[US Expansion Reality Survey] 60% of Expansion Managers Consider 'Withdrawal, Downsizing, or Plan Changes', Largest Reason Revealed as 'Increased Back-Office Burden'
A survey by COEL, Inc. reveals that 60.4% of Japanese companies expanding into the US consider withdrawing or downsizing due to the heavy burden of back-office and regulatory compliance tasks.
📋 Article Processing Timeline
- 📰 Published: April 7, 2026 at 19:30
- 🔍 Collected: April 7, 2026 at 11:00
- 🤖 AI Analyzed: April 20, 2026 at 23:14 (324h 14m after Collected)
COEL, Inc. (Headquarters: California, USA, CEO: Yusuke Matsuo), which provides the online assistant service 'Emily. Assistant', conducted a survey on the realities of US expansion targeting 111 executives, officers, business managers, and personnel of Japanese companies with experience in US business operations.
■ Survey Background
Expanding into the US market is a crucial pillar of growth strategy for many Japanese companies. However, behind the scenes of market entry, many companies face unexpected challenges.
This survey was conducted to clarify the realities and challenges of promoting business in the US. The results highlighted the reality that many personnel cannot allocate sufficient time to the strategic tasks they should originally focus on.
■ Survey Results Summary
1. The biggest reason for considering withdrawal, downsizing, or plan changes is 'increased practical burden of back-office and regulatory compliance (60.4%)', significantly exceeding changes in the external environment (12.6%).
2. The challenge requiring unexpected resources was 'securing and maintaining human resources (48.6%)' at the top, with visa and regulatory compliance ranking high.
3. Approximately 80% spend 10% or more of their working hours on incidental tasks, and over 20% of them reach 30% or more.
4. Crucial tasks leading to business growth, such as 'sales and negotiation (55.0%)', which should be the primary focus, are being pressured.
■ Survey Overview
- Survey Name: Survey on the Reality of US Expansion by Japanese Companies
- Survey Period: March 15 to March 17, 2026
- Survey Method: Internet survey
- Survey Area: Nationwide
- Target Audience: Executives, officers, business managers, and personnel of Japanese companies with experience in US business operations
- Valid Responses: 111
■ Survey Results
(1) The biggest reason for considering withdrawal, downsizing, or plan changes from the US business is 'increased practical burden of back-office and regulatory compliance' at 60.4%, the highest.
When asked, 'Please tell us the reasons why you considered (or are considering) withdrawing, downsizing, or changing plans for your US business. (Multiple answers allowed)', 'increased practical burden of back-office and regulatory compliance' was the most common at 60.4%. This was followed by 'delays in coordination and decision-making between the Japanese headquarters and the local office' (43.2%) and 'difficulty in securing local talent and a shortage of specialized personnel' (30.6%), showing that the burden of administrative tasks directly leads to major management risks. Furthermore, 'changes in the external environment (economy, tariffs, etc.)' remained at 12.6%, highlighting that internal practical burdens, rather than external factors, are the barrier to business continuity.
■ Survey Background
Expanding into the US market is a crucial pillar of growth strategy for many Japanese companies. However, behind the scenes of market entry, many companies face unexpected challenges.
This survey was conducted to clarify the realities and challenges of promoting business in the US. The results highlighted the reality that many personnel cannot allocate sufficient time to the strategic tasks they should originally focus on.
■ Survey Results Summary
1. The biggest reason for considering withdrawal, downsizing, or plan changes is 'increased practical burden of back-office and regulatory compliance (60.4%)', significantly exceeding changes in the external environment (12.6%).
2. The challenge requiring unexpected resources was 'securing and maintaining human resources (48.6%)' at the top, with visa and regulatory compliance ranking high.
3. Approximately 80% spend 10% or more of their working hours on incidental tasks, and over 20% of them reach 30% or more.
4. Crucial tasks leading to business growth, such as 'sales and negotiation (55.0%)', which should be the primary focus, are being pressured.
■ Survey Overview
- Survey Name: Survey on the Reality of US Expansion by Japanese Companies
- Survey Period: March 15 to March 17, 2026
- Survey Method: Internet survey
- Survey Area: Nationwide
- Target Audience: Executives, officers, business managers, and personnel of Japanese companies with experience in US business operations
- Valid Responses: 111
■ Survey Results
(1) The biggest reason for considering withdrawal, downsizing, or plan changes from the US business is 'increased practical burden of back-office and regulatory compliance' at 60.4%, the highest.
When asked, 'Please tell us the reasons why you considered (or are considering) withdrawing, downsizing, or changing plans for your US business. (Multiple answers allowed)', 'increased practical burden of back-office and regulatory compliance' was the most common at 60.4%. This was followed by 'delays in coordination and decision-making between the Japanese headquarters and the local office' (43.2%) and 'difficulty in securing local talent and a shortage of specialized personnel' (30.6%), showing that the burden of administrative tasks directly leads to major management risks. Furthermore, 'changes in the external environment (economy, tariffs, etc.)' remained at 12.6%, highlighting that internal practical burdens, rather than external factors, are the barrier to business continuity.