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Does education and training make money?
As the saying goes, no matter how poor you are, you can't be poor in education or suffer from children.

In order to prevent children from losing at the starting line, parents ask private teaching assistants and find teachers to cook small stoves. It can be said that it is trying to do a series of after-school tutoring and tutoring for children. There is only one purpose: to let children enter a good university!

It is precisely because of the strong demand of domestic parents for after-school counseling that major education and training institutions have emerged. There are well-known large-scale chain education and training institutions, small cram schools for couples or friends, and small dining tables for primary school students to eat and study ... The education and training industry can be described as a hundred flowers blossom and a hundred schools of thought contend. However, with a series of bans on training institutions by the Ministry of Education, the whole education and training industry has been violently shaken.

Since 20 18, the Ministry of Education has issued a document to rectify education and training institutions in view of the increasing pressure on primary and secondary school students.

By the beginning of 20 19, the Ministry of Education and nine departments jointly issued the "strictest burden reduction order in history"! This "burden reduction order" has also really dealt a heavy blow to large and small education and training institutions.

All kinds of training institutions in the education industry have been in a chaotic situation, among which small and medium-sized training institutions occupy the main part, but in fact many small institutions do not have the conditions and qualifications to start.

Then why are there so many educational and training institutions emerging? This industry is really profiteering!

Two or three years ago, when the supervision of the education and training market was not as strict as it is now, I worked as a guest tutor in the after-school tutoring class for primary and secondary schools run by my friends in the summer vacation, mainly to answer questions and correct homework for students.

Let me first describe the general situation of the friend cram school: from the location, it is located on the top floor of an ordinary residential building in a third-tier city, and it is my friend's own home. It seems to be the ninth floor, and there is no elevator to take. Because they are all primary and secondary school students, going up and down will not be too tired.

In the environment, there is no decoration design, and the tables and chairs in twos and threes are patchwork to distinguish each grade.

In terms of personnel, my friend asked three good students who played in his university to be partners (in fact, there is no input cost, mainly publicity materials).

When eating, my friend's parents are responsible for all the meals (teachers and students), mainly dinner. The meals are deducted from the students' tuition by my friend and paid to his parents. The general situation of this remedial class is basically what it looks like above. It sounds like this tutorial class is rather crude. Today's extracurricular remedial classes are obviously unsightly and completely off the table.

However, it is such a remedial class, and its charge price far exceeds my imagination!

At that time, his summer vacation tutorial class was charged like this: a student charged 2000 yuan at a time, mainly to help students do their homework, pack dinner, and be responsible for picking up and dropping off. The class time is about 3 pm to 8 pm, and students are from Grade One to Grade Three.

In this way, he recruited more than 20 students with a little publicity and friends' introduction, and got about 40 thousand yuan in tuition.

Excluding two months' food expenses, early materials publicity expenses and the salary paid to the partner's teacher, it is estimated that his net income is about 1.8 million yuan, and his net income is about 20,000 yuan.

It is worth mentioning that he was a sophomore, taking advantage of his summer vacation, and then earned more than 20 thousand in just two months. This is also the first huge sum he earned in college.

Later, after he returned to the provincial capital where the university was located, he originally thought of continuing to develop his own education and training institutions in first-tier cities. However, the input cost of first-tier cities is too high: rent, the salary of the cooking aunt, the salary of the teacher (the original classmates don't want to do it), and the enrollment publicity expenses from scratch.

When these costs add up, the net income is not as high as the profit of running remedial classes at home before. So he also gave up the idea of continuing education and training.

Now back to the original question: Are educational and training institutions really profiteering? Huge profits are indeed huge profits, but that is based on reducing some big costs.

Nowadays, education and training institutions are gradually moving towards standardization and unification. Under the strict control of relevant departments, it may not be as profiteering as everyone thinks.