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YOUR TRUSTED MENTOR SINCE 2001
Is Market Driven Educational Model (Encouraging Privatisation

ivatisation in
nH h Education)
Higher
Good for Indias Future
Future?
le
Disser tation Samp
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underlying within the same. Hence, the present study analysed the perceptions of educational
pioneers
pioneers in IIndia
pionee ndia aand ttheir
nd th views
heir vie
vi towards
ews towa
tow ards pprivatisation
rivaatisation of
riv higher
of higher eeducation
duccation in IIndia.
du ndia.
public higher education institutions.
F
Fiindin
in ding
ngs
gs- The findings of the study revealed that a majori
Findings- rityy off re
majority espondents
spond nts claime
spondents
respondents laimed
claimed
privatisation to bring better prospects as the count
countrys
ountry s Gross
ross
oss En
Enrolment
Enrolment Ratio (GER)
GER) needs to
Conclusions and Implications- Privatisation

tion in Indian higher
her education should be
encouraged; however, there is a need to connect Indian universities with industries to mitigate
reas human capital.
job crisis which is prevalent with increased pital.
le
Disser tation Samp
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Table of Contents
Abstract ...................................................................................................................................... 2
List of Table ............................................................................................................................... 5
List of Figures ............................................................................................................................ 5
CHAPTER I: INTRODUCTION ............................................................................................... 6
1.0 Background ...................................................................................................................... 6
1.2 Research Objectives .......................................................................................................

................................ 10
................................
1.3 Research Questions ........................................................................................................ 11
1.4 Scope of the study ..........................................................................................................

................................ 11
1.5 Chapter scheme ..............................................................................................................

................................................................
................................ 11
CHAPTER II: LITERATURE REVIEW ................................................................

................................................................................ 12
................................
2.0 Encouraging privatisation in Indian Higher education .................................................. 12

ducat on ................................
2.1 Defining the terms ..........................................................................................................

................................ 13
2.2 Relationship between Liberalisation,

ation, Privatisation Globalisation........................... 15
on and Glob
2.3 Privatisation in the educational

ion sector ............................................................................ 16
tor................................
2.4 Privatisation of higher education

er educa ion context ....................................................... 18
on in Global conte
2.5 Privatisation in the Indian

dian educational
duca onal sector ................................................................ 21
nt policies
2.6 Indian government ies on pprivatisation of Higher education ................................. 25
2.7 Issues in Privatisation

rivatisation oof high
higher education in India ....................................................... 29
2.8 Need forr Priv

d ffo Privatisation
sation in hhigher education ..................................................................... 30
2.9 Politicall economyy of hi

higher education in India ............................................................. 31
studies ............................................................................................................ 33
2.10 Previous stud
arch G
2.11 Research Gap................................................................................................................ 35
CHAPTER III: RESEARCH METHODOLOGY ................................................................... 36
3.0 Introduction .................................................................................................................... 36
3.1 Research design .............................................................................................................. 36
3.2 Research philosophy ...................................................................................................... 37
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3.3 Research Approach ........................................................................................................37
3.4 Target population and sample size ................................................................................. 38
3.4.1 Sampling technique ................................................................................................. 39
3.5 Data collection................................................................................................................ 40
3.5.1 Data collection methods .......................................................................................... 40
3.5.2 Interviews in educational research .......................................................................... 40
............................ 40
3.5.3 Procedures for preparing for the interviews ............................................................
................................
3.5.4 Validity and reliability in interviews ....................................................................... 41
................................................................
................................ 41
3.6 Analysis of the interview................................................................................................
........................................................ 42
........................................................
3.7 Summary ........................................................................................................................
................................................................
................................................................
CHAPTER IV: RESULTS ....................................................................................................... 43
................................................................
................................
4.0 Introduction .................................................................................................................... 43
................................................................
4.1 Participants ..................................................................................................................... 43
ducat
4.2 Role of privatisation in higher education lopment in India .................................... 46
development
rds choosing
4.3 Perceptions of stakeholders towards hoos higher edu
education institutions ................ 48
4.4 Views of Indian Government

nt on priv
privatisation
tisat on ................................
............................................................... 50
4.5 Encouraging privatisation

ation in India ................................................................................. 52
ndia ................................
4.6 Private Universities

ies and hi sstandards
nd high rds oof higher education in India ............................ 54
4.7 Role of privatisation inn maintainin

maintaining equity and accessibility ........................................ 56
TER V: D
CHAPTER SCUSSION A
DISCUSSION AND CONCLUSION ............................................................. 58
5.0 Role off privatisat

privatisation towards satiating the ever-growing need for higher education in
n tow
India ...................................................................................................................................... 58
ndia................................
................................
ts of pr
5.1 Effects ivati
privatisation in Indian higher education ........................................................ 61
5.2 Governmental
rnm regulations and privatisation .................................................................. 62
5.3 Governmental regulations and privatisation .................................................................. 64
5.4 Implications .................................................................................................................... 64
5.5 Conclusions .................................................................................................................... 66
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REFERENCES ........................................................................................................................68
Appendix .................................................................................................................................. 82
List of Table
Table 1: Semi-structured interviews conducted with vice-chancellors and XXX of private

institutions ................................................................................................................................
................................ 39
List of Figures
Figure 1: World higher education enrolment rate ................................

......................................................................
................................ 7
Figure 2: Private Enrollment and Institutional Share in High cati n in Selected Asian
Higher Education
................................
................................................................
Economies, 20022009 ............................................................................................................ 20
Figure 3: Total number of Private aided, unaided
ided and
nd government
overnmen higher education
institutions in India (State-wise) ................................................................
.............................................................................................. 22
Figure 4: Total number of Private aided,
ided, pprivate unaided
aided aand government higher education
institutions in India (total) ................................................................
........................................................................................................ 23
Figure 5: Procedure to establish a priv te unive
private university ............................................................... 28
Figure 6: Participants in thee study ................................
........................................................................................... 45
loud of R
Figure 7: Word cloud ole of priva
Role ation in hhigher education development in India ...... 47
privatisation
Figure 8: Word cloud of Pe eptions of stakeholders towards choosing higher education
Perceptions
institutions ................................................................
................................
................................................................................................................................ 49
Figure 9: Word cloud
loud of Views oof Indian Government on privatisation ................................. 51
Figure 10: Word Cloud
oud of
of En our
Encouraging privatisation in India ................................................ 52
ure 11: Word
Figure rd Cloud off P
Private Universities and high standards of higher education in
India ................................
......................................................................................................................................... 54
dC
Figure 12: Word oud oof Role of privatisation in maintaining equity and accessibility ....... 56
Cloud
Figure 13: Estimated
tim 18-23 year old population in India- 2030 .............................................. 59
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CHAPTER I: INTRODUCTION
1.0 Background
to suc
succ
succeed
cee
eedd in their llife.
iffee. S
Success
ucce
ccess
ss in th
thi
this
is ccontext
onteext rrelates
ont elat
latees to ac
achievi
achieving
hievinng a cconsiderable
onsiide
ons derraable
ble rol
rolee aatt
work,
wor
wo rrk,
k, aatt ccom
omm
ommuni
unities
unit
ties aand
communities nd so on. To ssatiate
atiate tthe
he eever
ver inc
increasing
incr
rea
easi
sinng nneed
eed fo
forr eedu
dduuca
cation
cat
tion aand
education nd
rrequirements-
equir
quireements
ments- to m
meet
eet the eexpectations
xpec
ectation
tationss ooff eeducation,
duccation, inc
du incr
increase
rea
easse student eenrolment,
nrolment,
rolm
rol
olment, inc
incr
increase
rea
easse
wo
work
worrrkkffoorrce
workforce ce nneeds
eeds ooff tthe
he nnation
ation whi
which
whicch in turn aaff
fffffeeccts
affects ts ec
economic
econom
onomiic
ic ddeve
eveelopment
lopment pos
development positively
posiitively
iti
initiation of private ownership with the authoritative

ive pow
powe
power
er an
and
nd management
gement power resting
within the control of private individuals. Th
The control
ontrol in privatisation
ivatissati
ivati is in terms of
administration of money and decision making. In education, privati
privatisation is considered as the
expansion of private control over public on((Jonaki
ic good education
ion Prasenjit,
Jonaki & Prasenj
Jon n it, 2016).
nj
witnessed remarkable progress

roogress with more than
han 30 per cent of private enrolment globally. By
the year 2012, the num
numberr ooff student eenrolment
n in higher education institutions reached 196
million whereas ear 2000 was just below 100 million (Kassim et al., 2015).
ere thee same in the year
Private education
ation hhas been in ex
existence in many countries for years and is the traditional
mode of higherr eeducation
ucation in many Asian countries such as Korea, Japan and Philippines.
Many private
priv te h
higher --profit
ghe education institutions in the world are basically on quasi forrofit
forp or
f -profi
for
for -profit
profi
f t institut
fi institutions.
utioons.
ns. Countries such as Japan, Indonesia and the
e Republic off Ko
Korea
rea
ea witness
The impact of private sector could also be envisioned in the eastern European as well as the
African countries. Developing economies such as India and China are no longer an exception
and embrace private sector higher education. Researchers argue that privatisation in the
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higher edu
education
cation sector iss the cause
ca of neo-liberal
neo liberal policies, the limited fu
ffunding
unding of National
undin
(Rena, 2010).
Figure 1: World higher education enrolment rate
Higher education student enrolment rate

250
200
150
Number
Num ber of
o students
uden (in
100 illion
millions)
50
0
2000 2002 2004 2006 2
2008 2010 2012
Source: Adopted from UNESCO

CO (2016)
The expansion of highe

higher education
high du tion
ion in India
ndia is in a rapid
a
apid pace and the increase in
progress of higher education
ducati
ducat institutionss iin India discerns the growing knowledge
inst
education always
ways eexists
x iin
n the ccountry
ount and the participation of private sector is deemed to be
more iimportant.
mport nt. P rivaatisa ion
riv
Privatisationon in the Indian higher education sector has emerged in several
types and forms
r
rms over the years (Tilak & Varghese, 1983a). Privatisation takes place in the
ove
following forms
forms-
rms
rms
ms- in
introduction of self-
self-financing
lf financing courses in public higher education
lf-
institutions, transfo
institutions tr nsformation
transformation
rmation of a publ
rmation public higher education institution in to private institutions,
institutions
foreign collaboration universities (Jonaki & Prasenjit, 2016). The economic reforms which
were implemented in the year 1991, led the nation to adopt several changes. Open markets
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and liberal environments led to the emergence of private higher education institutions in the
nation. In the year 1995, legislations were introduced for setting up private universities in
India but the actt is yet to be im
mplemented. Lack of proper legislations fo
implemented. fforr private universities
eased state gov
overnments of the nation to set up private universities. According to the
governments
(Dhanuraj & Kumar, 2015).
The increase number of enrolment in private sector higher education institutions and
on ins
the number of private institutions in India increasing every year positively
ly ddefine
fin the success
of privatisation in the higher education sector. Education in this regard
gard is considered
onsidered to be a
tool to establish individual status in the community; hence the need for hig
d fo higher edu
education
i is
increasing in India. With better quality of higher education through
on delivered throu privatisation,
h priv
developing countries are positively regulated to benefit
fit from
rom knowledg
knowledge ba
based economic
developments (World Bank, 2000).
ed fo
Several challenges necessitated the need for privatisation in the higher education
sector of India. Firstly, the population of students (agee group: 15
15-35
35 years) in the nation in the
nd Altba
year 2010 was around 350 million and yar
Altbach and Jayaram (2010) predicted that the
lion in 2030. The previous researchers argue that the
numbers will peak at 485 million
Government will tremble to meet the nneeds of high
higher education only with public sector
institutions and meeting qu ity eeducation
quality cat needs fo
ffor such huge numbers is a complicated task.
Secondly, there occurs an
n unequ
unequal
al ba
balance in the number of urban and rural higher education
enrolment in the countr
country. Ernst
r
rnst aand
nd You
Young (2009) report states that the Gross Enrolment
Ratio (GER)
ER) in urb
r ann regions
rb
urban r gions oof the country is around 24 per cent whereas the same in the
rural counterparts
rparts is 7.5 pper cent. Thirdly, education
Thirdly the quality of edu delivered
d cation deli
du deliver
iverrreeedd by public
However, only
ly a few public higher education institutions such as Indian Institutes of
Technology (IITs) and Indian Institutes of Management (IIMs) satisfy the needs of corporate
organisations by delivering quality manpower resources (Sudarshan & Subramanian, 2012).
Indian government (both state and central) suffer from serious monetary allocations to fund
higher education which could be balanced through private sector. The enrolment of students
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in higher education institutions in India has grown phenomenally wherein the number of
enrolment is 25.9 million in 2011-12 and the same in the year 1970-71 was 2 million (Ernst
& Young, 2012).
1. Resource allocation- The resources allocated by the state and central

