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Education industry comprises schools, colleges, institutions, and universities. Any educational organization in this industry provides instruction and training to students enrolled in elementary through high schools, colleges and universities, and training centers that offer industrial, professional, and vocational programs. Institutions include public, private, and nonprofit as well as for-profit businesses. The vast majority of revenue in this industry comes from tuition fees and program fees. Increasing company size has helped to consolidate operations in the educational services field in helping to lower fixed costs and improve overall operational efficiency, both of which are very important to keeping businesses in the field healthy and profitable. The growth is largely attributed to the growing global competitive landscape and the emphasis on higher education in the US as more and more blue collar work is being shipped overseas. For maximum profit share, colleges are competing by providing low barriers to acceptance and easy access to student loans along with many banks and government scholarship programs that are increasingly promoting the education sector.

Large and prestigious institutions can benefit from large endowments and alumni donations; public universities are funded with public money. Small institutions can compete by providing specialized education or training and by providing prestigious degrees. To find a qualified instructor in any field, it has become an increasingly challenging task and it is important to inquire about the quality of education while researching for potential franchises. There is a potential danger to some areas of the field in future competition from online training courses, popularly called as e-learning courses, which are growing more and more popular as technology spreads. Although currently most online courses are geared towards under graduate education and traditional courses, many industry professional expect the field to broaden as effective programs in other areas are developed for the internet which will be convenient and cost-effective. In addition, businesses face competition from free online resources and computer software. Overall the field is expanding and educational services in the US are forecast to grow by 5% per year over the next five years.听

Education Industry Current Trends

The education industry is continuously expanding its wide variety of sectors and streams and also evolving with utilization of technology and digital medium's impeccable service. Schools, colleges, institutions and universities in this industry provide instructional and non-instructional support services for education industries. Widespread adoption of internet has proved that e-education continues to record strong growth and holds significant exploitable potential that could change the market's performance if implemented accordingly. The trend towards studying outside of one鈥檚 home country remains a solid driver of market growth, despite difficulties caused by the economic recession. The global education and training industry is going through a period of rapid development.

Growing awareness in emerging markets is also contributing to demand, and these markets hold significant growth potential. Due to globalization and a rising level of private participation, customers availing of education and training services are demanding high-value education services. The e-learning industry is expected to exceed $107 billion by 2015, according to Global Industry Analysts. Market growth will be fueled by falling operational low-costs, simplified training processes, and flexible and convenient learning solutions. The US and the EU hold a combined 70% share of the global e-learning market. Asia-Pacific is the region recording the highest rate of growth, predicted to see over 20% growth in revenue generated through 2015. There has been an increasing shift in the way people learn from more traditional methods to more flexible learning formats, like e-education. Private tutoring is set to continue witnessing growing demand as parents and dual-income households are seeking more ways to supplement their children鈥檚 formal education. This segment continues to hold high potential for growth thanks to its accessibility, which allows potential students to benefit without having to physically attend classes and the possibility of fitting study into a schedule to be able to work at the same time.听

Major Players in Education Industry

Major players in the education industry include major US institutions include, Los Angeles School District, the University of Texas System,听 Apollo Group, Coursera, Udacity, Rio Salado Community College, Duolingo, InsideTrack and DeVry.