Abstract
The purpose of this paper is to clarify the present conditions and problems of business incubators in Japan through a case study of Softopia Japan. A business incubator facility supports startups by meeting their immediate needs, usually by offering affordable space, consulting service and training. In Japan, business incubator has three problems: the dependence on the entrepreneurs who come from outside, the benefit of the incubator to the region, and the limited provision of a business support system. Softopia Japan was established in Ogaki City under the direction of Mr. Kajiwara, the Governor of Gifu Prefecture, in 1996. Softopia Japan provides startups with free operating space(Incubate Room) and supplies amenity and professional services. In so doing, this business incubator has won international reputation. Gifu Prefecture assists entrepreneurs to establish successful businesses in the region. The long-term goal of the prefecture is the creation of Silicon Valley in Japan. Softopia Japan has succeeded in attracting new companies to the region, but has not been able to prevent others from leaving there.