ntr government
to public higher education institutions does not facilitate the pr
proper
er management
of these institutions. On the contrary, private owners may fund cconsiderable
amount to maintain private institutions.
2. Sensitivity- Private sector institutions adopt changes flexibly
ges flex ibly whereas the ssame is
not possible in public sector institutions.
3. Quality- Better quality of education is provided private sector
ovided in privat institutions rather
tor inst
than public sector institutions.
4. Accessibility- With more number off educa
educational institutions, private sector serves
ion l institu
to cater the educational needs
ds of aall citizens India.
ns in Ind
nments may
5. Reduced burden- Governments ay concentrate
ate allocating resources to other
sectors (Patel, 2012).
Thee rreforms
Th effoorms ooff eeducation
ducattio
ducation
duca ion in IIndia,
ndia, eespecially
speecial
sp iallly with the lliberal
iberal mo
mot
motives
tives ooff the Gov
Gove
Government
ernm
rnmeent to
aallow
llow pprivate
rivat
ivatee ppartic
aartic
rticipation
rtic ipation in the hhigher
participation igher eeducation
duccation ssector
du ecto
torr und
underline
undeerlin
rlinee th
thee pperception
erce
cept
ptiion ooff th
thee
contrary, globalisation
lobalissa
lobali will bring development in education through technology,
communication and knowledge. Due to privatisation, the quality of education delivered
becomes industry oriented and the increase in globally acknowledged higher education
institutions transforms India into a knowledge hub (Naik, 2015).
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educational access is affected. A study by Chougle (2014) on understanding the perceptions

of college teachers towards privatisation in Indian higher education revealed several
weaknesses. The perceptions were ranked wherein the cost of private higher education
education
acquired the first rank. With the increased cost for higher edu
d cation services by private
du
commitment (Chougle, 2014).
rivate sector participa

There are contradictory ideas regarding the feasibility of private participation in
laim the de
the Indian higher education sector. Though different researchers claim stating rol
devastating role of
ecessitates ssuch
privatisation in the sector, the economy of the country necessitates ch pparticipation.
rticipat The
ideologies on equity and accessibility are questioned since pprivatisation
ivati ion hahas both positive and
negative eff
ffe
ff
fects on the fa
effects ffactors.
ctors. While privat
ivate sector
private tor instit
titut
ittut
utions
ons aid inn me
institutions meeting the ever-
growing demand for higher education in a hig
highly student populous
populou nnation, the cost of
of funds to public institutions to create

tee oppo
oppor
opportunities for youngsters to pursue higher
education as feeble resources are all
lloo
allocated ffor
foor higher
her education purposes of the country.
These inferences act as the pre ise to the present
premise nt stu
study which is based on the analysis of
private participation in Indian higher education
cation sector. Privatisation poses both advantages
er analy
and disadvantages; however sing the same leads to a clear understanding of the impacts
analysing
of privatisation in the high
higher ed cation se
education sector. Hence, the present study analyses whether the
market driven
iven appro
aapproach
ch of Indian hhigher education is advantageous for the future of the
nation.
1.2 Research
esearch
rch Objectives
Obj
Obje
1. To determine
term
r ine the effects of privatisation in Indian higher education
rm
2. To examine the role of privatisation towards satiating the ever-growing need for
higher education in India
3. To analyse and interpret the perceptions of educational pioneers towards the market
driven higher education market.
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1.3 Research Questions
1) What are the effects of privatisation in Indian higher education?

2) Does privatisation in Indian higher education satiate the ever-growing needs of
student population in the country?
3) How do educational pioneers in India view privatisation of higher education?
1.4 Scope of the study
The scope of the present study is bound within the limits of examining
g the effects of
privatisation and market driven model in Indian higher education. Hence, the pre
present study
focuses on the regulations regarding privatisation in different states
es of the country wherein
ountry where
the laws are varying for each state in the nation.
1.5 Chapter scheme
The first chapter covers the introduction of the stu

study wh
wherein
rein the bbackground of the
study, the research objectives and the scope are elucidated.
lucidated.
The second chapter is the literature

teratur review in whi
which the knowledge which is
previously discussed relevant to th
the present
ent topic of the research will be identified and
analysed. The chapter further elucid
lucidates the findings of various researchers who devised
elucidates
ontext of the pr
researches similar to the context esent sstudy.
present udy
The third chapter covers the rresearch methodology. The different methods of data
collection, and the analysi
analysis techniques
hniques used will be elucidated following which the type of
h methodol
research methodology used in the pr se study will be explained
present
The fourth
th cchapter
a ter will
ap wil cover the results. Different techniques are used to analyse the
variables
bles off the stu
study.
dy. T
The results of the study will be analysed, examined and summarised.
The final cha

chapter will be discussions and conclusions. The findings of the study will
be discussed elaborately and the conclusions will be stated. Additionally, future studies in the
same context will be recommended.
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CHAPTER II: LITERATURE REVIEW
2.0 Encouraging privatisation in Indian Higher education
The present chapter of the dissertation is dedicated to understanding the different

literatures on the subject of privatisation of higher education and India since its independence
ation in the country is
in 1945. Ever since India attained the status as a republic nation, educ
based on the principles of empowering the citizens of the nation and the responsibility of the
state is to create an environment which enables all its citizens to be empowered.
mpow In this
regard, the Government of India adopts strategies to maintain the growing
ing population and
increasing rate of youth through the creation of capacities. Over the years oof developm
development in
ies bby invest
the Indian educational sector, the Government is enlarging its capacities ing more on
investing
enhancing the existing institutions. During the year 1950-51, th
theree w
weree aroun
around 28
universities and 578 colleges in the entire country while the sce
scenario of today is widened.
tit ons, especially
India is now the hub for a number of educational institutions, spec nst
institutions satiating
higher education needs. In 2014, there were a totall of 36,812 colleges
olleges (20,390 colleges
private institutions and 6,768 public colleges) in the countr
country which transforms India as the
knowledge spot for more than 20 million students enrolled
ion stud olled in these institutions (Shankar,
2016). However over the last two decades,
s, the nee
need for skilled
led labour and practical expertise
mand for exp
is increasing wherein companies demand rtise, education and skilled manpower. In
expertise,
eeds for manpo
order to meet the growing needs manpower in an ever-evolving economy, privatisation
aids with complementing the public
publ edu onal inst
educational institutions. Over the past decades, the factor
called capacity creation is stee
steered
d with the aid of private institutions. The emergence of
higher education in India began
ega in the mid-1980s which is to subsidise the investment
reduction of the Gov rnment and the states towards education. The share of the private
Government
unaided ins
institutes
tes is 43 per cent in 2001 and the percentage of students is 33 per cent.
er ce
ver, the percentage
However, rcenta e ros
rose and in the year 2006, the percentage share of private
institutionss was 64 and the percentage of students rose up to 52 per cent (Sudarshan &
Subramanian,, 2012).
Privatisation has always been a hot topic of debate and the country has been
witnessing resistance. Though in the beginning when privatisation is a part of the economic
liberalisation scheme, the nation was dormant; however, much resistance arose when the
intricacies in privatisation were found (Kapur & Ramamurti, 2002). However, previous
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researchers also argue the benefits of privatisation of Higher education in India wherein
previous studies and reports claim privatisation in other developed and developed countries to
be a great success. Feith (2012) projected the market for international higher education and
claims that the demand for higher education will surpass China. The previous researcher
argues that market driven policies can only meet the increasing demands of higher education
in India. Hence, the present section intends to analyse the present status of privatization in a
broad context envisioning the role of privatisation all over the world and its impact in the
educational system. Further narrowing the topic towards the impact of privatisation in
educational system of India, previous literatures pertaining to the context of the ppresent study
will be reviewed and analysed.
2.1 Defining the terms
Privatisation
Privatisation is the fundamental part of the pub

pu
public refo
reforms
r
rms and is the core theme
towards enhancing the efforts of the private sector. For mos ountr
most countries in the world,
privatisation is the key to development in alll aaspects; how ver the ob
however, objectives of the countries
eed for privatisation
differ based on the capabilities and the need on in these companies. Though the
privatisation objectives of each country differ
ount diff
differ bas
fe based on the needs and capability, depending
on the development and the social ggoals
als of the country, the following factors are considered
ld op
and the private sector should rate to sservee the cause: improve efficiency, improve
operate
ice, inc
customer/ consumer choice, eased competition,
increased ompetition, mitigation of public debts and budget
tending the share ownership
deficits, and extending own in the private sector. However, all these factors
on the whole should aid with enh
enhancing
ncin the productivity and efficiency of a nation, thereby
acting as the growth engine (Ddumba-Ssentamu & Mugume, 2001).
nations economy
gine of a na
Furthermore,
Fu Privatisation is also defined as the process of increasing the productivity
re, Privatisat
iency of the pr
and efficiency private sector thereby fostering the development of the private sector
(Naya, 1990). However,
we in simple economic terms, privatisation is the transfer of the
activities of the stat
state to the private sector which occurs in partial or whole, or by the sales of
assets which is followed by liquidation (Ddumba-Ssentamu & Mugume, 2001). In terms of
higher education in India, privatisation is the only feasible way to increase the Gross
enrolment ratio (GER) of students in higher education wherein a minimum of 30 per cent
GER could be achieved with the establishment of additional 800 universities and 40000
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private colleges within 2020 (Gupta & Gupt, 2012). Hence, privatisation especially in higher
education in Indian is seen to provide better accountability and quality of educational
experience for the students therefore these institutions are more sought after for admission by
students than government run institutions
Liberalisation and privatisation
Liberalisation is defined as the transformation of market structures which is facilitated

e economy,
by the responses of companies and new entrants into open/ free market. In a liberal
the shares of the market transform are liable to change rapidly, and the competitive
mpetitive scenarios
between small and large scale firms determine the growth of this ma
market, whether the
rket, wh
concentration will be more or less (Kambhampati & Kattuman, 2003)
2003). Over three decades
decades,
developed and developing economies have been witnessing privatis
privatisation publicc ssector
tion of publ
services. The recommendations of the International Monetary
ry Fund (IM
(IMF)
F) and the World
Bank are towards the privatisation of public owned enterprises
nterp
r rises
rp ris which is a suggestion to
increase revenue, enhance the health of public finance, inc
increase
se the pproductivity and
efficiency, thereby reducing the intervention of gove
government (Megginson & Netter, 2001).
ment (Meg
Among the different aims of privatisation
on of public enterp
enterprises
r r
rp aand services (Villalonga,
2000; Sheshinski, 2003), the predominant goal of privatisation
nt go ion is to increase the efficiency
Kilica
and productivity of the economy (Kilicaslan ett al., 2008)
2008).
Globalisation
balisat on is still in stages of integrating the nations all across the

