Richard Dasher
Stanford University
Nobuyuki Harada
University of Tsukuba
Takeo Hoshi
Stanford University
Kenji E. Kushida
Stanford University
Tetsuji Okazaki
University of Tokyo





1. Importance of innovation for Japan’s growth
2. Understanding the Silicon Valley Eco-system
 2.1. Where is Silicon Valley? The Geography of the Silicon Valley ecosystem
 2.2. Defining Characteristics of Silicon Valley Ecosystem
   2.2.1. Dual ecosystem of large firms and small, high growth startups
   2.2.2. Highly competitive industries, balancing between “open innovation” and secret protection
   2.2.3. High financial returns for successful entrepreneurs and startups’ early employees
   2.2.4. Finance and participation in governance of startups by venture capitalists
   2.2.5. High level and diverse human resources for all stages of startups
   2.2.6. High labor mobility
   2.2.7. Top class universities
   2.2.8. Extensive government role in shaping technological trajectories and basic science
   2.2.9. Business infrastructure
3. Institutional Foundations of Silicon Valley
 3.1. Financial System
 3.2. Market for High Quality Human Capital
 3.3. Industry-University-Government Interactions
 3.4. Industrial Organization
 3.5. Entrepreneurship Culture
 3.6. Professionals that Function as Business Infrastructure
4. Institutional Challenges for Innovation-Based Economic Growth in Japan
5. Industrial policies for innovation: evaluation of past policies in Japan
 5.1. “Vision” of innovation policies
 5.2. Promoting industrial clusters
 5.3. Subsidizing R&D projects
 5.4. Institutional reforms for the promotion of innovative venture businesses
6. Innovation policies in Abenomics
7. Harnessing Silicon Valley
 7.1. Japanese Firms’ attempts to utilize Silicon Valley Institutions
   7.1.1. Finance
   7.1.2. Human Capital
   7.1.3. Industry-University-Government Interactions
   7.1.4. Industrial Organization
   7.1.5. Entrepreneurship Culture
   7.1.6. Business Infrastructure
 7.2. Large Japanese Firms and Silicon Valley
8. Conclusion
Appendix 1. Nine Innovation Policies in Abenomics


Figure 1. Long-Term Comparison of Per Capita Real GDP: Japan, UK, and US
Figure 2. Growth Accounting for Japan: 1970-2010
Figure 3. The Broader Silicon Valley Economic Ecosystem
Table 1. Key Characteristics of the Silicon Valley Ecosystem
Table 2. Venture Backed Merger & Acquisitions by Year
Table 3. Selected Large M&A in 2014 Involving Startups
Table 4. Old Economy Business Model (OEBM) and New Economy Business Model (NEBM) in the Information and Communications Technology (ICT) Industries
Figure 4. Open Innovation by Henry Chesborough
Figure 5. Open Innovation and Sources of Ideas, Stages of Investment
Figure 6. Relative Job Growth In Silicon Valley and San Francisco vs CA, USA
Figure 7. Total population who are foreign born
Table 8. H-1B Applications Approved by the US Citizenship and Immigrations Services
Table 9. Forbes’ “Best States for Business” California Rankings
Table 10. Institutional Foundation of the Silicon Valley Ecosystem
Table 11. Coefficient Estimates on the “Policy” Variable in Okubo and Tomiura (2012)
Figure 8. Government Budget for National Research and Development Projects
Figure 9. IPOs in Japan
Table 12. Summary of Regulatory Reforms Related to Academic Spinoffs
Table 13. Japanese Government Policies for Innovation-Based Economic Growth


櫛田健児         米スタンフォード大学アジア太平洋研究所研究員
星岳雄          米スタンフォード大学教授/アジア太平洋研究所
リチャード・ダッシャー  米スタンフォード大学特任教授/アジア米国技術管理センター所長

神田玲子        理事/研究調査部長
豊田奈穂        主任研究員
西山裕也        主任研究員
森直子         研究コーディネーター

(出典)Dasher, R., Harada, N., Hoshi, T., Kushida, K.E., Okazaki, T. (2015) Institutional Foundation for Innovation-Based Economic Growth. Nippon Institute for Research Advancement