Mr. Karate is basically Takuma Sakazaki's alternate persona when donning the tengu mask on his face.
Mr. Karate has 2 more personas. The normal one who acts more comical, and the dark one (in SvC Chaos) who acts more serious, hence the nickname "Honki ni Natta Mr. Karate" (Serious Mr. Karate).
This title is eventually passed on to Takuma's son, Ryou Sakazaki, in Buriki One. Ryo becomes more serious about fighting and embraces his father's wishes. He wonders if he should keep his facial hair since his sister Yuri Sakazaki and many of his friends complain about it.
