ANALYSIS OF COMPETITION IN GRADUATE (BUSINESS) EDUCATION INDUSTRY IN SRI LANKA

Abstract

The nature and degree of competition in the Postgraduate (business) education industry are largely dependent on competitive currents in the industry. National universities in Sri Lanka have traditionally had little competition, which has allowed them to ignore the effect of market forces. Over the past several years these universities have been at the height of their power and prestige and, proving that nothing may be as dangerous as success, have become myopic and complacent. Meanwhile, the business education industry has been undergoing dramatic structural changes and today faces competitive conditions completely different from those prevailing only a few years ago. To develop strategies for dealing with these contending forces and to grow despite them, national universities must realize how they should work in their industry and how they affect the universities in their particular situation (Porter 1976). Thus, the purpose of this study is to apply Porter’s “Five Forces Model” to assess the nature of competition in the university based graduate (business) education industry in Sri Lanka. The study which is basically exploratory in nature was based on the respective literature, secondary data, and in- depth interviews.  The study shows the competitive forces that are in operation in this industry may leave graduate business education in national universities in severe competitive condition. The analysis also shows that the national universities must fundamentally change the way they do business if they want to stay competitive.

Keywords: Competitive Currents, Five Forces model, Market Forces

For full paper: fmscresearch@sjp.ac.lk