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Does Google frown on any of these?
Is one better for SEO in the search engines than another?
For other Search Engines it could help to have a '.jp' domain (www.domain.co.jp or www.domain.jp). But these are more expensive and it might be harder to get one.
See also: co.jp Domains & hosting - Do they have to be hosted in Japan? [webmasterworld.com]
.jp domain registration - I want to start a .jp domain registration company/site. [webmasterworld.com]
As for option 2 or 3 there is no big difference I guess. Maybe only in the way results are grouped in the SERP, but it's unlikely that an English and a Japanese page will end up in the SERP for the same query.