Comprehensive Study of Covid-19 Pandemic in Japan

Prof. Varada Inamdar

Sinhgad Institute of Management, Pune 41, India

Abstract
The research paper talks about the study based on various parameters to elaborate the
COVID-19 situation in Japan. An overview of the virus outbreak followed by analytics
updated as of 5th May 2020 is given. The paper further discusses the impact on Japanese
industries, business sectors and the Olympic-Paralympic Games amidst the current state of
emergency. Government initiatives to break the chain with special reference to 3Cs, the
clinical trials of the drug “Avigan” and its expected results are covered in the next part of the
paper. Lastly, the paper highlights the uncertainty that lies once this pandemic comes to an
end. The researcher concludes this comprehensive study based on secondary data by giving
possible solutions to restore normal conditions.

Keywords: Outbreak, analytics,3Cs, clinical trials

1. Introduction
The Japanese government confirmed its first positive case of the corona virus disease 2019
(COVID -19) in the country on 16January 2020 in a resident of Kanagawa Prefecture, which
the National Institute of Infectious Diseases(NIID) determined from its genetic research as
the beginning of the spread of COVID-19 variant that is prevalent in patients from China and
East Asia. This was followed by a second wave of the COVID -19 variant of European type
due to travellers from Europe and the United States between 11 March and 23 March. [1]

(Graph 1: Ref: https://www.worldometers.info/coronavirus/country/japan/)

2. Case of The Diamond Princess Cruise Ship
A cruise ship docked off the port city of Yokohama in Japan has become the largest single
cluster of COVID-19 case outside China, where it originated. The Diamond Princess has
been quarantined since arriving off the Japanese coast on Feb 3, after a passenger who got off
the vessel in Hong Kong tested positive for the corona virus. The virus spread among the
passengers in a span of 23 days to a total of 705 passengers. [2]

3. Analytics of Covid-19 In Japan

No of No of
Population Cases distributed
126 M 15078 ventilators masks
Japan
Deaths Recovered 43,000 50,000,000
536 4156
(Fig
Figure.1, 2: COVID-19 Analytics updated as of 05/05/2020)

(Graph 2: Ref: https://www.statista.com/statistics/1105162/japan-patients-detail-novel-

coronavirus-covid-19-cases-by-age-and-gender/)

(Graph 3: Prefectures with highest % of confirmed cases)

4. Negative Impacts of Covid-19 In Japan
The number of bankruptcies in Japan is rising gradually. According to Teikoku Data Bank,
93 firms have gone bankrupt due to the pandemic as of April 24, 2020. The list of insolvent
firms is spread into many sectors: travel agencies, cruise line operators, hotels
and ryokan (traditional Japanese inns) are all suffering heavily from a decline in tourism,
while retail outlets, restaurants and bars have been shut down as a precautionary measure to
keep customers at home.

Japan receives a high number of visitors from coronavirus-affected countries including South
Korea, Taiwan, Hong Kong, Thailand, Singapore, Malaysia, and the Philippines. Tour
cancellations from these countries are expected to cause a significant drop in foreign visitors
to Japan in Q1 2020.Foreign visitors to Japan already declined by 1.1% in January 2020,
compared to January 2019. A 59.4% fall in visitors from Korea was offset by an increase in
visitors from Hong Kong, Singapore, Malaysia, Philippines and Vietnam, which witnessed
33%-42% growth. [3]

5. Tokyo Olympics
In the present circumstances and based on the information provided by the WHO today, the
IOC President and the Prime Minister of Japan have concluded that the Games of the XXXII
Olympiad in Tokyo must be rescheduled to a date beyond 2020 but not later than summer
2021, to safeguard the health of the athletes, everybody involved in the Olympic Games and
The International Community. [4]

6. Scenario of Japanese Industry During Covid-19

Pharmaceutical companies in Japan currently don’t anticipate any negative impact on their
supply chains due to the coronavirus. Companies from other industries, however, are being
hampered.

Japanese automobile companies Toyota and Mazda closed their Chinese operations
temporarily during the virus outbreak period. The production has been resumed partly since
the third week of February. Car production is estimated to fallen by 86% in February.

