Shiga Kogen is huge and very spread out, no town, no restaurants, everyone just stays and eat in their hotel so you don't get to see much unless you drive. Also it's a hike to get to. Karuizawa is easy to get to from Tokyo, direct Shinkansen, about 70 mins then Prince hotel is 5 mins, hotel shuttle will pick up and drop you free. It has many outlets but we never thought the prices were attractive. Has good ski slopes for beginners and beyond + ski in/out of your hotel room. It also has bungalows with 2 bedrooms for family with floor heating which maybe fun for the kids. About 10 restaurants closeby hotel so you don't have to eat in the Prince hotel--expensive. There's a large bowling centre + IMAX theatre. No onsen in hotel when we were there but Prince's website shows a small onsen added since. The BIGGEST drawback of Karuizawa is a lack of snow so it is important WHEN you plan on going. Don't go in December as it is 50/50 you'll get good snow. Late Jan/early Feb should be ok. Naspa Otani also has direct shinkansen from Tokyo--about 80mins and again hotel shuttle will pick-up + drop-off for free, takes 7 mins. This hotel is nicer than the Prince Karuizawa, with ski in/out and a much nicer onsen+rotenburo. You'll get lots of snow here, some years even too much snow !! You can take the free hotel shuttle into town with many restaurants + you get to see and experience what a small Japanese town is like. Drawback here is that the ski field is quite small but good enough for beginners but more experienced skiers will find it inadequate. Hope you now have more info to choose the ski resort that suits your family.
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