12.8 c
Friday, December 8, 2023

Significance of regional banks (local banks) in supporting companies through open innovation and benefits of working with startups

Regional banks (jibunin), which have until now focused their business on lending to corporations, are faced with the need to find new avenues of business due to the declining population, lack of local business leaders, and restructuring of the industry.
It is no exaggeration to say that the future of regional companies and local industries will be determined by how effectively regional banks can support them.
In this article, we will discuss the current state of corporate support by regional banks and the effectiveness of supporting local companies through open innovation.
Table of Contents
Current status of startup and corporate support by regional banks
Why Regional Banks Should Promote Open Innovation
Examples of Regional Banks' (Jibanks) efforts to promote open innovation
Support the growth of local companies through open innovation originating from regional banks.

Current status of startup and corporate support by regional banks (local banks)

First, we will introduce the current status of startup and corporate support by regional banks.

The Changing Role of Regional Banks (Jibanks) in the Local Economy

Until now, the image of regional banks was that they generated revenue by providing loans to their customers, but they are facing the challenge of a declining population and declining industry in the regions where they are based, which has resulted in a decrease in the number of customers to whom they provide loans. In addition, negative interest rates have made it difficult to break even by simply providing loans.

In response to these changes in the environment, leading regional banks areSupporting the growth of client companies and protecting the employment of local businesses will lead to the development of the local economy.We have come to think of ourselves as not "loan recipients" as it has been in the past,Role of Regional Banks Shifting to "Partners in Protecting Local EconomiesThe company is doing this.

Current status of startup and corporate support by regional banks (local banks)

What is the focus of the regional bank's efforts to support businesses?Support for business startups and business succession in the regionIt is. Many regional banks have begun to focus on supporting start-ups, as helping entrepreneurs get started increases the number of lenders and benefits the bank in the long run.

In addition, because many companies are going out of business due to the lack of a successful generational transition,Support for smooth business successionWe are also engaged in the following activities. In addition, progressive regional banks haveLeading open innovation and promoting innovation in local companiesWe are also working on

Why Regional (Local) Banks Should Promote Open Innovation

The following are some of the reasons why regional banks should support startups and other companies through open innovation.

Can encourage the growth of local companies

One of the roles of a regional bank is to support local businesses through loans, but without growth in local businesses, major loan opportunities will not present themselves.If we can encourage the growth of local companies through open innovation, we can obtain new financing for the implementation of new businesses.It also leads to

Leading to solutions to local social issues

Open innovation is a method of promoting innovation through collaboration with outside organizations, and in some cases open innovation can solve social issues. For example, robotics technology can be used to solve human resource shortages, or automated driving technology can be used to solve traffic problems in underpopulated areas.

By promoting open innovation by regional banks,Potential to not only grow the company, but also to solve issues faced by the local communityis increased.

New financing sources can be developed.

Open innovation is a method of promoting innovation by collaborating with outside organizations. When a regional bank leads open innovation, it may serve as a hub between urban startups and regional companies, and this connection canIncreased likelihood of developing new financing sourcesI am sure it will be.

Examples of Regional Banks' (Jibanks) efforts to promote open innovation

Shizuoka Bank

At Shizuoka BankTECH BEAT ShizuokasaidEvent to Match Shizuoka Prefecture Companies with Tokyo StartupsThe event was held under the It was sponsored by all 35 municipalities in Shizuoka Prefecture to promote innovation among local businesses.

This is an initiative that is attracting attention as it encourages smooth decision-making by making the person in charge of the participating companies from Shizuoka Prefecture the person with decision-making authority, and leads to subsequent business negotiations, rather than being merely a social event.

Hiroshima Bank

Hiroshima Bank is an open innovation platformCREWW."Utilizing theOpen innovation promotion for companies located in Hiroshima PrefectureWe are working on

which matches startups with major companies in the Chugoku region.HIROSHIMA OPEN ACCELERATOR 2020".Then,Hiroshima Bank, in cooperation with Hiroshima Prefecture and CREWW, widely invites startups to create new industries in Hiroshima Prefecture.The program is designed to help startups to develop their business. Startups that pass multiple selections will collaborate with participating companies.