The process of Globalisation
globe and is related with the concepts off priv
privatisation. Following several changes in the pace
cal ddevelopments,
of technological lopments, econom
economic liberalisation, and the importance of international
laws, national economie
economies are evolving
volv continuously and globalisation has delivered these
countries into a state of competi
es in competition
ompeti which is very different before liberalisation in developed
and developing economies.
loping econom
onom The term Globalisation is not a sudden trend in the global
tain
market. It is the sustainment of developmental activities in the economies of different nations
and is still in its ddevelopmental stages. Liberalisation of economic activities in a country
differs from one another with economic agents which are connected on marginal basis and
are resistive towards failure in the neighbourhood nations. Immediately after the post-World
war-II period, the rapid growth in the developments of foreign trade is embraced by
developed nation in the 1950s and 1960s; however, Foreign Direct Investments (FDI) in
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developing economies paved way for globalisation. Over the past two decades, trade and
economic liberalisation improved the economies in the world, thereby integrating the world
into a highly integrated system. Following are the three predominant features of globalisation
steering the integration of global economies.
i) Product internationalisation with changes in the production structure

ii) International trade expansion
iii) Expansion of international capital flows (Mrak, 2000).
The Article 25 of the Companies Registration Act defines the estab

establishment of
educational institutions in India which can only be set up by ttrusts
sts and charitable
organisations. However, the act lacks clarity about foreign universit
universities ssetting
ing up in India.
The government of India is adopting liberalisation policies to allow foreign in
llow foreig investors
establishing private educational institutions in the nation (Amandeep,
ion (A ep, 2016).
016) Similar to the
studies by Kilicaslan et al., (2008) and Megginson & Netter, (2001), thee ggovernment of India
etter, (200
attempts to liberalise its policies on foreign investment privatisation
ment and privatisation in order to improve
the economy.
2.2 Relationship between Liberalisation,

rali Privatisation
atisa and Globalisation
There is specifically a relationship

lation existing
xist be
between the three factors: Liberalisation,
isatio (LP
Privatisation and Globalisation kri et al. (2011) argues that there exists a
G). Boubakri
(LPG).
bera ation and globalisation,
relationship between liberalisation lobalisa and privatisation. The researcher argues
rofound
f
found
that privatisation has profound eff
ffe
ff
fe
effects on globalisation as increasing the participation of
private sector in fo
fforeign
reign investm nts thereby promoting capital inflow, technology and
investments
ment ski
management skills off th
the compa
company. Since globalisation turns the market environment more
ompetitive, the GD
competitive, GDP gro
growth is also enhanced. In the same context, Goyal (2006)
investig
investigated the role off globali
globalisation on developing countries with special reference to India.
Over the years, the integration of societies and economies has been a debatable topic.
onom like China and India witnessed tremendous growth after adopting the
Developing economies
model of Liberalisation, Privatisation and Globalisation and the rate of poverty in these
nations declined steadily (LPG). However, globalisation has been controversial since a
number of oppositions internationally were generated based on inequality and degradation of
environment. This necessitated the study of impacts of globalisation in developing nations
from the perspectives of FDI. After the foreign exchange crunch which dragged the economy
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to loan defaults, India opened up its market in the early 1990s. As a response to the economic
liberalisation, a number of foreign investment companies established their businesses in the
nation. The policy changes invoked a more open market economy. Goyal (2006) further
argues that the Government of India should analyse the best opportunities within the
globalisation and privatisation schemes since the target of the world is towards developing
countries such as India and China. The US and the countries of Europe are defined
economies, hence economic experts argue that India and China may overtake the US and
European countries thereby becoming a major economic power in the forthcoming
or decade
(Goyal, 2006). The technological revolution which is coupled with the processes of
liberalization, privatization and globalization (LPG) has transformed
med knowledge
owledg as the key
mer nce off the knowl
basis for nations to compete in the global environment. The emergence knowledge
onomic be
based society has further accomplished several economic efits of de
benefits elo
developed and
developing countries for which researchers claim the re son to be the LPG
reason PG model. Education
and globalisation are mutually dependent terms. Globali
Globalisation
ation is the pprocess of imparting
efficiency and competitiveness and in the educational
ducational sector,
ctor, it means transforming
e(Rani,
knowledge into an accessible to all resource
e( Rani, 2010) . Ray
R (2015) states that with the
new policy reforms associated with thee lib on, privati
liberalisation, ti and globalisation schemes,
privatisation
the science and technology wing off India hhas witness rrapid growth, enabling increased
enrolment in higher education the
thereby increa
increasing
g the knowledge base for IT and skilled
labour force.
a m et al
According to Gau
au
Gautam al. (2015)
(2015), the LPG model has influenced almost all the
sectors in India and the higher education
ducat wing is no longer an exception. The Government of
ivatisation as the mos
India claims privatisation most feasible mode to satiate the growing need for higher
education in India
India. This will be reflected in the following sections wherein the role of
ivatisa
privatisation in educational
ducation
onal sector both in developed and developing countries are elucidated
following whi h the context
which t of LPG in Indian higher education is expatiated.
2.3 Privatisation
atio in the educational sector
In broad terms, privatisation in the educational sector is referred to as the policies

which promote liberalisation and deregulation thereby establishing a market in education or
creation of a competitive environment between private and public education providers
(Lubienski, 2006). Different countries identify privatisation to increase the efficiency of the
educational system in two ways.
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i. Delivering education to the inaccessible communities

ii. Improving the quality of education thereby nurturing competition
Though the governing bodies of countries view education as a public good to the
population, privatisation of the education sector enables the equilibrium between the
education provider and the choice of the consumer. In a private institution, the type of
product offered and the fee for these products are fixed by the private education providers. In
a privatised educational setup, the consumers of the education as good (parents and students)
will possess the option to decide the type of education and the charge that they
hey wish to spend.
Instead of standardising education through free state education, private owners feel the need
to satisfy the educational needs of the consumers. Additionally, the profit
f motives are set by
rofi
fi
these private education providers. An implication of privatisation
ivatisa on is that there will be a
remarkable growth in the generation of quality assurancee and national
ational assessment systems
which seek to enhance the information quality thereby creating
y cr eatin betterr ch
choices
ices for consumers
(Benveniste, 2002).
Privatisation in the educational sector

tor is unfolded in
n three ways. The three ways are:
i. Outsourcing state specific activi

activities and op
operations
ions to private education providers.
ii. The introduction of self-regulatory
elf
lf
lf- ulatory and market-based regulations which forms the
ulation of the edu
deregulation cation ssector
education tor
iii. Provisions forr educational
ducat al institut ons which are either funded by the state with the
institutions
regulations of the public or independ
independently.
All the aforeme ion d appro

aforementioned aapproaches
ppro could be considered either simultaneously or
balancing each other oor may even on one of the three modes. Some approaches are
independ
independent; however some
ome complement each other. For instance, the emergence of more
private
ivate educational institutions and at the same time these institutions offering more choices
onal institut
for enrolment these institutions. In developed countries, privatisation of education sector is
olment in thes
encouraged forr the growth of education in these countries. These countries offer vouchers to
encourage student enrolment in private institutions, and tax credits to parents (Belfield &
Levin, 2002). However, this is not feasible as in the case of developing countries wherein
there will be no possibility for the Government to fund and encourage private education
which limits the philanthropic scope of privatisation in developing countries (Pedr et al.,
2015).
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The Global education 20/20 report (Economist Intelligence Unit, 2009) claims the
role of private sector in education. In this regard, 211 respondents were surveyed wherein 123
respondents belonged to the private sector companies and 88 from educational sector. The
survey was conducted by Economist Intelligence Unit in February 2009 which discerned the
role played by the private sector and analysed whether the same regulates positively or
negatively the traditional education. The survey covered questions regarding the importance
of privatisation in the educational sector wherein 70 per cent of the respondents revealed such
privatisation to be important. However, the role of the private sector varies
es from country to
country. The survey further revealed the success of voucher-system wherein the system
stem where
increases the performance of the schools (The Economist, 2007). In Swe
Sweden, higher
rland is provided
education for students belonging to the EU nations and Switzerland ovided freee of cost
which is facilitated by tax revenue (Swedish Institute, 2013). In P rtu
t gal, the United States
tu
Portugal,
and Japan, private institutions are funded by the state and mostly
ly sserve
ve as not-for profit
organisations. In Japan, around 77 per cent enrolled in pr
private
ivate institutions
ution delivering higher
education (Varghese, 2012). However, not all countries
untries aallow privatisation of educational
ow the privati
sector, and not all corporations aspire to do so. Th
The report furt
further
r h reveals the emergence of
rt
private corporations taking care of thee edu
education sector all around the world. Based on the
ctor al
results of the survey, it is deemed that privatisa
privatisation in the edu
education sector is important since
the idea of the respondents is privatisation
rivati on bbrings better education (Economist Intelligence
Unit, 2009).
2.4 Privatisation off hig

higher
er edu
education
on iin Global context
A shining
g examp
examplee of a w
well-established
ll- system of higher education that is both
tative, dive
qualitative, sified and avail
diversified ble to all sections of society is the one prevailing in the U.S.
available
The privat
private sector is a majo
major contributor to the system at various levels. But the private
tor role is gen
sector's ally limited management and philanthropy. Though there is great
generally
sity among unive
diversity universities and colleges, the fees of students constitute lesser than 50% of
tal bud
the total capital budget and operating costs. Donations, royalties, research grants, licensing,
and auxiliary services account for the remaining (Sunder, 2010).
Many nations (for instance, the United States) have a chequered past of development
of the private sector. In most of the other nations (for instance, Latin American nations), the
private sector came on the scene more than five decades ago but significant growth was
achieved during the very end of the 20th century. In various regions of the world (for
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instance, African and post-communist European nations), the private education sector is
relatively new. Proprietary institutions, for-profit and non-profit organisations comprise the
private sector. Institutions that are proprietary characterised by profit-seeking behaviour
and driven by the market driven, with centralized and business like management systems, in
addition to a weak academic culturecan be defined as the pure form of privatization
(Holzhacker et al., 2009). In the United States there have been many private, not for profit
higher education institutions for many years like Stanford University, Massachusetts Institute
of Technology etc. On the other hand, the University of Phoenix in the U.S. is private and for
profit. There are many private providers in the UK higher education whic
which fun
function on a not
for profit basis (Shankar, 2016).
The share of higher education in the entire world account

accountss to 31 pe ent with the
per cent
ivate higher
highest share of 35 per cent of students enrolled in the private her eeducation
ducat ins
institutions of
ons in mos
Asia and the pacific. About 50 per cent of the institutions most of the regions
gions of Asia and
mpare with the number of enrolment in the
the pacific belong to the private sector. When compared
public institutions, the growth of enrolments in tthe private edu
education sector is phenomenal.
Countries all across Asia enacted regulations
ulation and policies to mana
manage private higher education
ed on quality of educ
institutions; however the issues based education, the equitability towards
a
abi
education access and the affordability off students towards paying for private institutions are
ountr s (A
challenging for developing countries (Asian Developm
Development Bank, 2012).
Three stages of priv te sector emergence

private rgence into the educational sector are elucidated by
Geiger (1986). The threee stage
stages are pperipheral private, parallel public and private education
sectors and the extensiv
extensive private higher
ghe education sector. In the peripheral private stage, a
countrys publ
public higher
ghe educa
education
on sector will dominate and the role of private higher
education
tion institutions will bbe peripheral.
riph Developing countries normally adopt the peripheral
private
ivate model where the ccountries are deeply rooted in socialistic principles. Developing
countries Viet Nam and the Central Asian republics fall into this category. Secondly,
ountries such as Vie
the parallel public and private higher education sectors are a reflection of higher education
institutions operating in parallel. The examples of countries adopting such system are Hong
Kong, China, Malaysia, and Thailand (Chealy, 2006). Thirdly, the extensive private higher
education sector is the combination of more number of private educational institutions and
the high degree of enrolment in private higher education institutions. The Republic of Korea
and Japan are the leading countries with high share of private higher education enrolment in
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the East Asia (more than 77 per cent of enrolment shares and 90 per cent of institutional
shares), following which Indonesia and Philippines with 70.9 per cent and 60.9 per cent
shares in private higher education enrolment and 97.3% and 72.2% shares in private
institutional number respectively (Asian Development Bank, 2012).
Figure 2: Private Enrollment and Institutional Share in Higher Education in Selected

