College Inc.

Overview

• How new for-profit universities are transforming the way we think about college in America.

Definition:

• For profit education denotes to educational institutions, activated and operated by private and profit seeking businesses.

• Federal data causes a great amount of debate about the pros and cons of for profit colleges and the moral practices within these colleges.

• The Obama government has been called in to regulate the standards of the for-profit colleges as new allegations emerge about the quality of teaching and after college

Did You Know?

According to Federal

government data released in May 2011…

For-profit colleges dedicate less than one

third of what public universities spend on educating students?

AND they charge almost twice as much as their non-profit competition

for enrolment?

Did You Know?According to the National

Center for Education Statistics…

…students who have completed bachelor’s

degree programs at for-profit schools are a lot less likely to graduate

than students who have completed degrees at public universities or

private non-profit schools.

Did You Know?

1 in 5 graduates from for-profit bachelor's degree programs within 6 years. In direct

comparison to more than half of students at public universities.

PROS

Supports claim that For profit schools operate

more effectively

Responsive to the needs of adult learners, who

have many commitments such as: family and

jobs.

Supporters claim that the people there really

want to learn therefore there is less dead weight

PROS

Drive for new customers pushes them to improveand be innovating at a

fast rate in order to attract

new customers.

Positive for investors and the private businesses

that support and finance the Universities: so it is

a win-win.

CONS

As a result of the extremely quick growth of for-profit schools, there have been

scarce methodical studies of their long term influence and

efficiency.

People who disagree state that education is not a business and should not be used to make a

profit. In fact in 2000 Bob Chase, president of the

National Education Association stated “Education children is

very different from producing a product.”

CONS

There have been various lawsuits, suing some

profit making Universities for incomplete training.

So focused on making a profit that then pre-requisites have been overlooked therefore

underpreparing students for the course load.

It is very easy to sign up to many for-profit universities,

and the Recruitment managers want to increase

their student income level that they

could fail to ensure students have will have enough money

to pay back the debt. Ultimately this leaves the student in heavy debt at a

very high inflation rate

Sources

• http://en.wikipedia.org/wiki/For-profit_education

• http://www.huffingtonpost.com/2011/05/26/for-profit-colleges-spend_n_867175.html

• http://www.msnbc.msn.com/id/44073899/ns/business-school_inc_/t/us-charges-for-profit-college-fraud/