Industry Analysis & Industry Trends
Funding under the No Child Left Behind (NCLB) program and greater competition among high school students for college admission have boosted demand for tutoring and test preparation services. In the five years to 2020, the tutoring and test preparation segment will continue to lead the industry's performance, but the trend of more students enrolling in discretionary services will likely boost revenue. Additionally, improving per capita disposable income will support this segment's recovery. However, profit growth will be hampered by a growing number of online competitors, which will significantly contribute to price competition... purchase to read more
Industry Report - Starting a New Business Chapter
The industry has low barriers to entry, primarily given the few initial costs of establishing a business. Most businesses are able to rent office space, some on an as-need basis, and there is limited capital expenditure required on specialized equipment. Many exam preparation and tutoring businesses require computers and other technological training resources, while automobile driving schools may be required to own specially modified vehicles. These operators also have the option to lease vehicles. Course development costs are the main initial startup expense.
Reputation is important, as students and parents want to ensure that the training they are paying for is of a high standard... purchase to read more