Asian Economies, 20022009
120
100
80
Percentage
60
40
20
0.0
0.0
Private
vate ppercentage
rcen of total hi
higher education enrollment
Private perc
Priva percentage of total Higher education institutions
Source: Adop om Asian D

Adopted from velo
Development Bank (2012)
From Figu
Figure 1, it is evi
evident that the number of private educational institutions and the
share of pprivate hig
higher edu
education enrolment in India are somewhat not in line with the
developments of other
othe countries. Though India is the second populous country, the number of
enrolments is low
lower than the other Asian nations such as China, Phillipines and Korea.
However, the Gross Enrolment Ratio (GER) for higher education (in general to both public
and private sector institutions) has doubled over the decade wherein the GER is 9 per cent in
the year 2002-03 and the same is 24 per cent in 2013-14. Shankar (2016) relates such
enrolment to be associated with the emergence of private higher education institutions which
remarkably increased the higher education enrolment rate of students.
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2.5 Privatisation in the Indian educational sector
Despite the fact that many nations including the United States view private sector as
philanthropic, the same cannot be stated in the context of India. In sharp contrast to the
definition, genuine not-for-profit colleges or educational institutions in India obtain nearly
100% of their total income from fees collected from students, since income from other
avenues is less. Whereas in educational institutions/colleges that are set up as for-profit;
either by overt admission or discreet actions; the total fees collected from students is enough
to cater to all the overheads and also generate a return on investment. Sinc
Since very little
benefits are available for innovation, research, and doctoral education, the fin
financial model
comes in the way of improving the quality of education that has been
een provided institutions
ided by institut
comprising a major part of the increase in admissions (Sunder, 2010).
r, 20 0)
In terms of number of students, the Indian ranking

king in higher
ankin her education
duca system is
number three, behind China and the United States.
s. However,
eve the advantage
ntag in India is that
English has primacy as the main language for higher educ
education
tion and research. Comparatively
nd resea
11 per cent of India youth complete higher education
ducat on aagainst
ainst 20 per cent in China. The
important governing body with overall regulatory control
ll re ontrol oof universities is the University
Grants Commission (India), which ensures compliance of stand
nsures comp standards, acts as an advisor to the
n tthe centre
government, and liaises between ntre and
nd states. Higher learning in India is
accomplished through Universities and constituent
ituent colleges. As on 2011, around 227
ble in India that is recogn
Universities are available recognised by the Government which includes 11
eemed Unive
Open universities, 109 deemed Universities, 20 Central varsities and 87 state universities. A
arsities in India hav
majority of the varsities have col
colleges affiliated to them where undergraduate courses
ted (Si
are conducted h, 2009).
(Singh,
le
Disser tation Samp
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Figure 3: Total number of Private aided, unaided and government higher education
institutions in India (State-wise)
All India
West Bengal
Uttrakhand
Uttar Pradesh
Tripura
Telangana
Tamil Nadu
Sikkim
Rajasthan
Punjab
Puducherry
Odisha
Nagaland
Mizoram
Meghalaya
Manipur
Maharashtra
Madhya Pradesh
Kerala
Karnataka
Jharkhand
Jammu and Kashmir
Himachal Pradesh
Haryana
Gujarat
Goa
Delhi
Daman & Diu
Dadra & Nagar Haveli
Chhatisgarh
Chandigarh
Bihar
Assam
ssam
Arunachal Pradesh
sh
Pradesh
Andhra Pr
Andaman & Nicobar Islands
obar Island
0 5000
0 10000 15000 20000 25000 30000 35000
total
tal government
total private private aided
Private unaided
Source: Adopted from Ministry of Human Resource Development (2015)
Elementary and secondary education is imparted in schools in India, while the third
level i.e. higher education is provided in colleges and universities. The education sector has
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two types of providers - private and public. Private institutions are classified into two types -
aided (partly bankrolled by the government) or unaided (self-funded). Public institutions are
setup, bankrolled and entirely managed by the concerned department of the government.
Whenever the government's efforts to impart education in a manner so as to be accessible to
all, falls short of the planned target, the private sector steps in to fill the gaps. The generally
accepted norms is that motivation for the private sector is profit, however, when the private
sector is involved in education, profit should not be the driving force. Experts opine that
particular private sector players in the education sector lower the standards oof education as
they do not adhere to the laid down norms, and preclude certain categories
es of students due to
the inexorbitant fee structure. But, the contrary view held by few experts private sector
perts is that privat
involvement is a necessity to improve quality with added investment, to eencourage
coura
competition in higher education (Shankar, 2016).
Figure 4: Total number of Private aided, private un aide and gov

unaided ern
government higher
education institutions in India (total)
Indian Higher
er education
ion co
colleges
ege
Private Un-Aided
Private aided
Government
rce: Adopted
Source: Adopte from
f o Ministry
fr i of Human Resource Development (2015)
Despite the progress made in education after decades of independence, higher

education in India requires to perform better in the crucial areas of Access, Equity and
Quality. Sudarshan & Subramanian, (2012) are of the view that imparting qualitative, higher
education that matches global standards at a reasonable cost is one of the most important
issues before the nation. They further state that if India does not take appropriate steps on a
war footing, then the situation would turn grim wherein a large number of youngsters would
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be looking for higher education and the system will be unable to accommodate all of them.
People in the age group of 15-35 years estimated in the year 2010 to be more than 350
million, is projected to peak at around 485 million in 2030 (Altbach & Jayaram, 2010). To
complicate matters further, the higher education Gross Enrolment Rations (GERs) shows
disparity among states, urban areas, rural areas, gender and communities. As per statistics of
Ernst and Young (2009), urban areas have a GER of 23.8 per cent whereas in rural areas it is
a dismal 7.5 per cent. Delhi has a GER of 31.9 per cent while Assam is at the bottom rung
with 8.3 per cent. The richpoor and the ruralurban gap witnessed in India
ndia has serious
detrimental effects. The best way to narrow the gap would have been to ut
utilise
se education to
bridge the divide. But, as can be witnessed from the statistics, the disparities pronounced
sparities are pr
when it comes to uniform access to education to all, which only ends up highlighting
hlighting the
divisions seen in society. The main reasons for the sorry state of aff
ffa
ff
fairs is aan outdat
affairs outdated
curriculum, undue emphasis on theory, diluted focus on rresearch
h and
nd soci
social sciences,
indifferent attitude towards innovation, low morale and lack of mo ivation among teachers
motivation
g and regulatory
and researchers and the lack of a proper monitoring gulat ry mech
mechanism. Therefore,
when the National Association of Software and Servi
Servicee Compani
Companies, (2005) tabled the facts
that only 25 per cent technical and 10 per ce technical graduates
cent non-technical d were of employable
ruth. On
standards, it was not far from the truth. One mor
more fact in support of this report was the
practice in most companies that recruit
recruited fr
ffresh
esh graduates, trained them to bridge the gap
between the requirements off the industry
indu and the
he actual output passing out of educational
institutions. This was done
ne at hea
heavy cost to the indu
industry, pointing to the disconnect between
education industry standards.
rds.
It is not feasible government to cater to all the higher educational requirements

sible for the governm
of India. This could be because th
the allocated public expenditure on higher education as a
percentage
ntage of Gross Domestic
ross Domest Product (GDP) is a mere 0.6 per cent (Ernst & Young, 2009a);
mestic P
this is qui
quite low
lowerr than wh
what developed nations like the United States (US), the United
Kingdom (UK) and China allocate on a per-student basis. In order to fulfil the demanding
namic economy, private entities have established institutions to supplement
needs of a dynamic
public educational institutions that are beset with problems of meeting capacity. Professional
or higher educational courses like engineering and Master of Business Administration (MBA)
has attracted a lot of privatisation efforts, constituting a majority of the total courses on offer.
The courses and institutes of private sector in pharmacy and engineering are a staggering 90
percent of the total institutes and courses. The data is ample proof that private enterprise in
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education is now a vital part of the education scenario which cannot be reversed. Critics who
hold the view that education is a social necessity best handled solely by the Government will
be unable to offer a solution to the challenges faced by higher education, in the context of the
scale and complex nature, which cannot be handled by the government alone with the
resources at disposal(Sudarshan & Subramanian, 2012).
Reformist policies of Liberalization, Privatization and Globalization (ins short - LPG)

ushered in sweeping changes resulting in the emergence of India as a powerhouse of educated
manpower with more than thirty thousand institutions imparting education to aroun
around twenty
million enrolled students (Gautam et al., 2015). Since then, the government has attempted
ent ha
investments to increase capacity and to improve the existing infrastructure.
rastructure The time hhas
come to credit the private sector with the supporting and at times
mes leading played
ding role pl yed in the
phenomenal success in higher education in India, since a vvast majo
majority
ity of students are
presently undergoing courses in private institutions.
With the Government of India, UGC and

nd AICTE welcoming
TE welcoming private enterprise in the
education domain, high and sustained growth can
n be predicted. The government needs to
encourage privatization of higher education
cation by concentrating
ntrating on the qualitative aspect of
n higher education in India, and the perception of
colleges. Visible changes are observed in
nged from one of suspicion
private sector participation has changed usp to an accepted and appreciated
on, 1992 aand
facet. The Program of Action, nd the National
ional Policy of Education (NPE), 1986 are
policies that control higher education
d ca on in its pres
du present form. The National Policy of higher
med on the bbasis of the Radhakrishnan Commission Report (1948
education in India was framed
othari Com
1949) and the Kothari iss on Repor
Commission Repo
Report (19641966) (Partima & Singh, 2014).
2.6 Indian government

govern ent policies
polici on privatisation of Higher education
The augmentation
Th g entation of higher education has been viewed sceptically and the rationale
has been questioned,
stioned, viewed in the context of related academic and social costs. However,
d, vi
nt is refusi
the government refusing to budge from its earlier assurance, considered as the fulfilment of
nationalist ideals and as an intrinsic part of its fundamental responsibility as a welfare state.
View prudently, government recognition of the people's desire for higher education means
that restricting access would be detrimental. This is also influenced to a large extent by the
desire to have enrolments comparable to that in North America and Europe. This desire is
lent support by the repeated reports of World Bank that highlight the benefits of higher
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education. It also conforms to the government view that by enhancing profile of its populace,
the disillusionment in society as a result of underemployment and unemployment can be
contained. But, in the face of public demand and the pressures of politics seeking the
accomplishment of standardisation of primary school education (which should have been
achieved before the end of the Second Five Year Plan, in the year 1961), the government has
concluded that continuation of subsidisation of higher education which has been the practice
for last 5 decades is no longer tenable. Simultaneously, one segment of the population can
afford prohibitive costs of higher education facilities offered by a few private ins
institutions and
by foreign universities. Hence, the government is regarding privatization.
za on. But, it is
apprehensive on two counts. The first and foremost is that there would bbe disparity among
those can afford to pay more and those who would not be able to aff
ffo
ff
for Th
afford. cond is tha
The second that
el where it transforms
commercialisation of higher education could progress to a level r itself
rms tself into
one that is entirely market driven.
Hence, the government intends to extend the syst

