Osaka is famed for it's cheap prices, with ¥1 supermarket sales, ¥10 drinks and discount train tickets sold right next to the station. That attracts thrifty consumers and tourists, but may be undercutting the central bank's efforts to generate sustained price rises.
"If it's not cheap, our customers won't be happy. We started the ¥1 sales as that's the smallest denomination," said Takuji Maeda, who now runs 47 supermarkets across the city. "Osaka's kept its merchant traditions, and it's a town of price competition, so it's really hard for prices to rise."
Within Japan, the people of Osaka and its surrounding region are famed for their hard-bargaining at shops. "There's nothing wrong with low prices. If it's cheap and delicious, what's wrong with that?" said Masahisa Maeda, the head of a shopkeepers association in the main shopping district in Shinsaibashi. The shops in Shinsaibashi don't discount, but it's normal in Osaka for customers to ask for a discount, he said.