Let's support the growth of local companies through open innovation originating from regional banks (local banks).

The environment surrounding regional banks is becoming more challenging due to population decline, the decline of local industries, and negative interest rates. Because of these changing times, regional banks, as important players in local economies, must also change.

Regional banks often have branches in the metropolitan area,Can serve as a hub for matching local companies with startupsTherefore, the trend to stimulate the local economy by promoting open innovation will accelerate in the future.

Facebook Comments
PORT Editorial Officehttps://port.creww.me/
PORT by Creww is an open innovation media for startups, entrepreneurs, entrepreneurs in recovery, and companies seeking to create new businesses on the theme of social issues, operated by Creww Co.
- Advertisment -
- Advertisment -


Ando Hazama x Cube Earth] Innovating the world's urban OS with patented technology from Japan and the U.S.

Creww Growth Case Study Interview】Ando Hazama has selected Cube Earth, a startup company offering a "smart disaster prevention system" to local governments through the "Ando Hazama New Business Co-Creation Program 2022," an accelerator program for fiscal year 2022, utilizing Cube Earth, a geographic information system platform patented in the United States and Japan. Cube Earth, a startup company that provides municipalities with a "smart disaster prevention system" using the geographic information system platform "Cube Earth" patented in the U.S. and Japan, was selected for the Ando Hazama New Business Co-Creation Program 2022. The startup is developing next-generation social infrastructure infrastructure such as disaster prevention systems, smart cities, drones, and digital twin systems as part of the DX approach to municipal crisis management. What specific initiatives are they pursuing? We interviewed Hiroyuki Horii, Deputy General Manager of the Innovation Department, Corporate Strategy Division, Ando Hazama, Shigehiko Amo, Chairman of Cube Earth, and Zenshi Takeda, President and Representative Director.

Sanki Kogyo × Startups] Become a company that continues to be chosen|New Steps in Co-Creation with Startups

Sanki Kogyo Corporation, which will celebrate its 100th anniversary in 2025, has set its sights on becoming a company that will "continue to be chosen" in accordance with its vision for 2050, and is working to strengthen its core businesses and enhance the Sanki brand. One of our new initiatives is to strengthen our core business and improve the Sankiki brand. Therefore, as one of the new initiatives, we are challenging the "SANKI Open Innovation Program 2023". We interviewed Mr. Hiroyuki Sasaki, Facility Systems Business Department, Mr. Tadashi Ishiwata, Corporate Planning Department, Corporate Planning Office, and Mr. Naoya Tokuda, Corporate Planning Department, who are challenging the accelerator program for the first time, about their frank thoughts from their respective standpoints.

Ando Hazama × Air Digital × Kuki City] Tackling the challenge of extending healthy life expectancy through digital sports!

Ando Hazama, a general construction company that promotes the creation of new businesses through open innovation, has selected Air Digital Inc. Air Digital, Inc., a company involved in the development of digital sports space and the operation of digital sports fields, was selected for the program. Subsequently, Ando Hazama, Air Digital, and Kuki City, Saitama Prefecture, signed a collaboration agreement and are now working together on "Sports 60 & Smart," one of the largest digital sports clubs in Japan, which is located in the "Ario Washinomiya" shopping mall facility in Kuki City. What specific initiatives are being undertaken? We interviewed Tsubasa Sakakibara, Manager of the Innovation Department of Ando Hazama's Corporate Strategy Division, Sobaku Maeda, Representative Director of Air Digital, and Takeshi Kanazawa, a member of the Sports Promotion Section of the Health and Sports Department of the Kuki City Office.

Startup Recruitment] Caring for Community Health|Future Aisei Pharmacy with Roots in the Community through New Business

Aisei Pharmacy has more than 400 dispensing pharmacies nationwide. As the company will soon celebrate its 40th anniversary, we are challenging the accelerator program in search of the next pillar of our business! Aiming to become a pharmacy that is needed by local residents, the company will explore the possibility of creating new businesses. In this interview, we spoke with Hiroyuki Hori, General Manager of the Business Planning Department of Aisei Pharmacy Inc. about why Aisei Pharmacy is now taking on the challenge of open innovation with startups.
Facebook Comments