Cracks emerge in Japan’s brick-and-mortar economy


Retailers and restaurants in Japan are shrinking their chains as a combination of e-commerce and population decline forces changes to business models that had relied on constant new openings to drive earnings growth.

The country now has just under 118,000 retail and restaurant locations, down 1% from the total at the end of 2018, a Nikkei analysis based on trade group data finds.

And the decline threatens to quicken as Japan catches up to the U.S., where once-proud chain stores are dying off, in the extent of online shopping.

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