Other mistake: On the flight to Okinawa, Daniel is reading a map, looking for "Tomi Village". Mr Miyagi tells him to find Naha and go south. Daniel replies, "I keep hitting Kadena Airbase". Kadena Air Base is NORTH of Naha.
Suggested correction: And then Daniel calls himself stupid for holding the map upside down. Not wrong at all.
Obviously Daniel would have had to have failed geography to hold the map upside down. All of Asia would have been east of Okinawa, and Japan itself would have been south of Okinawa. Also, if he didn't realise that he was reading all of the city names upside down, he may have already suffered irreparable and irreversible brain damage in his last tournament.
Also, the book would have been upside down.
Other mistake: When Daniel was using the drum technique, he was blocking with his left hand and hitting with his right hand. So how was Chozen's right side of his face bruised if Daniel never hit him on that side of his face?
Suggested correction: The twisting motion of this technique allows Daniel to use both hands to block and strike depending on which side his opponent used. If Chozen throws a left hand, Daniel would block with his left and strike with his right. If Chozen throws a right hand, Daniel would block with his right and strike with his left.
Factual error: There is no Bon-festival in Okinawa. Okinawa has a traditional festival called Eisa festival.
Suggested correction: There is an Obon festival. It's very different from what's shown in the movie, and is Japanese versus Okinawan, but that's not an 'error'.