Abstract
Since the beginning of the 2010s, until the outbreak of the COVID-19 pandemic, Japan experienced a continual surge in inbound tourism, which brought the phenomena of overtourism into public discourse. The pandemic led to a drastic reduction in tourist numbers, and discussions suggest that the pre-existing issues of overtourism may have amplified the economic damages caused by the pandemic. These circumstances highlight the necessity of academic research to understand how excessive dependence on tourism can weaken local economies in both normal and crisis situations. This study is based on interviews conducted with stakeholders in the marketplaces and transportation sectors of Osaka and Kyoto during the pandemic. It confirms the varied impact of the tourism boom and the pandemic on different industries, the disruption caused by the real estate bubble linked to inbound tourism demand, and the emergence of initiatives to reconsider business models overly reliant on temporary tourism booms. The study also underscores the need for cautious planning and regulation regarding land and real estate usage.