A New Game In Town: Competitive higher education

Abstract

Research universities in the USA are complex, expensive organizations that perform multiple interrelated tasks and serve numerous constituencies. The value structure that has evolved for these universities is one that creates very high barriers to entry for new players and numerous impediments to rapid change. Consequently, real competitive pressures on universities have been minimal. However, new types of for-profit and non-profit organizations are beginning to provide competition in targeted segments of higher education. The arrival of Internet-mediated distance learning will greatly increase both market penetration by these new organizations and competition between traditional institutions of higher learning. Because this new competition targets only selected activities of the research university, it risks to destabilize their organization and structure. Ways in which this destabilization might occur are analysed and possible responses are discussed.

Keywords:

• Distance Learning
• Competition
• For-PROFIT Education
• Research Universities
• Disruptive Technology