My credentials: I lived in Japan for six years; I speak/read/write the language quite well, and I know the culture intimately.
Japanese people are quite restrained and conservative. However, they always make generous exceptions for gaijin, and in fact you will have a hard time finding a Japanese person who will treat you as they would another Japanese person. So, in essence, if you're trying to 'fit in': forget about it.
Most Japanese are very friendly, but very few speak English with any proficiency. Don't expect to be understood without a lot of hand-waving, etc. Some Japanese people think they speak English, but are in fact deluded. Others will be scared to death when they are actually confronted with this reality. If you need to find someone who speaks English, I suggest 1) finding another gaijin, 2) a hotel desk clerk, 3) a hip-looking salaryman (=business suit type), in that order with 3 trailing by a large margin.
You should never tip in Japan.
Language: 'konnichi-wa' (hello: daytime), 'komban-wa' (hello: nighttime), 'oHAyo goZAImas' (good morning), 'GENki des ka?' (how are you [feeling]?). If you want to catch someone's attention, though, just say 'ano...' and draw out the 'o' sound; this is like saying, 'ummm...' Thank someone by saying, '(domo) arigato goZAImas', or just 'domo'. Try to avoid leaving off the 'gozaimas' because it is mildly impolite. Note that 'domo' can also be used as a greeting, but I suggest tourists avoid that usage.
'Where is X?' = 'X wa DOko des ka?' or 'X wo saGASHte imas.' (I'm looking for X)
'I'm lost.' = 'MIchi ni mayoimashta.'
'Where is the station?' = 'Eki wa doko des ka?'
'Give me this.' = '(Kore wo) kudasai.' or 'Kore wo onegai shimas.'
'Give me the check.' = 'GoKANjo wo (onegai shimas).' But in many places waiters will leave the check/receipt near your table and update it each time you order; in either case, you are always expected to bring it up to the register (usually near the entrance) and pay there. Don't expect to be able to use credit cards; many places do not accept them. Bring cash. Always cash. Only yen. Don't worry: it is almost safe to carry around your entire life savings in Japan. I have seen people counting large wads of money on the street. Many people carry around Y40,000-10,000 (about US$400-1,000) in their wallet (I did). However, you need to be a little, tiny bit careful of pickpockets on trains.
Meal prices vary widely, but expect to pay around Y700 for a decent, cheap meal. If you go to an iZAkaya (restaurant, with emphasis on drinking) you will pay Y3000-4000 (about US$30-40). Now pay attention because I'm going to say something important: Westerners are accustomed to ordering a single meal and a drink, and maybe dessert or an appetizer. But that is not how Asians dine in general, especially on a night out with their friends. Instead, they each pick a few small dishes, which are set out on the table, and everyone shares the food. People who don't understand this are often unhappy with Japanese food and complain about the small portions; conversely, if you are dining with a Japanese acquaintance, it will turn into a major faux pas. (I speak from experience!)
However, you will probably want to eat at least one or two meals in a nice, traditional Japanese restaurant. Let me assure you it will be quite expensive (say, minimum Y10,000 for two people, but it can easily go up to twice that much), but worth it. In these places, you can often get an entire dinner course, and there is no need to pick out individual dishes yourself. If you get a chance and have the money, try some SHAbu-SHAbu, which is a delicious meal---meat dipped in sake. Sukiyaki is good too, of course. In both cases, it is worthwhile to have someone instructing you how to fix and eat it, though, because it is not entirely straightforward.
For lunch, you can find relatively cheap meals called 'TAYshoku' at many restaurants. These are set meals, about Y800-1000.
One thing you will learn very quickly is that Japanese people love to drink. There is very little stigma in Japan against getting drunk; in fact, drunkenness is a good excuse for any behavior (including being a pain in the ass to gaijin). Friday night you will find many drunken salarymen riding the trains, passed out on the street, throwing up in the corner of a bathroom or train station, etc. Ignore this; it is a perfectly normal part of the Japanese Experience.
Japanese people drink mostly beer, surprisingly enough, although it depends on the environment. But often you cap off a night with some sake (nihon-shu). There are both cold and hot variants. Try both. BTW, Japanese beer is quite good: I recommend Kirin and Asahi. If you order, you will be probably be asked to specify: bottle 'BOtoru', draft 'NAma', stein 'JOkki' (sizes: big 'dai', middle 'chu').
Things you must eat: saSHImi. Boy, do I love sashimi. Mmmm-mmm! Tuna ('MAguro') is best. Often there will be a 'potpourri' selection, which is 'MOriAWAse'. Sushi is OK, too, but you don't get as much flavor as with sashimi. (Sushi is sashimi on rice...) The good thing about sushi, though, is there are usually pictures so you can point it out. In fact, many menus have pictures, and many (most?) stores have plastic displays of their food outside their entrances.
YAkiTOri. This is chicken on a stick. You will be asked: 'SHIo' (salt) or 'TAre' (sauce). I prefer salt.
Ramen! These are noodles. You really should not pass this up; it's part of the Japanese Experience. There are tons of ramen shops, and many variations, but every place will always have just a plain 'ramen'. Other good ones are 'cha-shu-men' (includes pork) and 'SHIo-ramen' (salty).
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