Sectors to GDP in 2015
Figure 3.7: Annual Trends of Inflation and Interest Rate
Figure 3.8: Quarterly Interest Rate of Japan
Figure 3.9: Quarterly Inflation Rate of Japan 
Figure 3.10: Trends of Savings and Investments as Percentage of GDP
Figure 3.11: Trends of Consumption Expenditure as Percentage of GDP
Figure 3.12: Japanese International Trade Structure
Figure 3.13: Japanese Exports by Product 2010
Figure 3.14: Japanese Exports by Product 2015
Figure 3.15: Japanese Imports by Product 2010
Figure 3.16: Japanese Imports by Product 2015
Figure 3.17: Japanese Exports by Country 2010
Figure 3.18: Japanese Exports by Country 2015
Figure 3.19: Japanese Imports by Country 2010
Figure 3.20: Japanese Imports by Country 2015
Figure 3.21: Trends of Imports and Exports as Percentage of GDP
Figure 3.22: Foreign Direct Investment by Industry
Chapter 4. Japanese Economic and Business Risk Analysis
Figure 4.1: Trends of Current Account Balance and Percentage to GDP
Figure 4.2: Terms of Trade for Japan
Figure 4.3: Trends of Balance of Payment
Figure 4.4: Trends of Foreign Exchange Reserve and Exchange Rate
Figure 4.5: Trends of Government Revenue and Expenditure as Percentage of GDP
Figure 4.6: Trends of Fiscal Balance as Percentage of GDP
Figure 4.7: Trends of Debt as Percentage of GDP
Chapter 5. Japan’s Social Analysis
Figure 5.1: Geographical Location of Japan
Figure 5.2: Trends of Population in Japan
Figure 5.3: Population Age Structure
Figure 5.4: Trends of Unemployment Rate in Japan
Chapter 6. Japanese R&D and Technological Factors
Figure 6.1: Trends of R&D Expenditure in Japan
List of Tables
Chapter 1. Executive Summary
Table 1.1: Factors Affecting Business in Japan
Chapter 2. Japanese Political Analysis
Table 2.1: Political Factors and Their Impact on Business
Chapter 3. Japanese Economic Analysis
Table 3.1: Factors Affecting Industry Growth
Table 3.2: FDI Limits by Industry
Table 3.3: Economic Factors and Their Impact on Business
Chapter 4. Japanese Economic and Business Risk Analysis
Table 4.1: Credit Rating of Countries by Moody’s, Fitch, and S&P
Table 4.2: Economic Risk Factors and Their Impact on Business
Chapter 5. Japan’s Social Analysis
Table 5.2: Corruption, GINI, Homicide, and Human Development Index
Table 5.3: Social Factors and Their Impact on Business
Chapter 6. Japanese R&D and Technological Factors
Table 6.1: Technological Factors and Their Impact on Business
Table 6.2: Income Tax Rates of Japan
Chapter 7. Japanese Legal Analysis
Table 7.1: Indicators for Starting Business
Table 7.2: Ranking of Ease of Doing a Business
Table 7.3: Legal Factors and Their Impact on Business
Chapter 8. Japanese Environmental Analysis
Table 8.1: Environmental Factors and Their Impact on Business

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34 valuable figures/charts and 16 tables are provided in this roughly 75-page report.
Lucintel has been in the business of market research and management consulting since 2000 and has published over 1000 market intelligence reports in various markets / applications and served over 1,000 clients worldwide. This study is a culmination of four months of full-time effort performed by Lucintel's analyst team. The analysts used the following sources for the creation and completion of this valuable report:
  • In-depth interviews of the major players in this market
  • Detailed secondary research from competitors’ financial statements and published data 
  • Extensive searches of published works, market, and database information pertaining to industry news, company press releases, and customer intentions
  • A compilation of the experiences, judgments, and insights of Lucintel’s professionals, who have analyzed and tracked this market over the years.
Extensive research and interviews are conducted across the supply chain of this market to estimate market share, market size, trends, drivers, challenges, and forecasts. Below is a brief summary of the primary interviews that were conducted by job function for this report.
Thus, Lucintel compiles vast amounts of data from numerous sources, validates the integrity of that data, and performs a comprehensive analysis. Lucintel then organizes the data, its findings, and insights into a concise report designed to support the strategic decision-making process. The figure below is a graphical representation of Lucintel’s research process.