Educational institutions foresee rise in revenue
Education providers will directly benefit from China’s new second-child policy as the market will expand, industry insiders said. The new policy allows Chinese families to have a second baby if one spouse is an only child. The rise in the number of children will enlarge the education organizations’ target group, and it is predicted that educational institutions like language training centers and pre-school education centers will see large revenue increases.
Source: China Daily
URL: http://www.ecns.cn/business/2014/01-02/95204.shtml
Editor’s note: Relaxation in the one-child policy is a significant and subtle social driver in China. For example, our research suggests that a growing number of students (particularly from first tier cities) plan to return to China after graduation (typically after working for a few years in the West). This trend may accelerate now that Chinese youth can look forward to less restrictive family policies.
Besides the rising need for pre-school training sector, with the increasing number of children in China, the international education industry is predicted to welcome another boom of students from China in the next two decades, not only in the higher education sector, but also in primary or secondary education sectors, as more and more parents are willing to send their children at a younger age to better garner foreign language and culture.
