Dolls like this are available the world over - It really isn`t a thing unique to Japan. I believe you hit the nail on the head when you said it makes for better television.
People think, and want to think, that Japan is a strange and weird place - filled with people who do strange things. The media caters to that and seeks out "strange Japan", as it is what gets readers/viewers and makes them money. I have come upon stories in magazines talking about how some very strange thing in "extremely popular in Japan" - and even in the article itself it will say "10 people" or something like that. 10 people is not "popular" - it`s very VERY rare. Selling 100 of something over the past 5 years is not a sign of it being a new trend across Japan.
But it sells. People want to see things about the "weird" of Japan. It`s really silly and frustrating to me because there are just as many weird and obsessed people, and strange items in other countries, but they don`t make the world news.
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Another place visited was a Host bar apparently very well paid for the male hosts who encourage the female to partake in drinks plus pay for all the drinks of her host-- plus any other men around the table.
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These places exist, but when you know more about the world of that kind of nightlife, it becomes very clear what is normal and what is not. There have been some really good studies / nonfiction books on the subject.
The kind of women who spend that much money are generally the kind of women who make that much money doing something similar in the opposite (hostess bars). The kind of men who spend that much on the women are men with tons of money, no time for real relationships, and a very competitive personality. The girls who work in those places are sexually "off limits" - but if enough is invested one MIGHT get the urge to see the guy outside of work... And it becomes bragging rights.
Anyway, to get back to the host bars - I believe the average for a night out is something like 25000yen. And the average visitor isn`t a "regular".
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Do Japanese men and women meet in bars-- as they would here in UK?
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Bars in Japan are really a bit different, I think. The feeling is much closer to a regular restaurant that serves alcohol. Going out and meeting new people at a bar is really not all that common. They`re places to meet up, usually in a group, with people you already know.
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I suppose there are the Hostess bars for the men to pay out for the woman of their choice also. It seems a really expensive way to meet the other sex.
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Hostess bars aren`t really there to meet the other sex though. They`re there for men who want the thrill of the chase without any of the strings.
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I wonder if there are a lot of lonely people in Japan.
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I doubt any more than elsewhere in the world.
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Are Geisha available? I should imagine that they are extremely expensive as they have to demonstrate their varied skills?
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Geisha are a status symbol on their own. A way to show off money and negotiation skill. Most definitely not a way to meet someone.
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As you seem to be interested in people meeting the other sex, you might want to look into omiai. It`s a fairly traditional matchmaking service of sorts. In more traditional families, when they have the coming of age ceremony at 20, they will have omiai photos taken. Years down the line, the photos are used along with personal histories to match people up for marriage.