What makes Japan suitable for LCC operation?

Recently, there has been news of not one but three low cost carriers making foray into the Japanese aviation space for the first time. AirAsia Japan, Peach Aviation and Jetstar are the three airlines which have recently announced their flight operations in the country. It has also been reported in the news items that for the people of Japan, who love to buy expensive things, this would be a new trial. It is expected that the rates of flight booking will simply be slashed to half with the operation of these new airlines. The people might have to live with certain limitations and constraints but they would get to travel at lowest air fare, for their business as well as for their vacation needs.

There are many factors which favor Japan for the LCC operation. These are:

• An island nation: Japan is an island nation. It has many islands under its sovereignty which are good locations for vacationing and are frequented by the people of Japan as well as the outsiders. With air travel becoming cheap with the introduction of LCCs the vacationing as well as business trips are expected to increase to these islands.
• Travel to nearby foreign destinations will get cheaper: There are many nearby countries and cities which can be reached within a few hours flight of the LCCs. These are South Korea, China, Russia and Taiwan among others. With fares almost down to half of the present value, there is going to be encouragement to the movement of the people on the short-haul flights which see high demand from the people of Japan.
• High per capita incomes: The per capita incomes of the people of Japan are one of the highest in the world. The LCC operations are likely to be highly successful since the people already have a penchant for air travel and the lowest air fare tickets are expected to give it a fillip.