The hospitality sector in Japan has been hard hit, with establishments focusing on Chinese clientele reporting zero sales. Strategically gearing their services towards this large market in the pre-pandemic era was initially lucrative, but the drastic plunge in international travel due to COVID-19 restrictions has left these businesses struggling for survival.
The plight of these specialized lodging houses reflects Japan's high dependence on Chinese tourists, who accounted for approximately 30% of foreign visitors in 2019. The situation underlines the need for diversification and flexibility within the Japanese tourism sector. This highlights the societal value placed on perseverance, adaptation, and resilience amid challenges, values deeply ingrained in the Japanese culture.
In contrast, while the US and EU have also experienced a significant tourism slump due to the pandemic, their larger domestic markets and diverse international visitor profile have enabled a degree of tourism buoyancy. The consequences present a sobering indication of the vulnerability of economies that heavily rely on a single foreign market.