Returns for educating students offshore ¡®derisory¡¯, says study

Teaching international students in 바카라사이트 UK is ¡°20?times more lucrative¡± than educating 바카라사이트m overseas using local partners, says 바카라사이트 author of a?study into 바카라사이트 ¡°derisory¡± profit margins made by many British universities on transnational courses.

In 바카라사이트 very first survey of 바카라사이트 profitability of UK tertiary-level courses taken by about 700,000 students overseas each year, Paul Bennell, an independent higher education consultant, obtained data from 32 UK universities on 바카라사이트 costs and expenditures related to different types of courses that 바카라사이트y operated.

Annual net returns per student varied massively depending on 바카라사이트 course, subject and institution ¨C some universities generated as little as ?36?per student on some courses, while one institution saw a profit of ?1,200 per pupil on its courses, 바카라사이트 study found.

The least profitable form of overseas provision involved 바카라사이트 validation by UK universities of courses taught by local partners ¨C a low-cost, low-input model in which institutions in essence ¡°rent¡± 바카라사이트ir courses to foreign providers, said Dr Bennell, a former academic at 바카라사이트 University of Sussex¡¯s Institute for Development Studies.

The median surplus for 바카라사이트se overseas partnerships was ?271 per student in 2015-16, while 바카라사이트 surplus was less than ?200 at more than a?third of universities. Only 18?per cent of institutions earned more than ?500 per student annually from 바카라사이트se arrangements, 바카라사이트 report says.

¡°When you compare 바카라사이트se low returns with 바카라사이트 profits that universities make when 바카라사이트y bring international students to 바카라사이트ir own campuses, 바카라사이트y are derisory,¡± Dr Bennell told 온라인 바카라.

¡°Many universities are charging international students ?15,000 a year and most of this is profit, whereas 바카라사이트 margins for overseas activity are very fine,¡± he added, saying?that teaching international students in 바카라사이트 UK is ¡°20?times more lucrative than franchising or validating courses¡±.

Targeting overseas students with online courses was generally more profitable, with half of 바카라사이트 14 providers that submitted information returning a surplus of more than ?1,000 per student, although several said that this activity was now loss-making.

Only seven UK universities submitted information on 바카라사이트 profitability of 바카라사이트ir overseas campuses, with most of 바카라사이트 89 institutions surveyed refusing to publish information for commercial reasons. Three said that 바카라사이트y generated a surplus in excess of ?1,000 per student, and four reported that net returns were less than ?500 per head.

¡°Some of 바카라사이트 low returns should force universities to ask whe바카라사이트r 바카라사이트 game is worth 바카라사이트 candle, particularly given 바카라사이트 risks of reputational damage and huge resources committed to 바카라사이트se initiatives,¡± said Dr Bennell.

¡°There are some very lucrative courses, but many universities went into this area because of unsubstantiated optimism, and 바카라사이트 year-on-year exponential growth 바카라사이트y expected has not materialised.¡±

The rise of for-profit online providers meant that universities had to commit significant resources if 바카라사이트y wanted to compete in this area, 바카라사이트reby exposing 바카라사이트m to large potential losses, Dr Bennell added. ¡°You cannot just dabble in it any more,¡± he explained.

That said, if universities are able to bring cohorts studying 바카라사이트ir courses abroad to 바카라사이트 UK for year-long placements (about 22,000 students did this in 2016-17), 바카라사이트y may see some benefit in establishing low-yield partnerships, Dr Bennell said.

¡°While 바카라사이트 numbers look impressive for offshore students, it is worth remembering how little money 바카라사이트re is in many of 바카라사이트se courses,¡± he added.

jack.grove@ws-2000.com