Japanese Firms Face Backlash Over Price Hikes

Japanese businesses are struggling to raise prices despite mounting costs, as decades of deflation have left consumers wary of increases. Uniqlo reversed a price hike on basic socks after public criticism, while restaurant chain Saizeriya apologized for adding 20 yen to a signature dish; small businesses also fear losing loyal customers and may absorb costs instead. Inflation returned in 2022 amid global energy and supply shocks, but weak wage growth may delay broader acceptance of sustained price increases.