Thursday, December 12, 2013

Don't sell dishwashers in Shanghai

If you are considering setting up a business to sell dishwashers in Shanghai, think again. The latest PISA results show that children living in Shanghai, and who have a dishwasher in their home, do worse on their reading scores than their peers.

This bucks the trend for the rest of the OECD countries covered by the report. Everywhere else, if you have a dishwasher at home your reading scores will be higher.

Given the enthusiasm for education in Shanghai, it seems unlikely that you would be able to make a success of a dishwasher business (unless your market is people who don't have, and don't want, kids). So, basically, set up your business somewhere else. You're welcome.

If you want a serious explanation, I suggest that in the UK and elsewhere homes with dishwashers are likely to be those of reasonably well-off people, whose children will be better at reading. The difference in Singapore is small (although it is still there, even with error bars). Maybe they are so rich that they have servants who do the dishwashing, so the people with dishwashers are actually poorer than the rest. I don't care, I just like the fact that data can show stupid things.

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