Mike urges the girls to be more competitive and wants them to be more work-conscious like the Japanese. Billy organises a Pub Olympics in the Street against The Flying Horse to raise funds for Emily's appeal. Percy volunteers himself to head the committee for the Street Olympics. He is put out when Alf is appointed over him. Percy has to settle for deputy. Alf is thrilled to see Audrey again but is disappointed to hear that she's engaged. Mike has a meeting with a Japanese business man, in view of the machinists. Ivy worries what he's up to. The Pub Olympics committee - Emily, Mavis, Alf, Percy, Curly and Billy sort out the contest. They agree on a talent contest for the evening. Mavis is nominated as concert organiser, much to her horror. Mike tells the girls they have a lot to learn from