Large scale market favored language IT training becomes a hot investment

2005 from the Shanxi Yangquan Bureau of Education retired Zhang Jianxin, after the study of Tsinghua Children's English Training program, and friends jointly funded, formal and Tsinghua Children's English Training program National authorized promotion center in rural areas of Yangquan to do the children's English training. After more than two years of operation, now has enrolled more than 400 students, full-time teachers have reached 7, there are more than 10 part-time teachers. "Only 1.3 million of the population of Yangquan, only to do English training institutions have 16, the competition is close to white-hot, but after more than two years of operation, we now become Yangquan region comprehensive strength ranked in the forefront of English training institutions, to achieve a break-even."　　"Zhang Jianxin said. In recent years, China's education and training industry has not only been the concern of many investors like Zhang Jianxin, but also attracted a large number of venture capital institutions to enter the new Oriental and Connaught Boat listing more stimulated VC, PE to China's education industry investment enthusiasm. The last two years has been a leading training and education enterprises to obtain VC, PE huge investment, a number of enterprises have a clear IPO plan.　　However, experts said that the future education and training market will show a more fragmented trend, focus on the division of the chain of enterprises will have greater development space. Subdivided training market can also scale "2000 2003, VC, PE from Network education and IT training began to cut into the education and training industry. Although enterprises are more reliant on it technology, especially the concept of Internet, it still plays a leading role in the investment institutions ' attention to the education market.　　"Venture capital and private equity data agency Chinaventure analyst Julili Analysis said. 2006 New Oriental listing, which has so far been the most successful education industry investment cases, greatly stimulated the VC investment in the education industry enthusiasm. After 5 years of brewing, China's education market investment has finally exploded, the education sector in the second half of 2006, not only 8 enterprises received a round of financing, but also 5 companies to obtain B round financing. According to the data provided by Chinaventure, the number of investment cases in the education and training industry in 2006 amounted to 13, with a total investment of $92.12 million. 2007 years of continuous warming, the total disclosure of 13 investment cases, investment amount of up to 167 million U.S. dollars.　　Although the number of investment cases was flat in 2006, the amount of investment accounted for 46.8% of total investment in the industry. "At present, there are many market segments in the education and training market, and many market segments can be scaled up, and education enterprises generally have good cash flow and the development of their own funds is not feasible." But with the help of venture capital, we can expand the network quickly, promote the internal management, and carry out the industry integration. As Zeng Guangyu, managing director of Baring Asia, said, the education industry is becoming increasingly competitive, and getting venture capital can help companies expand quickly and gain a competitive advantage. such as the giant group Yin Xiong revealed that the giant will be from the September 2007 more than 100 nationwide, for 2010 before the IPO to increase to 500~1000 home, which they actively strive for financing the mostImportant reason.　　In addition, enterprises more fancy VC brings management experience and resources, such as helping to improve corporate governance structure, the introduction of advanced management ideas, the formulation of long-term development strategy. Language training and IT training to become a hot investment according to the data provided by Chinaventure: language training, tutoring training in primary and secondary schools, it vocational education has become the most concern and investment in the venture capital of several segments, and network education as another branch has been highly concerned about institutional investment,　　The scale of investment has been able to compete with offline training. In the current language training field, the main investment is in English and Japanese training institutions. English training has reached a white-hot, the English training market has been invested 97.1 million U.S. dollars, accounting for 82.9% of the total language training market. From 2004 to the new Oriental acquisition of language training market the first venture capital investment so far, in addition to the New World (Love shares, quotes, information) education in Japanese training for the main business, other institutions are mainly English-language training. "The future of English training in the field of investment will be drastically reduced, investment opportunities are not much, some of the English market may also have investment opportunities, such as green Children's English."　　