Overseas venture capital "betting" China private education and training industry

September 6, China's largest IT education and training organization, the International Education Group, won the venture capital of the Fund, and became a Chinese local training and education chain organization which gained overseas venture capital after the new Oriental and Beijing Giants School. "We are very concerned about Chinese education. "For why invest in China's local training education industry," said the rich investment fund partners sheep east to reporters that China's rapid economic development, which makes the education system is undergoing profound changes, the original education system has been unable to meet the needs of the market, China's education industry is moving towards diversification and practical,　　Private education has also revealed unprecedented opportunities. China's local education and training industry is ushering in the capital era. As of now, the new Oriental Education group landed on NASDAQ; Global IELTS was funded by SoftBank fund; Wall Street English was funded by Carlyle and Citi, and the Beijing giant School received $20 million trillion in funding from international investors, "qiming venture".　　It is reported that since 2000, more than 10 educational institutions in mainland China have received venture capital, and these venture capital are mostly concentrated in it training and English training institutions. "2006 China Education and Training industry research consultancy report" shows that China's training and education market potential scale of 300 billion yuan, and maintain a rapid pace of development. IT training, English training and children's education have become the three pillars of the current training education industry. It is reported that education spending has surpassed other living expenses to become the second largest expenditure after food.　　2005 the entire IT education and training services market sales reached 4.149 billion yuan, and still maintain an annual growth rate of more than 30% of the development momentum. After obtaining venture capital, the development of local educational institutions in China often shows the same path: from the "Enclosure" of the Guangzhou branch to the listing.　　Although venture capitalists have repeatedly stressed that listing is not the ultimate goal of investment, there is no denying that, as New Oriental has created a capital myth on the New York Stock Exchange, more and more investors want to create another "new Oriental". September 7, 2006, New Oriental successfully listed on the New York Stock Exchange, creating a new model for the development of private education in China. It is reported that the first quarter of the new Oriental 2007 net revenue of 429.3 million yuan, net profit of 165.1 million yuan.　　At present, the new Oriental occupies more than 60% of the country's overseas English training market. In addition, educational and training institutions, including Wall Street English, giant group, and education, are also planning to set up more training centres in the country.　　The 2006 China Education and Training industry research consultancy report shows that the number of chain enterprises in the training education industry has steadily increased, with the current growth rate of about 26% for the main training chain brands. Even though China's local training and education industry presents a bright future, industry experts believe that there are still some bottlenecks in the rapid development of the training education industry. "2006 China Education and Training industry research consultancy Report" shows that, first of all, the domestic training education market concentration is not high, the chain of low degree. A small number of authoritative educational and training institutions nationwide, and mixed. Secondly, the establishment time of enterprises is short, and the teaching reform of chain enterprises needs to be deepened. Many training and education programs have not distinctive characteristics, and have no own curriculum system, which harms the interests of students.