system that is in practice in many states
for the last ten years. A vast number of institutions
ons oof higher education hhave been established
igher educ
and managed by private entities. A sizeable
ble pproportion institutes are run with funds
ion of such inst
ided and these funds take care of maintenance and
from the government, classified as aided
operational costs. Irrespective of their status as aid
aided or unaided, private institutions without
exception charge fees identical in stru
structure and amoun
amount. Additionally, in all matters
pertaining to administration and academics,
cade ics, all inst
nsti
institutes are regulated by the rules of the
government and university. accordance with the system followed in a few states, as
ity. In accord
mentioned earlier, a cho
chosen few
n ffew and n pprivate unaided institutions are permitted to fix a fee
nd new
structure that is substantially high
higherr than others. But, the fee structure can be fixed only after
approval by the appro
aappropriate
riate authority
uthori in government. The chosen institutions are granted
leeway
y in certain matters ppertaining to administration. However, overall, they are
ain matter
administered similar manner as other institutions. It is inappropriate that India is
nistere in simil
cepta
ptanc of this type of privatization; where flexibility, space, and academic
contemplating acceptance
liberty for the progre
progress of knowledge, quality and relevance are not encouraged, but stifled
(P. G. Altbach & P. M. Petersoneds. , 1999).
Privatisation of higher education in India takes several forms (Tilak & Varghese,
1983b):
i. Government introduces self-financing courses within the public institutions
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ii. Public government institutions converted into private institutions
iii. Government allows self-financing private institutions with and without

recognition/ allowing commercial education institutions
The feasible form for private players in the field of education is to engage in the
establishment of private universities, deemed universities and academic institutions (Jonaki &
Prasenjit, 2016).
Establishment of private universities
A university should be a trust or society. It should not be an entity for profi

f t or it
fi
profit
should not be run by a trust for profit. There are two ways to establish private univer
sh a priva university. It
can either be set up by an Act of Parliament (central university)
ersit ) or bby
y an Act of a state
rsi ha
legislature (state university). Till today no private university has been set up bby an Act of
Parliament. In the other method a university is being dec ed a deeme
declared nive
deemed university. There are
currently 229 privately managed universities in India. Diff
Different
ffe
ff may have different
fe ent states m
land norms and other procedure for setting up a private
ivate unive sity. Th
university. The analysis of such laws
in the states such as Rajasthan, Madhya Prad
Pradesh and Gujarat shows that these requirements
are more or less similar across states (Shankar, 2016).
kar, 2016)
le
Disser tation Samp
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Figure 5: Procedure to establish a private university
Project report/proposal with five years expected cash flow Statement, Letter of Intent and Initial sum of money
submitted to the Government.
Proposal Contains: Objectives of the University, types of Programmes of study, deed of the Institution (Which is
Project report or a Trust/Society/Non-Profit entity under Section 25 of the Companies Act, or is being run by one), fee Structure,
Proposal admissions format Composition details of board of Governors, Availability of academic research and Training
facilities, building plan and land deed, etc.
Once the Proposal is Approved, the State Government Tables the Bill of the Establishment
ent oof the
he P
Private
University, for Passage by the State Legislature.
Setting up the
University
The university shall maintain standards as prescribed by the relevant reg

regulator (UGC,
UGC, Except
cept in the case of
technical, professional courses: AICTE or other councils).
It shall get accredited by a body such as the National Assessment and Accreditation
ccred unci within a Stipulated
Council,
Regulation Period of Time.
Source: Adopted from (Shankar, 2016)
Regulations
The UGC reserves the powers reg rding th

regarding the recognition, functioning and de-
recognition of deemed univer ties. It also has the powers to distribute grants to other
universities.
universities for their maintenance
enance and
nd development and regulating fees charged by the
es or universi
universities. If colleges ies ffaill to comply with UGC standards their grants may be
universities
withdrawn or their aaffiliation
tion may bbe terminated. Such disciplinary actions will be taken of a
college or universi
unive
university does
doe not comply with fee other regulations (University Grants
ission, 2002)
Commission, 2002). Pri
Private unive
universities which offer technical courses like engineering, town
ment aand which receive funds from AICTE should adhere to its academic
planning, management
standards and regulations
gulations (MHRD, 2016).
In order to give recommendations on building a knowledge base in India the National

Knowledge Commission (NKC) was set up in 2005. The reforms required in the education
sector were also considered while setting it up. Educational institutions for profit were not
encouraged by NKC. 3 In 2008 the Yashpal committee was set up in order to recommend
changes in the higher education sector. The important suggestion of the committee was that
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higher education should not get fascinated by the motive of profit. 4 Both NKC and Yashpal
committee recommended private investment in higher education to extend educational
opportunities. It is further discussed in detail with regard to the issue of access under fee
structures.
Private providers always have a profit motive associated with them. The Supreme
Court of India, lately, interpreted that the nature of educational institutions to be charitable
and not for profit. Hence, by providing education supernormal or illegal pr
profits cannot be
made. If surplus revenue is generated it should be used for expansion of the institution and
for education development.
2.7 Issues in Privatisation of higher education in

n India
The major developments in the higher education

tion win
wing of Indian
ndian ed
education sector
started in the early 1990s with the laws enacted to enable
ble open/ free m
market. Tilak (1999)
states that there is a need for higher education to be privatis d aand the pu
privatised public funding for such
education should be reduced. The Government of India in the yyear 1997 distinguished the
two categories of education in India- element rit-good (Musgrave, 1959)
cation as me
elementary education
ood. Howe
and higher education as non-merit good. However, the Ministry of Finance classified higher
education as a merit II good and which nee
nd whi needs no subsidisation as the same level as the
merit good.
sation off high

In India, privatisation higher education had always been controversial. In the year
me Court which is the hi
1992, the Supreme highest judicial court in the country banned Capitation
s stating
fee colleges g that charg g ffee is unfair.However, the court reversed the judgement in
charging
the year 1993 stating that these ccolleges could be named self-financing colleges. This led to
the eme
emergence of private sself-financing
elf capitation fee colleges all across the country and the
feration led to mor
proliferation more number of private institutions established in the nation. It is evident
in the states off Andh
Andhra Pradesh and Karnataka that the number of private colleges
(engineering and management) outnumbers the public educational institutions. In recent
years, the number of private educational institutions and the enrolment of students in these
institutions have increased wherein the share of private enrolment in 2000-01 is 32.89 per
cent and the share rose up to 58.5 per cent in 2011-12 (Jahan & Selvarani, 2015). During the
11th plan, India witnessed a predominant growth in the number of private institutions wherein
the number of private state universities is 98, 17 private deemed universities and 3581 private
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diploma institutions and 7818 private colleges. Even the number of private arts and science
colleges has increased in the recent years (Jahan & Selvarani, 2015). However, such
enormous proliferation rate in the number of private institutes poses serious doubts on the
quality of education rendered by these institutes (Kaul, 2006). Aleem et al. (2016) claims that
commercialisation and privatisation in higher education will pose serious threats to the
development of human resources in two ways- expensive cost of education leading to
unequal deliverance of education, and determination of education priorities. While
privatisation in education sector have been allowed in countries like China
hina and Singapore
with flourishing higher education stats, the same should be feasible even
n in the Indian context
which is the premise of the present study.
2.8 Need for Privatisation in higher education
There are several requirements, which could be mapp

mapped with the privatisation of
higher education in India. Less than 1 per cent of the nations
ations funded by the central
ons GDP is fund
city building strat
government of India for education. The capacity strategies of the government could
not satiate the needs of higher education
tion in the nation. By the year 2013, the number of
students enrolled for higher education
ion is 14.6 million
ion and the FICCI-E&Y report FICCI
(2011) states that in order to achieve
hiev 30 per ce
cent GER in the forthcoming decade, the country
would require building a cap
capacity
ca acity of 25 million
ion seats. However, predicting the extra capacity
building cost, by 2020, an addi ional 10 lakh cro
additional crores (in Indian rupees) will be required for the
government with a funding requirement
quirement off R
Rs. 4 lakhs per seat. In the current Indian context,
such allocation of re ces for highe
resources higher education would be infeasible. Hence, private sectors
play a vital
al role in bridging the ga
gap between the requirement and the budget. The positive
contribution privatee se
ion of privat sector players towards higher education is evident from the success of
tor pl
onomi like
economies ke JJapan,
pan, th
the US and Malaysia. The GER of the US increased from 71 per cent
in 1999 to 83 pper
er ce
cent in 2008 whereas in Japan, the rate increased from 45 per cent to 58 per
cent. In Malaysia, tthe rate increased from 28 per cent to 32 per cent (Tiwari et al., 2013).
sia, th
In India, Liberalisation, Globalisation and Privatisation play significant role in

improving the quality of India corporates. The economic reformation allows foreign players
into the nation, thereby creating a competitive environment between the foreign private
players and the indigenous players. The low cost of living and India being the large English
speaking base next to the US enable the country to act as the higher education hub in the
Asian continent (Tiwari et al., 2013).
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While researchers argued several needs for privatisation in the education sector,
Jonaki and Prasenjit (2016) combines all the need factors which are as follows:
i. Increasing the efficiency of the public sector by enabling competition
ii. With the rapid growth in the population, the countrys ever
-growing needs for
education could be satiated with the aid of private sector institutions.
er education wing,
iii. While Government funds were considerably allocated to the higher
n on the gov
private sector institutions may reduce the financial burden government.
ions
iv. Reducing the decentralisation of educational institutions
v. Improved quality of education and training which aids

ids in nurtu
nurturing
ing yyouth of the
nation thereby sufficing the local, national and
nd gglobal
oba manpower needs.
npowe nee
power is incr
vi. need for skilled and expertise man-power sing day by day. Since the
increasing
iberalisa on, Privatis
country adopts the LPG model (Liberalisation, Privatisation and Globalisation), the
global needs for manpowerr should also
lso be met
ogi l developm
vii. Facilitation of technological developments and economic developments in India.
onomic policies
With the new economic pol G pol
(LPG policies) that emerged in the early 1990s
ation has been
(Tilak, 2009), privatisation een given
iven pred
predominant importance. However, privatisation
has affected the poor comm
communities
unities in India drastically since there is an inequity in the
deliverance of education all the levels of the society and the openness and diversity of
ducation across al
the knowledge
edge providers questioned
ovider are qu stione which includes the quality and price of the product
(education
cati and knowledge)
nd knowl dge) ((Jonaki & Prasenjit, 2016).
2.9 Political eco

eeconomy of higher education in India
The tightly controlled structure of the Indian higher education sector was analysed by
Kapur and Mehtaa (2007). The paper has a two-fold key argument. The first argument is that
higher education in India is de facto privatized on a large scale.2 This privatization did not
happen because of the changing preferences of the key factors like the state, the judiciary or
the propertied classes in India. Instead, this privatization took place from a breakdown of the
state system. Consequently, ideological and institutional underpinnings are very weak in this
form of privatization. Much of the private initiative remains within the bounds of the
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discretionary actions of the state instead of being a part of a comprehensive program of

