Showing posts with label college meltdown. Show all posts
Showing posts with label college meltdown. Show all posts

Sunday, September 11, 2022

State Universities and the College Meltdown

State Universities are using Google Ads to boost enrollment numbers.

While for-profit colleges, community colleges, and small private schools received the most attention in the first iteration of the College Meltdown, regional public universities (and a few flagship schools) have also experienced financial challenges, reorganizations, and mergers, enrollment losses, layoffs and resignations, off-campus learning site closings and campus dorm closings, lower graduation rates, and the necessity to lower admissions standards. They are not facing these downturns, though, without a fight. 

State universities, for example, are attempting to maintain or boost their enrollment through marketing and advertising--sometimes with the assistance of helpful, yet sometimes questionable online program managers (OPMs) like 2U and Academic Partnerships and lead generators such as EducationDynamics.  

 

Academic Partnerships claims to serve 50 university clients.  HEI has identified 25 of them. 

Google ads also follow consumers across the Web, with links to enrollment pages.  And enrollment pages include cookies to learn about those who click onto the enrollment pages. Schools share the information that consumers provide with Google Analytics and Chartbeat.  

                                       A pop-up Google Ad for Penn State World Campus

Advanced marketing will not improve institutional quality directly but it may raise awareness of these state schools to targeted audiences.  Whether this becomes predatory may be an issue worth examining.

Despite marketing and enrollment appeals like this, we believe the financial situation could worsen at non-flagship state universities when austerity is reemployed--something likely to happen during the next economic downturn

While state flagship universities have multiple revenue streams, they are often unaffordable for working families.  Elite state universities, also known as the Public Ivies, have increasingly shut out state residents--in favor of people from out of state and outside the US--who are willing to pay more in tuition. 

Aaron Klein at the Brookings Institution calls this significant (and dysfunctional) out-of-state enrollment pattern as The Great Student Swap.  

State Universities with more than 4000 foreign students include UC San Diego, University of Illinois, UC Irvine, University of Washington, Arizona State University, Purdue University, Ohio State University, Michigan State University, and UC Berkeley. 

People fortunate enough to attend large state universities as undergrads may feel alienated by large and impersonal classrooms led by graduate assistants and other adjuncts.  There are also significant and often under-addressed social problems related to larger universities, including hunger, substance abuse, sexually transmitted diseases, hazing and sexual assault.  

Online only versions of flagship schools may not be of the same quality as their brick and mortar counterparts. Purdue University Global and University of Arizona Global Campus, for example, are open enrollment schools for working adults which produce questionable student outcomes.  These "robocollege" schools hire few full-time instructors and often spend a great deal of their resources on marketing and advertising.  


EducationDynamics is a lead generator for "robocolleges" such as Purdue University Global and University of Arizona, Global Campus.  

 

                    Purdue University Global has used questionable marketing and advertising.

The Higher Education Inquirer has already noticed the following schools in the Summer and Fall 2022 that received media scrutiny for lower enrollment, financial problems, or labor issues:

 
 
 
 
 

More schools will be added as information comes in. 
 
Related link: College Meltdown 2.0 



Wednesday, August 3, 2022

Visual Documentation of the College Meltdown Needed

 

                                       
The Higher Education Inquirer is looking for images to document the College Meltdown which began in 2010.  

The US Department of Higher Education posts hundreds of campus closings each year.  Images of these closed schools can be used to document an important part of US higher education history.

Closed campuses vary in size, from high school classrooms, hotel conference rooms, and store fronts, to satellite and branch campuses, to small private colleges, and larger career colleges. Some schools have been repurposed, others demolished, and others remain in disrepair--as ruins--and relics of a more humane (or at least more human) past. 

                        
Over the last two decades, the University of Phoenix alone closed more than 500 campuses, many which were conveniently located near US interstate highways.  In 2025, UoPX will have just one campus, located in Phoenix, Arizona. 

In 2015, Corinthian Colleges and Le Cordon Bleu went out of business.  A year later ITT Tech closed all of its doors. The Art Institutes also closed dozens of campuses. In 2018, Virginia College campuses closed, and Kaplan Higher Education sold its remaining properties to Purdue University. Today, only a few Purdue University Global campuses remain.  DeVry University has closed many locations, but several ghost campuses, those with few if any students, remain. Ashford University became a fully online University of Arizona Global

In just a few decades, under the guise of creative disruption, brick and mortar colleges with skilled professors and staff have been replaced by large online robocolleges that hire few if any instructors and offer fewer student services, such as mental health counseling.  And community branch campuses have been replaced by online program managers (OPMs) that advertise, recruit, and even write curriculum for regional public universities and elite private colleges, often without the knowledge of the students/consumers.  

