PwC Japan Group has published the results of its 2026 Survey of Corporate Responses to Geopolitical Risk (Global Edition), covering 9 countries and regions. The survey identified differences among Japanese companies across the 3 phases of information gathering, analysis and execution, as well as the roles of overseas offices and the current state of personnel responsible for explaining these matters to investors.
The survey compared and analyzed organizational capabilities across 3 phases, information gathering (Input), information analysis (Processing), and execution and implementation (Output), among companies in Japan, the United States, Taiwan, Germany, the United Kingdom, Switzerland, Indonesia, Malaysia and South Korea. Japanese companies were on par with overseas companies in information gathering, while clear gaps with other countries emerged at the analysis and execution stages, particularly in the quantification of analysis and the speed of execution.
In the information-gathering phase, Japanese companies showed a high level of sensitivity to information, and the proportion using multiple collection channels was at the same level as that of overseas companies. However, the proportion of Japanese companies with links to local governments was low, and the data indicated a marked tendency to wait for official announcements.
In the information-analysis phase, the proportion of Japanese companies that quantify financial impacts under multiple scenarios was low, indicating a tendency toward a narrower scope of quantitative analysis, including consideration of worst-case scenarios. The survey also found that Japanese companies often conduct qualitative assessments only for specific material risks.
In the execution and implementation phase, the proportion of Japanese companies making swift decisions between headquarters and overseas offices was approximately half that of other countries. The proportion of companies reporting that alternative supply chains were either completed or under implementation was also low, indicating a tendency to postpone execution while prioritizing cost and efficiency.
Regarding the positioning of the intelligence functions of overseas offices, the proportion of Japanese companies that clearly define these offices' roles under the direct control of management in their job descriptions and KPIs was lower than in major Western countries.
The proportion of personnel responsible for explaining these matters to investors was low in Japan, at 20% in semiconductors, 21% in automobiles and 17% in pharmaceuticals, indicating that efforts to demonstrate companies' ability to respond to geopolitical risks to investors remain limited.