education reform. As a result, the education system is stuck between over-regulation by the
state and a discretionary privatization which is not able to mobilize private capital in useful
ways. Any policy intervention will have to change this political economy equilibrium if it has
to succeed. Irrespective of the fact whether an institution is public or private, there are vicious
circles of interest which hamper reform.
Since some of the most renowned modern universities in India are established by
some of the dedicated individuals with private financial help, the private
ivate initi
initiative in higher
education is not a new concept in India. This sort of public private partnership
te partn was unique in
ship wa
India (Levi, 1994, p313). In the initial stage the concept of private ins
institution
ution was
as meant to be
arbitrary. It was also a comparative category to express classes
ss various cla es of educational
d
institutions. In the domain of philanthropy such an arbit
arbitrary
rbitra term gained
rm ga ned image from its
inception without much complexity and became a normati
normativee lan
language (C
(Cotton, 1999, p566-
567). The fact that the public supported private institution
institutions made the understanding of
philanthropy easy. The policy of grand-in-aid system w
wass mad
made operational during British
rule with the instructions of East India Company to
ndia C encourage private institutions. Three
o enco
types of private institutions- nationalist, sectarians and
list, sec nd caste communities. They were
functioning with the support of individual
vidual phil
philanthropist and local notables before
ctor conti
independence. Private sector nued to be a majo
continued major domain in shaping higher education
independence India
system in the post-independence ndia with the constitutional provision. Such strong support
from the history led to the subs tanti growth of private higher education institutions which
substantial
fourth of the total education
constitute three-fourth duc institutions. Private institutions are of two types-
aided and una
unaided. Aided insti ions are privately managed and publicly funded, whereas
institutions
unaided
ided institutions
itutions aare both privately
ivat managed and funded colleges. In the initial stages of
indepe
independence the role of pprivate initiative in higher learning education has been very crucial.
Many of the privat
ivate educational institutions were reported to be non-viable and mediocre.
private
ty of delivery in their services and inadequate enrolment rates of students
The poor quality
used such an outcome (Garg, 1977; Kulandaiswamy, 2005). The private aided
largely caused
educational institutions were to strictly abide by the statue of the concerned universities.
Since they regularly received aid financial aid from the state, private aided institutions did not
have a significant role in sharing the cost of education (Tilak, 1992). Though the state has
authority over affiliation, pattern of aiding and regulation of education it failed to keep the
constitutional promises of social justice. The managements executed and enjoyed their
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local/estate power with knowledge governing power and the dominant culture was silently
reproduced in the educational institutions.
Consequently these managements continued to remain as sectarian and partisan

organization of their own locality, community and organs of political parties. Besides this,
these institutions were instrumental in local politics to circulate among the party cadres and
supporters. Due to their affiliation with local political power structures, these managements
received under patronage and partisan prestige. The political elites, at the sa
same time, make
governing rules of the system flexible. Combining local politics with governin
governing power on
education institutions was, in a way, beneficial to both parties through
ugh nnepotism,
otism, bbenefaction
and influence. A much more relaxed UGC rule made the process worse (Kuma
cess wor (Kumar,
K
Kuma 2004;
2004
Rudolph, 1972). Most of the private agencies had drawn from
f the elite
lite sections
ections of society.
The state of education continued to be governed by education
uca on itself. In the bac
backdrop of mixed
economy in India system of education caused thee ggrowth
wth off capi
capitalism.
sm. Besides this, there
were 20 fake universities in India which were illegally
ally op
operating
rat in the ccountry. The highest
number of fake universities was found in Uttar P
Pradesh
desh (9) aand Delhi (5) stood second
(University Grants Commission, 2006). Th
The logic behind
hind the emergence of these universities
is clear in the sense that there was a demand
mand for the creation of new institutions. The fact that
they expanded private players in the education
tion sector
tor was not considered much. This trend,
le class ind
probably, made the middle ispens
indispensable in the private education sector since only the
middleclass can afford to bbuy
y ed cat
education by paying
payi a huge fee (Kapur & Mehta, 2007, p.35).
In the post-reform period outgrowth
d the outgrowth of self-financing institutions saw a paradigmatic shift
in the higher education
ducation sector
ector in India.
ndia. By this trend the attention is drawn towards the
complexities
ies of pedagogic practicess and its wide range of social consequence. The discourses
agogic pract
on the pprivatization
ivatization oof high
higher education
d mainly among the developing nations suggest that
their ccommercial interest
ial inte est nnearly tries to reduce education to a sheer commodity. In such a
contextt the state of eeducation in India must be critically examined taking in to consideration
ono
the political economy in general and education policy adjustments in particular (Babu, 2011).
2.10 Previous studies
Singh (2015) studied the effects of privatisation in the Indian higher education sector
and the issues and challenges associated with privatisation are investigated. India is one
among the largest countries in terms of population, geographical extent and the educational
system. The countrys educational system has grown rapidly over the year after its
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independence. The number of educational institutions in India is also growing every year.
a the have-
People in India could be generally classified into two categories: the haves nd
nots. Singh (2015) argues that with a majority of people in India living below the poverty
line, privatisation of educational system is not a viable option. However, private players can
establish their role in the country with the countrys regulations serious about the welfare of
its people and the equity in education reaching all levels of the people living in the nation.
The increasing size of the demand and the growth in population clearly necessitates the need
for new private institutions which may provide quality education.
In the same context, Chougle (2014) analysed the perceptions college faculty
eptions of colleg
members towards privatisation of higher education in India. The eme
emergence
ence off privatisa
privatisation
was initiated in the year 1991 with the new policy enactment Liberalization,
nt on Lib Privatization
raliz tion, P riva
and Globalization (LPG). Over the last two decades, the poli
policy changes
nge have reflected both
positively and negatively on the welfare of people
ple in the country.
ount On a positive note, the
g
targeted change of increasing the number of higher educa on enrolment
education olment in India is achieved
ountry witnesses
with the support of the government. The country itn sses inc
increased number of private
unsupported courses and the Government
rnment of India
ndia had been supporting privatisation.
ectin the weaker section of the society wherein the
However, privatisation is severely affecting
affordable population can pay forr ed on and the have-nots struggling to pursue higher
education
education. This increases the gap
a be
ap tween the literate
between iterate and the illiterate thereby increasing the
gap between the rich, middle
ddle class and the poor. In the previous study, teachers were survey
to understand their perceptions towards privatisation in Indian higher education sector. The
eptions towa
findings of the study rrevealed
ealed that the teachers believe in improved quality of education
delivered by pr
private sector inst
institutions;
uti however, their concern towards the economically
backward further
ard students fur revealed
er re l some part of the respondents stating their negative intent
towards
ards privatisation.
sation. The previous study revealed that with privatisation, the educational
status of the count
country
ountry will be incremented to global standards. The study recommended that
on, the government should also look for additional measures to support the
with privatisation,
economically bbackward communities without which inequity in education will increase
(Chougle, 2014).
Kumar (2014) investigated the role of privatisation of higher education in India with
special emphasis laid upon the Meerut, a city in Uttar Pradesh, India. The reality, as stated in
the previous study is that public resources are used for the expansion of private sector
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organisations in India. In India, the laws revolving around the privatisation of higher
education sector have aided private owners in increasing their wealth. Additionally,
privatisation has aggravated the conditions of student belonging to poor communities. The
study revealed the problems faced by poor students in Meerut and western UP wherein
corruption and bribery are found to be associated with privatisation in the higher education
sector of India. Furthermore, the study resembles the global context of education being
converted as a commodity of sales with private players taking control of education which is
the right for all the citizens in the country.
Partima and Singh (2014) studied the impacts and importance

portance ooff higher education
privatisation in India. After independence, the goal of the nation is to educate
uca all
ll the citizens
itiz
of the nation. In this regard, the country aspires to capacity building and
nd ccreation
ation in ccolleges
which significantly affects the educational status of the count
country.
ountry However,
ever, the funds allocated
by the central government of India is less than 1 pe
per cent of the nations
nt o ons GDP, hence meeting
such goals becomes impossible for public institutions.
ons. Private sector
ctor brid
bridges the gap in the
allocation of funds and requirements. The study predicts the futur
future of India towards increase
in the number of private educationall unive
universities all across India. The previous paper
concludes with the statement that privatisation
ivatisat on oof higher education
d in India should take into
y and academic
account the maintenance of quality demi standards
tand in these institutions.
2.11 Research Gap
A number of studies
ies con
conducted
ducted previously on the role and impacts of privatisation in
Higher education sector of India dis e
discerned generally the various aspects and the need for
privatisation
on in th
the higher
gher education
ducati sector. While other developing economies such as China,
ippine and
Philippines nd Malays
Malaysia are evolving in a rapid pace, India lags behind in the overall
number of private
te se
sector unive
universities and the number of enrolment for higher education in
these universities. This intrigued the researcher to conduct a study on privatisation in the
tor and to analyse the perspectives of various public and private education
education sector
pioneers about privatization and its effectiveness in the future of India.
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CHAPTER III: RESEARCH METHODOLOGY
3.0 Introduction
The research methodology was defined by Leedy (1997:5) as it is the systematic

process of gathering and analysing of data due to higher the understanding of research
phenomenon. As per the above definition of Leedey, the present chapter gives an elaborate
description of procedures, which were adopted in this study due to acc
accumulating the
information needed to attain the objectives of the study. Hence this chapter
pte wa
was categorized
into different sections. The first section describes the research
h des
design
n exam
examining the
advantage of using a particular method, the qualitative approach as a me
means
ns of permitting the
respondents to provide many precious answers and valuable insight to the rresearch
search qu
questions.
Next section describes the research philosophy and research
a h appr
approach.
h. T
Thee tar
target population
and study sample size were identified in section 4. Later,
ter, the
he ssection co
covers the sampling
technique which is suitable for selecting the target
g population oof the study
study. The sixth section
includes the data collection procedure in particular
rticular to the method which is applied to data
collection in this study. This section main
mainly describes
ribes the reasons for executing semi-
structured interviews in this research rathe
rather th
than using any
ny other methods. Further, this
section covers the procedures which involved
ved for pre
preparing the interviews. Section seven
describe the issues of validity
dity and relia
reliability were considered in the account in overall
research method. Further
rther section
ction eig
eight dealt with the analysis of the interview and finally
ended with a summary off the ch
chapter.
pter.
3.1 Research design

sign
This research
ese rch ddesign
ign is an essential step in any research to get an idea of data
ection as well
collection ell as limitation
limitations of the study such as time constraints and resources.
ng to (Easte
According sterb
r
rb
(Easterby-Smith et al., 1994, 84), research design is about the structuring the
research activity
y in
includes the data collection in ways which are most likely to obtain the
research objectives. In order to achieve the research objective, a suitable method should be
selected for gathering the required data. Survey on research methods (Creswell, 1994; Bell,
1996; Punch, 2005) classifies the research into two main methods, qualitative and
quantitative as it comes under the primary type of data collection. Merriam (2009) explained
qualitative research as an approach in which several people are involved along with their
perceptions of research that were assigned distinct meaning on the basis of the experience of
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individuals and covers non-numerical data (Saunders et al., 2009). Creswell (2011)
expressed quantitative research as any data procedure or collection for data analysis that
employs numerical data. As the present research aims to explore a novel phenomenon via
answering open-ended questions, a qualitative methodology is a suitable method (Saunders et
al., 2012, p.163) to obtain the study objective. Whenever a social phenomenon is to be
examined, a qualitative research methodology could be used which aims to understand the
implications in the society and the manner the social world operates (Hancock et al., 2009) .
Since the present study is based on the implications of higher education in India,
ndia, a qualitative
approach is suitable.
3.2 Research philosophy
The research philosophy in general helps to gather and examine

