Slices of Japanese business, politics and life
Japan is back in deflation, and price falls look like gathering pace as shoppers’ bargain-hunting leads stores to cut prices further to weather the worst retail slump in decades.
Retailers large and small reported hard falls in quarterly profits last week, and the few bright spots were focused on those drawing in thrifty shoppers with their cheap but well-made goods.
Fast Retailing tops the list, as its Uniqlo stores thrive in tough times by selling T-shirts for $10 — that’s cheap here — and other clothing at similar bargain prices. The company is also seeing strong sales growth at its other basic apparel chain g.u.
g.u., the cut-rate sibling of already-cheap Uniqlo, had a low profile for years but shoppers started flooding in after it slashed prices across the board and started flogging $11 jeans and $5 T-shirts this year.