Research On The Mechanism Of For-profit Higher Education Organizations

In recent years, many for-profit higher education organizations emerge in many countries around the world, however, the phenomena caused many arguments among states and scholars.Not only opinions are different in many countries, but also different among scholars. In china, the policy choice of whether private higher education organizations should run for profit also become one of the key problem which affect the healthy development of china private higher education. Different opinions aroused among scholars and legislators which made the China Private Education Promotion Law difficultly passed only after four procedures which is a very rare phenomena in china legislation history. Can for-profit higher education organization exit? Which kind of education product they can offer? How should the government and accreditation organizations to regulate them to make them develop in the right routine?To solve these problems, the essay selected 12 typical for-profit higher education organizations as the research targets and analyzed them based on transaction theory. The first chapter summarizes the different attitudes and opinions between different scholars and states based on the development of for-profit higher education organizations and introduce the importance and way of this research. The second chapter introduces the transaction costs theory briefly and analyzes the reasons that it can be applied to analyze education organizations. Besides this chapter also analyze the products higher education organizations can offer to society and type and calculation of transaction costs in higher education.The fourth chapter analyzes the products for-profit education organizations offer to society based on the study of the missions and programs of for-profit higher education organizations.The fifth chapter analyzes the reasons the mechanism of for-profit higher education organizations can lower the transaction costs in producing career oriented education products,besides also analyze whether it be applied to producetheory oriented education products. The sixth chapter analyzes the process to deliver education products based on the study of the typical for-profit higher education organizations and offer three measures to regulate the defects of for-profit higher education organizations to make them develop in the right routine. The seventh chapter analyzes the mechanism of for-profit higher education organizations as a body and evaluates the different opinions of different scholars within and abroad,besides also analyzes the position of for-profit higher education organization in higher education system.Finally, based on the mechanism of for-profit higher education organizations and the reality of china private higher education,the essay suggests that the stipulation of china higher education law and policy drafting should base on the reality that most china private higher education institutions are for-profit,the legislators and policy drafters should evaluate the for-profit higher education organizations objectively and should separate the for-profit higher education organizations from non-for-profit higher education organizations,finally offering suggestions laws and policies to be draft to regulate for-profit private higher education organizations in the future.