mine the adopted primary
data. Still, selecting the right philosophy is essential as it guides
uides tthe investi tor to move into
investigator
the exact direction of research. In addition, the philosop y aalso
philosophy lso gives th
the idea of how the
identified (Saunders et al., 2012,
oblem is to be identifi
world is perceived and in which way the problem
pp. 126-129). There are two kinds of research
earc philosophy
osophy used in research of social science
considering the social reality such as pos
positivism
v and inte
interpretivist (Perry, 1995). The
positivism views the social world
ld as an external
xtern
r
rn to individuals and interpretivist views the
objectives of thought as words independent
ds independe of extern
external
r al factors (Bryman & Bell, 2011, p. 22).
rn
as d on thee bbeliefs
The first approach is based iefs
f off unive
fs universal laws and neglects the subjective
interpretations. This method involved
invo tative approach as a result of the test theories and
quantitative
also try to find a casual relation
lation between control and predictor (Holloway & Wheeler, 2002,
between
p. 5). Therefore,
for the present stud
study adopted interpretivist method, which is suitable philosophy
for qualitative research ass the know
tative resear knowledge is personally experienced
3.3 Res
Research Appr
Approach
ach
The relationship
lationsh
nshi between research and theory can be approached in a distinct way
plain by Saunders et al. (2012, p.144). There are two kinds of research
which was explained
method used in research- deductive and inductive approach. In the deductive approach, a
hypothesis is created by past studies and tested by using survey method and it is called as a
top-down approach (Saunders et al., 2009; Gabriel, 2013). The inductive approach is
involved in generating theory on the basis of observations and results obtained via data
collection which is called as a bottom-up approach (Bryman & Bell, 2011, 4). According to
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Bryman and Bell (2011, p.13), an inductive approach was applied in qualitative research and
a deductive approach for quantitative research. In this case, the present study attempts to
explore privatisation in the higher education sector and also analyse the perspectives of
various public and private higher education pioneers about privatization and its effectiveness
in the future of India. Hence inductive approach is more appropriate to this research.
3.4 Target population and sample size
Selecting the target population is an essential part of the research

h (Gay
Gay & Airasian,
2003). A study population is a group to whom the researcher plan
plans to app
aapply
ly her or his
research results i.e. the target population of the study whose members
mbe are the people to be
researched. In this study, the target group consists of top management personnel of pprivate
ment personn
higher education institutions in India in order to acquire the study obj
objective.
ctiv HeHence vice-
chancellors,deans and administrators of private and public higher
ic higher education institutions were
tion inst
selected. Further, the sample size of this study was chose
chosen as 19. Vice-ch
Vice-chancellors serve as
the leaders of higher education institutions and
nd as pperr the norm, he/she should be a good
academician and an eminent administrator (Rao & Singh, 2016) . Deans serve as the next
tor (R
higher authority in the University hierarchy
rchy and
d are appointed
ppointed by the Vice Chancellor (Ipu,
2016) . Furthermore, the formerr eeducation
on m
minister of the State of Karnataka is also
interviewed The below table represents the number of vice
represents vice-chancellors and deans of private
his rresearch.
institutions involved in this sea h.
le
Disser tation Samp
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Table 1: Semi-structured interviews conducted with vice-chancellors and XXX of

private institutions
Region Role Public/

Private
Karnataka Former Higher Education Minister, Government of Karnataka
Karnataka Former vice-chancellor of Karnataka State Open University Public
Karnataka Treasurer of FVCK & Former Vice Chancellor of Karnataka Public
Veterinary, Animal and Fisheries University, Bidar.
Delhi Former Vice Chancellor, IGNOU, New Delhi Public
Mangalore Former Vice-Chancellor, Mangalore University Public
Bangalore Former Vice-Chancellor, University of Agricultural Sciences Public
Bangalore Vice Chancellor of CMR University Private
Priv
Bangalore Former Vice-Chancellor of Rajiv Gandhi University y oof Hea
Health Public
Sciences
Nashik. Former Vice Chancellor of Yashwantrao Chavan hava MahMaharashtra
arashtra Public
Publ
ubl
Open University
Bangalore Vice President of FVCK & Former Vice Chancellor anc llor of Bangalore
nga re Public
University
Mysore Vice President of FVCK & Former Vice Chancellor
ancello of KKSOUU Public
Karnataka Executive Director, Karnataka State tate
t Higher
te g er Educat
gh Education Council, Public
Government of Karnataka
Bangalore Regional Director, IGNOU Public
Bangalore Trustee of BMS & Former Addit Additional
nal Chief Secretary
eta
t ry of Government
ta Public
of Karnataka
Bangalore Principal St. Aloysius College
lleg Private
Mysore Administrator, Teresian
eresian C College
olleg Private
Karnataka Former Scientist,t IIS
IISc & C CEO O an
and Mana
Managing Director of Karnataka Private
Hybrid Micro o Dev
Devices
es L
Ltd.
d.
Ropar Director Indian
an Inst
Institute
te of Technology, Public
Karnataka Formerer D
Dean Academ
Academic of Karnataka State Open University and Public,
Academic
mic Adv
Advisor
dvi
dvvi r G
GEMSMS B Sch
School private
3.4.1 Sampling
ng technique
techn ue
The sampling
Th technique is taken on the basis of strategy, access, and
mpling techni
representativeness (Bryman, 2012). As per Patton (2002), sampling technique relies on four
ntativeness (Bry
(B
questions which includ
include what an investigator needs to examine, why she or he needs to
examine, what kind of sources he or she wants to research and how the results would be
utilised (Cohen & Manion, 1994). Based on the above queries, purposive sampling technique
is used in the present study. This type of sampling would enable the researcher to cross check
whether they meet the criteria for eligibility on the basis of objectives (Easterby-Smith et al.,
2012, p. 228).
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3.5 Data collection
3.5.1 Data collection methods
There are two kinds of data collection which include primary and secondary data
(Creswell, 1998). In this research, interview method is used as primary data collection
method. The following section reveals the interviews in educational research and their
procedures.
3.5.2 Interviews in educational research
As per the statement of McKernan (1996), interviews are one of th

the most efficient
ffici
ff
ficie
methods for collecting the data because it is carried out through fa
fface
ce to fa
fface
ce and requir
requires
direct verbal association between respondent and researcher. Th
The interviewing
tervi wing technique
hniq is
easy to follow as discussion flows in an informal, conversational
rsat onal style fr
ffrom
om one to another
topic. According to Kumar (1999), the interview is a popular technique
hnique fo
for gathering data
from participants. Likewise, Wragg (1994) statess that interviewing has been classified into
ctu
t re interviews
tu
three types such as semi-structured, structured views and unst
unstructured interviews. The
structured interview has predefined quest
questions;
ons; unstructured
tured does not have predefined
rview comprise
structure and semi-structured interview omprise of flexible questions (Yin, 2009; Myers &
Newman, 2007; Creswell, 2014 Den
Denzin
in and Lincoln, 2011). In the present study the semi-
incoln, 2011
od is used
structure interview method used. This technique
hnique is used to explore the unique experience of
cation minister.
vice-chancellors and education inist The questions are designed in the semi-structured
interview in such a mann
manner to support extendin
extending the interview with further questions on the
ersa on made at the ttime
basis of conversation me oof interview and the interest level of respondents.
roce res ffor prep

3.5.3 Procedures ring for the interviews
preparing
As the intervie
interviews are conducted efficiently and smoothly, the procedures were
executed in two main stages, firstly interview question preparation and selection and
secondly the preparation
par for conducting interviews.
Selecting interview questions
The interview questions are chosen on the basis of collected past studies with respect
to the privatisation of higher education. This was decided to design interview questions on
the organisation of the interview and shape of the data collection. Once questions are
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designed, approval from the supervisor is obtained from more discussions and advice. After
confirmation from a supervisor, an interview guide is developed which consists of a list of
topics covered relying on the context of literature.
Conducting of the interviews
The final step is to conduct the interviews, after preparation of interview questions;
the semi-structured interview was done through a face-to-face interview via prior
appointment.
3.5.4 Validity and reliability in interviews
A successful research relies on valid methods, and the two chie

chief ffeatures
hief fe atures researchers
sear
typically look for are validity and reliability. In order to val
validate the ttrustworthiness
ustworthiness and
te re
credibility of the interview guide as well as the complete earc the stu
research, study follow
followed the
criteria of evaluation as described by Lincoln and Denz
Denzin (200 5). It helps to check the
(2005).
credibility, dependability, transferability and confirmability
onfirmability of semi-structured interview
guide (Lincoln and Denzin 2005). The followin
following steps are taken to make sure the above
criteria. Firstly, the interview guide was prep
prepared
d on the basis
sis of past researches previously
Taylor, 2008; Anon, 2006; Gareis et al., 2009;
conducted (Labuschagne & Brent, 2006; Taylo
hipper, 2009; S
Turner, 2010; Silvius & Schipper, Silvius et al., 2010)
2010). Secondly, those studies were
rvisors. Thirdly
cross-checked with supervisors. Thirdly, to iincrease
crea the validity of the research, the pilot
study may be conducted among 1-2 re nt (Quinlan, 2011). In order to examine the
respondents
ata obtained, member
accuracy of the data memb checking was done with participants, where the
interview theme
themes are summarised and
d fu
further requests whether they agreed with summarizing
statements.
3.6 Analysis
naly of the interview
interv
One of the cru

crucial
ial components of any research is data analysis. For the main reason is
that the chief goal
oal of data analysis is as per Merriam (1998) is to end with reasonable
generalisations and conclusions on the basis of the predominance of data, data analysis in
interviews needs to be clear on the first steps of collected data. Hence after data collection,
recording and notes have been transcribed on the same day and further analysed whether the
data is up-to-date (Merriam, 1998; Marshall & Rossman, 1989). The present study made
thematic data analysis where the future steps were conducted. Firstly, data is transcribed by
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typing digital transformation of all recordings manually and the field notes. Secondly, all the
conversations acquired at the time of interview are typed and converted into a Word
document (Colaizzi, 1978, p.59). The third step, the textual data is categorized as per themes
and sub-themes on the basis of literature review (Rossman & Rallis, 1998, p.171). Still,
there is a logical sequence of research questions and literature review; data is recorded and
coded several times. This process is carried out by utilising the computer software program
such as QSR Nvivo software. Nvivo software acts as a teaching tool wherein different kinds
of documents could be kept in a single destination and are linked together to fa
ffacilitate easy
access. The progress of an idea from its inception could be mapped using
g Nvivo software
(Walsh, 2003) .. In addition to this, content analysis was conducted.
3.7 Summary
The present chapter has discussed the adopted methodolo

methodology and
nd the field work
procedures. Further, this chapter explains the reason for eexecuting qualitative approach to
ecuti a qualita
uctur interview was conducted to achieve
gather and analyse the research data. A semi-structured
an in-depth understanding of the participants
rticipants views private
ws on p ivate higher education in India.
The interview was conducted over a period
riod of XX months in IIndia with respect to gaining
cooperation and rich and elaborated
ated dataa fr
ffrom
om respondents. The collected data are
represented and discussed chapters four and fiv
d in upcoming chapte five.
le
Disser tation Samp
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CHAPTER IV: RESULTS
4.0 Introduction
The present study is a research based on the analysis of the perceptions of educational
pioneers in India towards privatisation in the Indian higher education sector. After careful
analysis of previous literature works which were discussed in the Literature review section
(Chapter 2). Previous literature brought both advantages and disadvantages of privatisation in
the Indian higher education sector; however, certain prospects of privatisation
isati in foreign
higher education intrigued the researcher and became the premise for the pres
present study. As
mary dat
aforementioned, the present study imparts the collection of primary data fr
ffrom
om edu
d ca
du
educational
nd adminis
leaders and pioneers in India who are former vice-chancellors and ators (Deans,
administrators
her education
Principals and administrators) of private and public higher cation ins utions in India.
institutions
ere put fo
Face-to-face interviews are conducted and questions were o obta
forth to n thei
obtain their perceptions
dia. Primary
regarding privatisation of higher education in India. rima data was
as aalso collected from
former higher education minister, State of Ka taka, India. All the collected data are
Karnataka,
analysed in the following section.
4.1 Participants
17 participants were intervie

interviewed
viewed in the study. Th
The study acquired the perceptions of 1
former Higher education M
Minister
ter off K
Karnataka,
rnat k India, 8 former vice-chancellors, 7
administrators (Directors,
tors, D
Deans,
ns, Prin
Principals)
ipals) of higher education institutions, and 1 former
scientist. The participants
rticip s were ddenoted
noted as follows:
articip nt 1 (H
PAR_1: Participant her edu
(Higher education minister)
PAR_2:
AR_2 PParticipant (Vice ch
rticipant 2 (Vic chancellor- Public institution)
PAR_3: P
Participant
nt 3 ((Vice chancellor- Public institution)
rticipant
rticip 4 (Vice chancellor- Public institution)

