If you go back a few generations and get to the crowd that are 60+, the majority of them don't understand a word of Chinese, just Japanese and Taiwanese, this is because Taiwan used to be a Japanese colony. From asking various Taiwanese people I've gotten mixed reports about Taiwan's Japanese occupation; however, it's apparent that Japanese culture has deeply taken root in Taiwanese society. The Japanese also affected the education system of Taiwan.
These days the Taiwanese tend to blow hot and cold about the Japanese, it's quite common for Taiwanese girls to critisise how Japanese girls behave (according to them), while at the same time copying Japanese fashion, wearing sk2 and shisheido or whatever and religeously following Japanese dramas (or Japanese influeced dramas - Meteor Garden and Hana-Kimi - both originally anime).
It's also quite common for the same people who criticise the Japanese here in Taiwan to claim a place is worth visiting or a restaurant is worth eating in 'because Japanese people go there' - I've heard many Taiwanese people use this as a measure of how good a place is. You won't hear 'Dim Tai Feng is the best Dim-Sum restaurant in Taiwan' - no, you'll hear 'Plenty of Japanese people go there' - (which apparently means the same thing).
Again, I agree with what Matt of Asia was saying about culture and style. Not to mention that Anime, Manga, Cosplay and that general kind of thing are really really popular in Taiwan, if you go to Ximen Ding you might wonder which country you are in!
Besides all they have in common with Japanese culture, they also have big differences.
Take for instance pollution and air quality, it's pretty awful here in Taiwan. I was recently in Tokyo and was shocked to see how clean it was compared to Taipei (well - except Taipei's MRT stations which are still spotless). I was surprised to see how clean the rivers in Japan were, the rivers here are absolutely filthy - if you fell in the dan-shui you might not come out alive!
City planning, a third of the buildings in Taipei are ok, another third are still under construstion or renovation of some sort and the final third are falling to peices - in Japan the buildings and roads were all well maintained - in Taiwan it's a total mess and no body really cares about it. The traffic in Taiwan really sucks as well - again, it was much better in Japan!
To sum up, yes Taiwan has borrowed from Japanese culture; however, it has left some of the finer points of Japanese culture out - such as perfectionism and the idea that clenliness is next to godliness.
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