Similar is the case with another automaker Honda, which closed three of its plants in Wuhan,
stretched the closure up to the third week of February, as reported by Reuters. Duty-free
retailer Laox is reported to be asking its staff aged 40 and above and working for at least two
years with the company to opt for early retirement due to the sudden fall in tourists to Japan.

The Japan Department Stores Association noted that sales at department stores in the country
fell by 12.2%, when compared to 2019. Numerous stores experienced a deterioration of sales
between 40% and 80%. [5]

7. Government Initiatives to Break the Chain of Covid-19

After the COVID-19 outbreak on the cruise ship Diamond Princess, the Japanese government
shifted its focus from a containment policy to a prevention and treatment one because it
anticipated increasing community spread within Japan. This policy prioritized the creation of
a COVID-19 testing and consultation system based on the National Institute of Infectious
Diseases (NIID) and the government's 83 existing municipal and prefectural public health
institutions that is separate from the civilian hospital system.

The new system handles the transfer of COVID-19 patients to mainstream medical facilities
to facilitate patient flow, triage, and the management of limited testing kits on their behalf to
prevent a rush of infected and uninfected patients from overwhelming healthcare providers
and transmitting diseases to them.

The most prominent step that Japan has taken is the introduction of social distancing
method known as “the Three Cs,” and is in reference to closed spaces with poor ventilation,
crowded places with many people nearby and close-contact settings such as close-range
conversations. [6]

8. Clinical Trials
Fujifilm Toyama Chemical(FTC) has started a Phase III clinical trial of its antiviral influenza
drug “Avigan” (favipiravir) for treating Covid-19 patients in Japan. Phase III of a clinical
trial usually involves up to 3,000 participants who have the condition that the new medication
is meant to treat.

Avigan specifically blocks RNA polymerase associated with influenza viral replication. The
mechanism is expected to have an antiviral effect on SARS-CoV-2, the novel corona virus
that causes Covid-19. In Japan, the new Phase III trial will assess Avigan’s safety and
efficacy as a potential Covid-19 treatment.

To move forward with the trial, investigators needed to demonstrate that the medication is at
least as safe and effective as existing treatment options. Answering that need, the study data
found that the drug was able to shorten the recovery time from 11 days to four days for mild
and moderate cases. [7][8]

9. Conclusion
What lies ahead after this pandemic? Japan’s future is very uncertain, as the Japanese
government has extended its previous state of emergency in its 7 prefectures- Tokyo,
Kanagawa, Saitama, Chiba, Osaka, Hyogo, Fukuoka now to entire Japan till 31st May 2020.

The Japanese need to make up for this by changing the way they work, using remote working
and moving businesses online, to keep the economy running. In a survey conducted by Nihon
Keizai Shimbun on nearly 140 leading firms in Japan, about 50% of businesses say they have
switched to teleworking partially or in principle. They will also need to deal with changing
family needs as more people work from home.

Companies are starting to realize that they can actually do efficient remote work. Moves by
leading firms such as Panasonic and Unicharm to introduce remote working hit the headlines
every day. The subtle activities initiated by each individual such as remote working and the
revitalization of the online economy can serve as crucial points in foreseeing the future
course.

10. References

1. http://www.who.int/csr/don/16-january-2020-novel-coronavirus-japan-ex-china/en/
2. https://www.telegraph.co.uk/travel/cruises/articles/diamond-princess-from-dream-
voyage-to-quarantine-story/
3. https://www.japantimes.co.jp/news/2020/04/25/business/coronavirus economy/ #.
XrDz3agzZPY
4. https://www.olympic.org/news/joint-statement-from-the-international-olympic-
committee-and-the-tokyo-2020-organising-committee
5. https://www.pharmaceutical-technology.com/features/countries-with-coronavirus-
japan-covid-19-impact-economy-travel-trade/
6. https://ghp.niid.go.jp/covid19/
7. https://www.clinicaltrialsarena.com/news/fujifilm-avigan-covid-19-trial-japan/
8. https://www.healthline.com/health/clinical-trial-phases#phase-iii

11. Author Affiliation

Varada Inamdar
MCA, M.Phil. (IT), MPM
Assistant Professor-MCA
Sinhgad Institute of Management, Vadgaon(Bk), Pune
E-mail: varada.inamdar@sinhgad.edu