Surprisingly, it is not just the younger people who are using more foreign words.  Even among the Japanese business people, use of foreign words has picked up primarily because equivalent Japanese words are just too difficult or do not fully capture the thought.  For instance, sekuhara for sexual harassment, a term that is new to the Japanese culture.  Some other are sofutouea (software), tesuto (test), kemikaru (chemical), komputa (computer), nyusu (news), and several others.

Among the more popular words are mausu (mouse), kuriku (click), saafu (surf), intanetto (internet), san-saizu (a combination of Japanese word san meaning three and size, denoting women's vital stats or BWH), and moga (modern girl).

"Chekaraccho", a form of casual greeting, a bit like "How are you?"

"Denjarasu", used to describe to friends the slim chances of passing a test.

"Wonchu" and "Gechu", cool terms used to attract the opposite gender. "Wonchu" means "I want you" and "Gechu" means "I get you".

"Roozu sokusu", loose socks worn by high-school girls.

"Cho beri ba", "cho" = "super", "beri" = very, "ba" = bad. So, "cho beri ba" means "ultra-bad".

"Deniru", means to go to a Denny's Restaurant.

"Hageru", means to go to a Haagen Daaz ice-cream outlet.

The funniest words are those that are used in context that make no sense to speakers of the native language from which the word was derived.  For instance the word manshon (mansion) is essentially an expensive apartment in Japan.  A depato is a department store and an apato is an apartment.  Shotsu are actually panties and sekushi or sexy is such a commonly used word that you can safely use it to praise a woman in front of others and she will be pleased to hear it.

Maurice Hood informs that three words that he has heard are Makudonaldo (McDonalds), noto (notepad), and aisukurimu (icecream).

A lot of time we are asked if there any "terms of endearment" in Japanese.  For example, how would one say, "[Name], my dear," "[Name], my love," "[Name], darling," or the like? Is there something that is used in place of or in addition to "san," or is it something completely different?  There are two ways of doing this. But first a little bit of background. Japanese couples do not normally call each other by name and the most common term used is "anata" (literally translated as "you" - actually a very impolite way of saying you in common speech but a term of endearment among couples). The English terms are also almost never used, though some young couples use them occasionally.   But if you want to call someone who is now beyond "san," you can actually use "chan." For example, a woman Kyoko can be called "Kyoko-chan" by someone who loves her dearly (including friends and family members). Though if you want to show your love, it would be just fine to use "darling," "dearest," etc.  Japanese people understand and have embraced these words too.

Will proper English be finally embraced in the Japanese society? We'll have to wait and see.