Japanese Entrepreneur Lauds India’s Startup Culture After Relocation

Reiji Kobayashi, a Japanese entrepreneur, relocated to Bengaluru in 2024 to expand his microfinancing startup, Hakki. He believes that India provides a more dynamic and welcoming environment for startups compared to Japan. Having previously operated businesses in Japan and Kenya, Kobayashi views India’s vast market potential as a significant opportunity.

According to an interview with Business Insider, Kobayashi emphasized the scale and energy of India’s economy. “Africa has 1.4 billion people, but they’re scattered. India has 1.3 billion and a rapidly growing economy,” he stated. His company, Hakki, specializes in financing vehicle purchases and has already funded over 3,500 cars in Kenya. Currently, Hakki employs four people in India, 74 in Kenya, and two in South Africa, while maintaining its headquarters in Japan, where most fundraising activities occur. Kobayashi aims to take the company public in Japan by 2028.

Life in Bengaluru

Kobayashi has embraced the lifestyle in Bengaluru, enjoying the city’s climate, casual dress norms, and vibrant social scene. “I play football every evening and watch cricket with friends — with alcohol and chicken, which surprised me because I thought most Indians were vegetarian,” he recounted. He appreciates the kindness and optimism of the local populace, contrasting it with his experience in Japan, where an aging population often leads to anxiety about the future.

Business Culture and Work Ethic

Kobayashi noted that India’s startup ecosystem operates at a much faster pace than that of Japan. “Indians are willing to try new things without needing perfect projections. In Japan, decisions take time and require consensus,” he explained. He highlighted the openness of Indian consumers towards new products and their lesser suspicion of unfamiliar brands, stating, “India is a friendlier market for startups.”

The entrepreneur expressed admiration for the work ethic of his Indian team, noting, “They work more than me — 9 am to 9 pm easily. Even our driver is available from early morning till midnight.” This dedication underlines his positive outlook on the potential for growth in the Indian market.

Despite his enthusiasm, Kobayashi faces certain challenges, particularly with the local cuisine. He struggles with spicy food and often resorts to eating noodles imported from Japan. Additionally, he acknowledged the cultural differences in business practices that require adaptation.

Looking ahead, Kobayashi is considering expanding operations to Thailand but remains committed to strengthening Hakki’s presence in India. “I’m committed to growing the company here and can see myself moving back again,” he affirmed, underscoring his long-term vision for the business in the region.

As Kobayashi continues to navigate the complexities of operating in India, his insights reflect a broader trend of international entrepreneurs recognizing the potential within India’s vibrant startup ecosystem.