News On Japan

No lockdown needed? Japan stores are shutting down voluntarily

Apr 05, 2020 (Japan Times) - With Prime Minister Shinzo Abe’s government stuck on the brink of declaring a state of emergency that might lead to a lockdown, Japan’s restaurant, bar and chain stores are taking matters into their own hands by voluntarily shuttering hundreds of stores to help curb the spread of the coronavirus.

Across Tokyo this weekend and into next week, karaoke parlors, amusement centers and izakaya bars will be among the retailers closing, in many cases shutting their entire chains nationwide for more than 10 days. The closures join those of cinemas and department stores that didn’t operate last weekend in response to Tokyo Gov. Yuriko Koike’s call for people to stay indoors.

Japan’s strategy for dealing with the virus has so far eschewed full-on lockdowns seen in other rich nations; it has the lowest infection rate of the Group of Seven. The country’s authorities lack the power to enact even if a state of emergency is declared. Instead, the country has focused on encouraging people to avoid an overlap of what it calls “Three Cs” — crowded spaces with poor ventilation, crowded conditions with people and conversations in a short distance.

That has prompted locations likely to host those conditions to shut their doors following Koike’s call for people not to go out on weeknights after a series of suspected coronavirus cases were found among those either working or participating in Japan’s seedier nightlife scene. Tokyo saw 97 new coronavirus cases on Thursday, the most yet in a single day.

The choice to close isn’t an easy one to make, particularly for listed companies which have been punished by the market. Amusement center operator Round One Corp. fell as much as 14 percent after announcing it would close all its stores, with its shares down now down by a half this year. Yakitori restaurant chain Torikizoku Co. fell the most since listing in 2014. The government is offering subsidies for companies forced to close stores, so long as they preserve jobs.

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