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November 16, 2017 at 3:29 am #52539
AdmissionsConsultants
ModeratorHello everyone!
HBS professor Clayton Christensen has gone on record as saying that online education is so cost effective that half of US universities could go out of business within the next 15 years. Professor Christensen is the co-author of The Innovative University which discusses the challenges posed to these colleges by online, for-profit universities.
Christensen does mention that most large donors give generously to colleges because of personal relationships they developed at the schools and pointed out that is something the disruptors won’t likely be able to replicate.
We’ve seen research from Moody’s that small colleges, in particular, are going to be more likely to merge or close. We’ve also been concerned with the facility spending on items such as luxury dormitories.
Time will tell of course, but please don’t hesitate to share your thoughts below.
Best of luck with your applications!
Sincerely,
David Petersam
President
AdmissionsConsultants, Inc.
DPetersam@admissionsconsultants.comAdmissionsConsultants
1.800.809.0800Keep up with us on:
November 19, 2017 at 9:41 pm #52546vibhawari
ParticipantOnline education has a bad reputation. If schools go under, they will be small schools and won’t represent 1/2 of the total college students. not within the next 15 years.
December 13, 2018 at 6:29 pm #53068AdmissionsConsultants
ModeratorHello everyone!
Forbes published an article earlier today that reexamines Harvard Business School Professor Clayton Christensen’s 50% college failure prediction. In 2017-2018, the average tuition discount rate grew to 49.9% for first-time, full-time freshmen. This is well above the 35% threshold that the National Association of College and University Business Officers believes signifies financial irresponsibility. The Forbes article also states the population of 18 year-olds is starting to decline and will decline more rapidly beginning in 2026.
Best of luck with your applications!
Sincerely,
David Petersam
President
AdmissionsConsultants, Inc.
DPetersam@admissionsconsultants.comAdmissionsConsultants
1.800.809.0800Keep up with us on:
December 31, 2018 at 2:16 am #53078Le Crange
ParticipantThey’re not going to all fail. Too many college aspirants. The high discount rate just means colleges are becoming like the outdoor markets where everyone has to negotiate and only a few dumb tourists pay the price the vendor initially requests.
July 31, 2022 at 10:55 pm #53718AdmissionsConsultants
ModeratorHello everyone!
We just blogged about a new survey from NewsAmerica that details how a majority of Americans now have favorable views of online education. Most importantly, it appears the trend is quickly growing and could be irreversible. While the late Clayton Christensen (he passed away in 2020) may have been too ambitious with the timeline for his prediction, his prediction, nonetheless, could be on its way to coming true!
Best of luck with your applications!
Sincerely,
David Petersam
President
AdmissionsConsultants, Inc.
DPetersam@admissionsconsultants.comAdmissionsConsultants
1.800.809.0800 -
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