The US Department of Education's PEPS Closed School Monthly Report has been largely ignored by the media.  But as a historical document, the list is telling.  Since 1986, approximately 18,000 campus closings have been reported. The peak year for closings was 2016, when more than 1100 schools were reported as closed.  

 


 [Bay State College in Boston, Massachusetts, which has partially closed. BSC is owned by Ambow Education., which is in deep financial trouble]


How University of Phoenix Failed. It's a Long Story. But It's Important for the Future of Higher Education. 

Abandoned Long Island College Sits in Disrepair, And Community Says It's A Danger (Greg Cergol, NBC New York)

The Growth of "RoboColleges" and "Robostudents" 

 PEPS Closed School Monthly Report

 


Saturday, May 28, 2022

Ambow Education Facing Financial Collapse (Dahn Shaulis and Glen McGhee*)

Ambow touts its place on the New York Stock Exchange (NYSE), but that status may be short-lived. 

Ambow Education Holding (AMBO) is facing financial peril--again.  

The Cayman Islands corporation, with headquarters in Beijing, People's Republic of China, has had financial troubles before. In 2013, the company was liquidated after allegations of financial improprieties. 

Ambow Education was reorganized and quickly found enough capital to branch out, as if nothing had happened in 2013.  The company now offers a variety of services, including several for-profit K-12 schools in China.  Ambow also claims to have patents in a variety of edtech areas, including educational surveillance. *

In 2017 and 2020, Ambow ventured into US for-profit colleges, acquiring Bay State College (BSC) in Boston and NewSchool of Architecture and Design (NSAD) in San Diego.  

According to US Securities and Exchange Commission (SEC) reports, Ambow acknowledges that the People's Republic of China has a powerful influence on the company. How this relates to its US holdings is not apparent--but insiders have questioned the role of Chinese executives and their business practices.  

In January 2020, Bay State College settled with the Massachusetts Attorney General for $1.1 million for misleading students and for violating state statutes on aggressive telemarketing practices and inflating job placement figures. 

And during the Covid pandemic, BSC has worked with Cisco to track students on campus, which may seem intrusive to some Americans. 

"Faculty, staff, and students were each issued a lanyard and a badge holder containing a Bluetooth® Low-Energy (BLE) beacon, which they were required to wear visibly at all times while on campus. Each Meraki AP contains a Bluetooth antenna that listens for intermittent pings emitted by the campus ID badge holders. As people move around campus each day, multiple Meraki APs collect and triangulate the beacon data to track and record their relative location over time. The APs collect and warehouse more than 300,000 data points per day...."

Despite the elimination of its physical library and its receipt of US government bailout funds, Bay State College continues to lose money.   

Faculty and staff have departed as enrollment has dropped below 700 students.  The school is also facing sanctions from its accreditor, the New England Commission of Higher Education (NECHE).

Bay State College enrollment has declined from more than 1700 students in 2012 to less than 700 today. 

NewSchool, has a good record with student outcomes, but has faced issues lately with failure to file reports to the California Bureau for Postsecondary Education (BPPE).  Like Bay State College, NSAD has continued to lose money--as enrollment has dropped below 500 students--making current practices unsustainable. 

Ambow promises to use "shared services" between BSC and NSAD to increase efficiency.  This includes the sharing of key executives. And insiders tell the Higher Education Inquirer they believe this model may be useful if Ambow decides to expand its presence in the US. But sharing key executives between two schools, 3000 miles apart, may be in violation of accrediting policies.  

Meanwhile, AMBO shares have been selling below $1 a share since December 17, 2021. 

Ambow (AMBO) shares have been trading below $1 a share since December 17, 2021, down 99.76 percent from its peak. (Source: Seeking Alpha). Click on graph for a clearer image.

With a second strike (a second delisting) in the US, it's hard to imagine more capital available.  But that hasn't stopped the perpetually confident CEO Jin Huang from trying to wrangle another $100 million from unwary investors.  

Both the NYSE and SEC have no comment about this impending meltdown.   

*Thanks to Glen McGhee for his analysis of Ambow patents. 

Related link: College Meltdown 2.2: Who’s Minding the Store? 

Related link: One Fascism or Two?: The Reemergence of "Fascism(s)" in US Higher Education

Related link: College Meltdown 2.1 

Related link: The Growth of "RoboColleges" and "Robostudents"

Related link: The Higher Education Assembly Line