John, welcome to the Arillas forum. I'm sorry, I don't recognise the taverna in the picture, which from your description might be on the North West coast between Paleokastritsa and Ag Stefanos. Someone here might. I am intrigued to find out as well.
You don't say where you are staying/going to in Corfu this time, but don't miss Arillas if you want to see very limited change and the values you saw in 1977. Arillas has matured in that time, tourism has been kind to it rather than spoiled it, and it still has a huge measure of authenticity to offer. And the surrounding countryside and villages offer many people a lifetime of peace, nature and Corfiot, liberal joie de vivre.
Let us know how you get on.
Best wishes
Phil