Atsui Tokyo is a new Seattle boutique selling hip fashion from Japan. As people in Japan are on average, smaller than Americans, many items in their women's line are cut perfectly for many petites. However, their pants are still "American length" with an inseam of around 32" (size 36 (or 0) bootcut jeans are at 31", so if you're really skinny you might be able to get by with heels), so alterations will likely be required at times (unless you wear 4" heels). However, if you're small-framed, the sizes at Atsui are absolutely GREAT. In fact, some of their pieces aren't larger than a US 8! Shoes are also available and on average, come in sizes 6 or 7 for women.
My personal favourites are:
According to an e-mail I received from Atsui, their best selling items are from Gunze, a popular Japanese brand of legwear and underwear.
Atsui also sells men's clothes, also cut smaller.
Atsui is located at: 90 Madison Street, Seattle, WA 98104. You can also shop online.
You can also check out their blog!