Prices slashed in Japan BSE scare
A Japanese fast-food chain has remained profitable after cutting prices by nearly 50% to counter a BSE scare.
Yoshinoya has cut its price for a beef and rice dinner from 450 yen to 280 yen (£1.50). The cut started as a promotion during a price war among beef-on-rice restaurants late last year, but Yoshinoya said last week that the price cut was now permanent.
As one of the nation's popular chains of gyudon (stewed beef served over rice) restaurants, the company was looking to stop declining sales due to a "mad cow" disease scare that began last autumn. Although Yoshinoya buys 99% of its beef from BSE-free USA, public confidence in beef products has fallen.
A spokesman for the company said: "Thanks to the price cut, we have 40% more customers and are maintaining profits."