Xu Yu, President of New World Education Group: a leader in Japanese language training

Editor's note: Carlyle recently invested 20 million dollars in New world education. Xu Yu, President of New World Education, said: "The English training market is very competitive, so we began to enter the field of language training from Japanese." I hope New World Japanese will become China's leader in Japanese language proficiency test coaching. The New World Education Group is a comprehensive education and training institution with Japanese training as its main business. At present, it has five major educational brands, including New World Learning Center, cherry Blossom International Japanese, new Pui Qing Children's education, Emmad Chinese training, Enterprise consulting. In early September 2007, Carlyle announced a 20 million dollar stake in the new world.　　Chinaventure recently interviewed Mr. Xu Yu, founder and president of New World Education Group.　　Chinaventure: How to establish Japanese as the main direction in the five major business of New World education? Xu Yu: The New World Learning Center was founded in 97 and was mainly based on computer training. At that time, the English market competition is fierce, the New World Learning Center to develop English training has some obstacles, so from the Japanese start into the field of language training. The exam-oriented training for Japanese language proficiency test is the current main business. At present, New World education is vigorously promoting high-end Japanese training, namely cherry Blossom International Japanese. We independently developed a lot of research and development products, including books and CDs.　　Since 03, there has been a new world of Japanese brand, through 3 years of effort, we now start to do the Japanese annual meeting, this year is the third time, this year in Beijing is the first time. We hope that New world Japanese will become China's leader in Japanese language proficiency test coaching, now we see 460,000 registered candidates in the market, New World Japanese now have less than 4% candidates, less than 20,000, but we occupy the Shanghai candidates 30%. That is to say, nearly 15,000 people are registered in Shanghai, and we have developed many markets in the north this year, such as Dalian, Beijing, Qingdao and other markets are very valuable.　　In the south, this year has just completed the Japanese language Conference Guangzhou station activities.　　Chinaventure: How are the various business developments now? Xu Yu: The current language training is mainly Japanese, Japanese share of the entire group of about 70%. In addition, there are small language training.　　Now the training of children's English development momentum is also very good, especially in Shanghai, Changsha, Guangzhou and other regions. It class vocational training is seasonal, accounting for about 5% of the group.　　Next year will vigorously promote a number of Japanese courses, such as training for Japanese companies software engineers, can take full advantage of the new world of Japanese language training resources and advantages.　　Chinaventure: What are the differences between Sakura International Japanese and New World Japanese training? Xu Yu: New World Japanese has been positioned as the main Japanese comprehensive training institutions, in favor of the general public class, in order to improve the ability of students to test. Cherry Blossom International Japanese is a high-end Japanese training organization, mainly to improve the students ' listening and speaking ability, practicality mainly. For people with certain Japanese needs, especially the elite white-collar type. Like going to Japan.Study abroad, or now work in Japanese-funded enterprises, improve the conversational ability of Japanese, or especially like Japanese culture. These are mostly young people, individuals and businesses. The proportion of individuals is larger, accounting for more than half.　　In the cherry blossom, all by the Japanese teacher teaching, there are 1 to 4 small class teaching and 1 to 1 personalized teaching.　　Chinaventure: What is the market share of New World education in Japanese training market?　　Xu Yu: Next year in Shanghai, the Japanese training market will account for 50%.　　Chinaventure: In addition to English and Japanese, how about the development of other small language markets? Xu Yu: We are the Japanese-oriented comprehensive training institutions, not just Japanese, so the small language market is also needed to cultivate. In addition to Japanese, language teaching has a regional limit, in Beijing Korean, German, French are very good, Jiangsu Spanish is better, Guangzhou is also Spanish, Portuguese, Arabic has a large market. In Shandong Korean market is very large, to participate in practical Korean test in Shandong and northeast students more. Because of the small language market regional relatively strong. Therefore, it is best to open up the market according to demand. Currently involved in this market a lot, but to make a few brands.　　We may do Korean market in Qingdao and Dalian.　　Chinaventure: Is the capital invested by Carlyle mainly used in Sakura International Japanese? Xu Yu: 2007 New World Education Group traditional business growth is relatively fast, such as the growth rate of young children education 150%, the growth rate is 40%, Emmad Chinese training growth rate of 30%.　　The 2007 Cherry Blossom International Japanese is more important is the growth from scratch. Now Sakura International Japanese expansion speed is really need to have funds to guarantee. 3 years ago I began to invest in cherry Blossom International Japanese, now cherry blossoms from the new World education wholly-owned holdings. To do cherry Blossom International Japanese is starting from the development of courseware, independent research and development of courseware is quite challenging. Because courseware is the core, need to consume a lot of financial, material and energy, of course its value is also very high.　　Xu Yu Chinaventure, president of New World Japanese: What is Carlyle's expansion plan after investing 20 million dollars? Xu Yu: Now New World Education Group will set up a school in a city, the school has a number of teaching points namely Learning Center.　　With a two-year target, the New World Education Centre now has 13 schools and 42 learning centres, with the hope of reaching 55 centres by 09.　　Sakura has 6 schools in Shanghai, Shenzhen, Beijing, Guangzhou, Suzhou, Dalian, a total of 8 centers, the end of this year will reach 12 centers. At present, new Pui Qing Children's education in Beijing opened 2 centers, 13 in Shanghai, 5 in Guangzhou, there are two in Ningbo.　　We hope to achieve a total of 30 centres by the end of 09. Emmad Chinese training will focus on the needs of Japanese-funded enterprises major cities, Beijing's future 3-5 no problem, Guangzhou 2. The main direction is to teach foreigners to learn Chinese by e-learning Way, because the foreigner is easy to accept the way of the network, will adoptLike Skype, online teaching through reality shows.　　Chinaventure: How will the Enterprise management training business develop? Xu Yu: Although we hope that management training in the group's business in the proportion can increase, but found in the development process, often the enterprise is to help teachers play brand, not teachers to help enterprises.　　I personally think that the management training market is relatively poor replication, so the expansion of the market is yet to be considered. Chinaventure: How do we address regional differences?　　How many autonomous rights do regional campuses have? Xu Yu: Each region's culture is completely different, such as eating in Guangzhou, wearing in Shanghai, while Beijing is a comprehensive city. We try our best to consider our local culture and use our talents. In addition, the group has standardized procedures, only the right to operate all branches, financial personnel are headquarters control.　　For each branch to do performance assessment, such as the annual financial growth rate has a certain demand.　　Chinaventure: Are there any new financing plans? Xu Yu: Before Carlyle invests, New World education relies on its own capital. A new round of financing is not considered for the time being, because the funds are sufficient. Carlyle's understanding of the education and training industry and the resources it brought, Carlyle invested in Wall Street English and was very interested in the education industry.