Julili stressed. The secondary school extracurricular training market is also the investment hot spot in the last two years, which mainly concentrates on the network education, the investment proportion accounts for 72.9%. Since 2000, China's primary and secondary school tutoring training market to invest in enterprises mainly focused on the network education, including Hongcheng (Chinese Learning Network), Noah Boat, network Xun, amber Education has been invested in investment institutions. Standardization and individuation are the important direction of the development of many primary and middle school training institutions.　　For example, Tsinghua Children's English training program with Tsinghua University's education resources, independent research and development of standardized teaching materials, and provide a unified teacher training and teaching evaluation system, while relying on the CRM system to achieve the headquarters and the authorized service centers in the exchange of information between. "Basic education and general training education is different, this area investment cycle is longer, investment is relatively high, once enter need long-term investment, the main value is long-term benefit, generally need 3-5 years to be effective."　　Zhang Da, director of the Youth Quality Promotion Center of the Continuing Education Institute of Tsinghua University. On the other hand, IT industry is developing rapidly, knowledge innovation and replacement cycle is short, it employees must keep pace with the development of knowledge innovation. The backwardness of the traditional education system leads to a large number of college graduates can not adapt to the actual needs of enterprises, and enterprises for cost considerations or limited ability to provide appropriate training. Therefore, the entire industry needs it vocational training institutions to participate in order to solve the IT industry shortage of talent.　　Therefore, 2006 and 2007 It vocational education training ushered in a new round of investment climax. Chinaventure that, although 2006 ~ 2007 for IT vocational education investment climax, but in the future will still have it vocational training enterprises continue to receive investment institutions attention. "It vocational education venture capital in Beijing is almost saturated, investment institutions will focus on the region from BeijingMoved to Dalian, Shanghai, Shenzhen, Nanjing and other IT industry developed areas.　　"In addition, Zhang Tai-North believes that vocational skills training in the service industry skills training and special professional skills training areas will also become a new hot spot in the future." Investors are best to engage in areas they are familiar with March 2008 Beijing Huizhong Puzzle won the venture capital agency KPCB tens of millions of dollars of investment. "When we get the money, we will continue to invest in teaching quality and network size, improve the school environment, develop new courseware and continue to expand the network." "Li Nio, president of the public puzzle, said. In Beijing, the joint venture held the "China Education Industry Development ERA Forum", a large number of education and training institutions at the senior level also said that after taking risk investment, will first consider speeding up the national market network construction and internal management upgrade.　　and expansion of the network is nothing more than direct chain and authorized cooperation and other means. "China's education and training industry, although the competition is fierce, but because of the regional characteristics of education and training, the decision does not have enough outlets to cover more people, so the education institutions in order to develop quickly, we must rapidly expand the network, covering more areas."　　Zhang Da-bei feels that China's education and training industry is still in the era of horse-racing enclosure, although the education brand is numerous, the competition is intense, but the market blank and the blind area is many, for instance the Tsinghua children English Training Project not only has own service center in the provincial capital city, also will extend the project to the Children English training resources most needs the two or three line city.　　Yangquan retired workers Zhang Jianxin originally wanted to enter the children's English education industry, after three field visits, comprehensive comparative analysis of a number of children's English training institutions, finally selected Tsinghua children's English training program. Although Zhang Jianxin in the local education industry has a certain network resources, but it's not easy to find the right teachers, "we went to Shanxi some college English majors recruit teachers, the best teachers sent to Headquarters to receive training, qualified post, part-time teachers every weekend to send a car to Taiyuan transfer, the cost is very high. "Zhang Jianxin said.　　After more than two years of entrepreneurship and groping, with the support of the headquarters, today, Yangquan Tsinghua Children's English has become the local second largest English training institutions, income and expenditure has reached a balance. Zhang Jianxin feel the choice of an education and training program, in addition to looking at the brand, it is best to engage in their familiar areas. In addition, but also to see if there is a system of teaching materials and one-stop service. "When you go to the headquarters to visit, the most important thing is to see the headquarters of the relevant service team is not big enough, the quality of customer service personnel is not high, the level of service." "After a comprehensive review of the above factors, the choice of a project cooperation risk can be minimized."