To authors James Mak and Shyam Sunder, the existence of many mom and pop run shops in every street corner is a part of an idealized vision of the Japanese experience that is held by many foreigners. Originally found in abundance in the latter half of the twentieth century, the numbers of these corner shops have slowly decreased in the face of increased competition from global giants and modern operating techniques. For visitors to Japan, the loss of something so uniquely Japanese is lamentable, however, for those that live in Japan, the competition has served only to decrease prices and increase quality, as stores large and small attempt to attract as many customers as possible.
Visitors to Japan are often well acquainted with the sight of neon lights and the large storefronts of Shibuya or Shinjuku. What is surprising, however, is that these stores are not the norm for Japan. Rather than small collections of supermarkets and hypermarkets owned by a few franchises, Japan is instead serviced by millions of smaller, independently operated shops, found within only a few minutes walk of each other. Unlike the United States, the high population density of every city in Japan meant that although shops may be located only a few hundred meters from each other, the potential customer base was more than large enough for a shop to operate at a profit. The reliance of fresh produce for Japanese cuisine also meant that more trips had to be made, rather than one trip per week, as is common in the US; housewives in Japan visit the store almost daily. When this is combined with the relatively low car ownership rate, shops that were close by were the ideal choice for the Japanese market.
With their economic low barriers to entry and reliable market base, small corner stores that mainly serviced people who lived within a few block radius began springing up across the Japan following the Second World War. With the economic boom and subsequent rise in standards of living, these shops proliferated, resulting in over sixty percent of Japanese retail stores being independently owned. However, the stalling Japanese economy caused politicians to relax the protectionist measures that had before blocked large, international retailers from entering the Japanese market. As regulations were relaxed, bigger international chains, with their lower prices and more efficient operating procedures, began putting pressure on the independent Japanese shop owner. Large retail chains like 7-11 began replacing the small, corner grocery shop with efficient convenience stores known as konbini, while larger supermarkets and American style Megamalls have diverted people from the varied stores of traditional covered shopping streets.
The encroachment of globalization upon a quaint aspect of the Japanese lifestyle has Japanese and foreigners alike aghast at the prospect of another American custom invading yet another country. Since legislation aimed at blocking large, foreign retail chains from operating stores that would compete with the smaller, homegrown shops were commuted in the mid nineties, the number of retail chains has risen dramatically, while the number of small, Japanese corner shops has fallen in tandem. Although this has raised many questions regarding whether the smaller shops, and shopping districts should be protected, the end result for the consumer has been positive from an economic perspective.
While the cost of living in Japanese cities such as Osaka-Kobe and Tokyo are notorious worldwide, the presence of intense competition between the larger retail chains and smaller corner stores has brought prices down overall. At the same time, in order to differentiate themselves, stores have sought to offer better quality items and service. Covered shopping districts in particular have made persistent efforts to attract customers away from the sometimes-cheaper department stores. For the Japanese consumer, this has led to an increased variety of choices and an even better environment to shop in. The same can be seen in restaurants, while large chains offering cheap fare, such as Gyudon, and international chains such as McDonalds, have exploded in numbers, older, more expensive, independently owned restaurants are still a common sight.
The rise of the retail chains in Japan has caused some shops to close their doors. However, corner-shops, independent groceries, restaurants and small shops in general remain a common sight throughout Tokyo. The increase in competition has only enriched the life of the Japanese consumer. While it is lamentable that all things were not as they once were, the caress of nostalgia must give way to the cold hard facts of reality; the presence of large retail chains, and the lower prices, has been a small comfort to a people in a period of economic stagnation.




