1.1 Definition and general presentation of the market
A business school is an institution of higher education with a specialization in management and commerce The DEPP (Direction de l'évaluation de la prospective et de la performance) and the Ministry of Higher Education, Research and Innovation, classify business schools as follows three groups:
- Group I (76% of students) schools are state-approved and offer a minimum of 1 diploma sought (may be issued by the State) by the Ministry of Higher Education ;
- Group II: Schools state-approved but which do not deliver no diploma aimed at ;
- Group III: Schools not recognized by the State.
A distinction is also made between Grandes Ecoles (about 30 establishments) and the others. Finally, the schools are distinguished according to their status type (public, private or consular) and the training type which they deliver: Bachelor's, Master's, Mastère, MBA, Double Diploma, etc.
The types of training are themselves divided into two categories pre-service training (the student follows his first course of study there since the baccalaureate), and continuing education (the student already has work experience, and returns to school to train again: to develop his or her career).
The global market for business schools is in strong growth, particularly in Asia, where the number of students is growing exponentially and the reputation of its programs is increasingly recognized. Supply keeps pace with the demand from the growing number of students seeking internationally recognized training and diplomas. In this respect, France is a bridgehead with more than 10 schools in the top 50 worldwide for Masters in management
In France, the market is also rising sharply, with a 6.3% increase in student numbers in 2019/2020. The number of schools is increasing by more than 100 establishments in 5 years
The market is coming out of a privatization wave and thus sees increased competition. Schools are raising more and more funds for diversify their offer and defend their prestige . Financial resources are the key to the new competitive world of business schools, which compete in ingenuity to attract the best students and teachers
The French market is therefore highly concentrated and highly competitive, but this competition is established on different scales. The Grandes Ecoles are positioned on prestige and international influence, while more confidential schools target specific segments of teaching and practical skills
Economically, for the most prestigious (HEC, ESSEC, ESCP, EM LYON, EDHEC...) of the grandes écoles, continuing education is a real godsend, because with equivalent training, professionals are willing to pay the price for graduating from a first-rate institution. Moreover, it is often the companies that pay.
The trend is towards autonomy and ambition. Schools need the means to develop, and cannot indefinitely raise school fees. The classic model is being challenged and the supply is moving towards the soft skills and outreach abroad
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