PAR_4: Participant
PAR_5: Participant 5 (Vice chancellor- Public institution)
PAR_6: Participant 6 (Vice chancellor- Private institution)
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PAR_10: Participant 10 (Administrator- Public institution)
PAR_13: Participant 13 (Administrator- Private Institution)
PAR_14: Participant 14 (Administrator- Private Institution)
on)
rivate)
te)
PAR_16: Participant 16 (Administrator- Public and Private)
riv te Sector)
PAR_17: Participant 17 (Former Scientist- Private
ellor of Indian
In the study, 8 vice chancellors ndian hi
higherr education institutions were
interviewed and among them, 7 vice cha llo (PAR_2, P
chancellors PAR_3, PAR_4, PAR_5, PAR_7,
PAR_8, and PAR_9) served public higherr education
edu institutions whereas 1 served for private
ation (PAR_6). Similarly,
higher education organisation milarly among the 7 administrators of higher
ons, 4 belonged to public sector governmental institutions (PAR_10,
education institutions,
nd PA
PAR_11, PAR_12, and _15) 2 of the 7 administrators belonged to private higher
PAR_15),
tutions (PAR_13
education institutions AR_13 and
nd PAR_14), and 1 participant (PAR_16) belonged to both
nd publ
private and public institutions ass the participant is former dean of a public higher education
institution and at present
resent serv
serves as an advisor to a private management based higher
ducati
education institution. F rme higher education minister was also interviewed and the
Former
responses
sponses of the same are denoted by PAR_1. One former scientist (PAR_17) was also
interviewed.
It is to be noted that the number of participants belonging to public higher education

institutions is higher than private institutions. This is the strategy to acquire the perceptions of
public players so as to define the role and importance of privatisation of higher education in
India. To maintain neutrality, the views of former higher education minister, a former
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scientist and an administrator who served both public and private institutions were obtained
and analysed.
Figure 6: Participants in the study
Public higher education participants

ts Private
vate higherr ed
education
i participants
Neutral participants
Source: Author (2016)
The face-to-face interviews

ws w onducted and questions were put forth in the
were conducted
following themes for w hich the responses
which sponses of the participants were acquired and analysed.
mes-
Following are the themes-
ole off priv

1. Role at ation in hhigher
privatisation h education development in India
2. Percept ons of stakehol
Perceptions stakeholders towards choosing higher education institutions
3. Views of Indian
ndian Gov
Government on privatisation
oura
4. Encouraging priv
privatisation in India
5. Private
te U
Universities and high standards of higher education in India
6. Role oof privatisation in maintaining equity and accessibility
There had been a lot of responses which were contradictory to one another. Following
is the results of textual data analysis of responses.
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4.2 Role of privatisation in higher education development in India
Majority of participants stated the role of privatisation in Indian higher education is

crucial towards increasing the economic status of the country. 5 Participants claimed that the
increase in the number of private universities all over the country has discerned the
importance of private participation in the Indian higher education sector. 4 of the 17
participants revealed that privatisation in the Indian higher education aids improve the
economic status of the country as the economy of a nation is integrated with the generation of
human capital. 2 participants responded that there is a limited access to higher
gh education in
India which led private sector educational institutions to create new oppo rtunities for students
opportunities
within the age limit of 18-23 to get benefitted. 2 participants stated need for excellen
ed the nee excellence in
the higher education sector as India, which is a country possessing vast human capi
capital
ca ta should
be properly empowered. However, other respondents had vie
views regardi
regarding
rding higher
he enrolment
rate, coexistence of public private mix and the legacy
y oof priv
private player
players. On
One respondent
claimed the need for coexistence of both private and public as both may benefit each other.
One respondent stated that privatisation has vast bbenefits,
efits, one ssuch being the increase in the
number of higher education enrolment in the country.
ry. One respondent
spond stated that the increase
in the number of private players in Indian
ndian higher
gh education
on is ultimately related to the legacy
cation sector
that they had built in the education tor in various countries, which led them to begin
ver, on
institutions in India. However, only on spondent hhad contradictory ideas about the role of
one respondent
d cation in Ind
privatisation in higher education Indiaa sinc
sincee th
the credibility is doubted.
le
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Figure 7: Word cloud of Role of privatisation in higher education development in India
The role of Private sector in Indian higher educati

education is increased significantly
over the last decade. With the majority of students currently enrolled in these private
institutions. the role will only increase cons ering the substant
considering substantial investment required in this
sector[PAR_1] 370 private univ ies in different part of states. You can understand
universities
the importance of state private univers
univ
universities in the higher education scenario of education
ve some peaks
[PAR_2] should have ea of excell versities can play very
excellence and private uni
important role [PAR_3] the young -25 would very much like
younger people specially of age 18
d cat
du
to have higher education but we kknow
now the access is limited because of number of institutions
and also qual
quality of edu
d cation that is available both are important and this gap needs to be
du
education
d [PAR_4] 5 It is nott jus
filled just the role of private institutions in higher education but
private and public should
l co
ld co-exist [PAR_5] private universities in Karnataka meet the
economic obligat
socio-economic i
igat
obligation as well as contempt to gross enrollment ratio [PAR_6] There
rm goal
are no long term goals for the Government to improve public institutions. Ultimately this
leads to giving mor
more importance to private higher education institutions [PAR_7] 98%
private participation in higher education is limited to engineering, medical, management and
education [PAR_8] 9 Private higher education institutions increase the number of
higher education enrolment in the country [PAR_9] To increase theGross enrolment
ratio of the nation towards higher education, there should be atleast 1500 universities in
India. Only with the increase in the number of private players a 50 per cent GER could be
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achieved [PAR_10] there is a lot of freedom for private universities which brings them
academic excellence [PAR_11] Private universities dont have a legacy as such but the
founders of the university who have started it have a certain reputation, track record, so
while choosing the university students see, how sound is the reputation and legacy
[PAR_12] The role of private higher education institutions is crucial in uplifting the
economic status of the country [PAR_13] Privatisation in Indian Higher education is an
important factor that satisfies the nations human capital needs [PAR
_14] I doubt the
credibility of private higher education institutions in India over the years
rs [PAR_15] I
believe the role of private universities is very significant and they are going to be with us
ry, especially
[PAR_16] the number of employed person in the count specia higher education
graduates have increased. This is the success of privatisation in Indian higher education
ducat
[PAR_17]
4.3 Perceptions of stakeholders towards choosing

ch
choo higher
higher education
institutions
The major stakeholders involved

d in higher
gher edu
education
tion are students, parents and
teachers. When the participants were questioned about
re qu bout the perceptions of stakeholders
towards choosing the university, a majority
ity of 5 participants revealed quality of education to
be the foremost when students aand
nd par hoos a unive
parents choose university. Apart from being a private or
older look for qquality
public university, stakeholders y of education provided the opportunities for
heck d. An equ
employment are also checked. equal numbe
number of 5 participants claimed that stakeholders
look for the various
rious features
tures oof the university such as infrastructure, hostel facilities and
safety. Participants
nts discern the fact that stakeholders view universities as sellers of education
and hence, they re
requiree what they actually pay for. However, 2 of the participants had a much
generalised
ralise view denot
denoting
g the increased enrolment of students in private higher education
institutions
tuti which
ch is evident
vident from the number of private higher education institutions.
However, some pa
participants
rticip had other viewpoints. One respondent stated that within the age
group of 18-23,
23, student
students are more inclined towards joining private sector higher education
institutions. One respondent claimed the increase in the enrolment of students in private
higher education institutions which offer courses such as agricultural and veterinary sciences.
One respondent states that parents look for international level institutions for their children to
get exposed to global culture and hence foreign private universities are sought. One
respondent elucidated that certain private institutions nurture entrepreneurial capabilities in
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students, hence they are inclined to join in private universities. However, only one respondent
stated the legacy of universities which attracts students.
Figure 8: Word cloud of Perceptions of stakeholders towards choosing higher education

institutions
between 18 to 23 yrs of age group total enrolment

nrolm
l
lm in higher education regard less of
age express as a percentagee to the el gible official
eligible al popula
population of 18-23. Students are inclined
rivate sector univ
towards enrolling in private rsities for higher education [PAR_1] Students
universities
choose private sector higher eeducation
ducati universities even for courses such as agricultural
terinary courses.
science and veterinary ourses. TThis
his is a good start[PAR_2] Students and parents
choose higher eeducation
ation in private institutions since the quality of education in private
utions is be
institutions ter [PAR_
better [PAR_3] poverty and unemployment to be the national crisis which
students think to gain a job is to study in a qualified higher education institutions. Private
ities specia
universities ialise their ways to fulfil the needs of the stakeholders [PAR_4]
specialise
perceptions of students and parents to enrol in private higher education as the number of
private institutions is increasing and the enrolment rate is also increasing [PAR_5] to
integrate the industry perception, interest in knowledge, emerge in knowledge, emerge in
technology into the curriculum and the part of the credit goes so that they become not just
qualified people, they become more relevant to the industry and more skillful to the
rs look for more prospective features in
industry [PAR_6] Students, parents and teache
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educational institutions. Factors such as infrastructure, hostel facilities and safety are
considered [PAR_7] In MBA, 41% employability, only 41%. In B.A, arts stream, it is
19%. In B.Com, it is 26%. In B.Sc. It is 41%. In MCA, Computer application, it is 43%. ITI,
you will be surprised to know the figures All these numbers posit the increase in the
number of students, their perceptions towards private higher education as most institutions in
these sectors are privatised [PAR_8] Stakeholders such as students look for job
opportunities after their graduation. They opt for universities which cater such
requirement[PAR_9] private universities are playing a significant role in fulfilling the
franchise for the demand of the quality education and at least 60% of the students are going
tudents look for col
to colleges in India and private institutions [PAR_10] Students colleges with
basic amenities and infrastructure. Then education [PAR_11] also choosing the
ce, choos
university from the supplies side, who are the faculty. Hence, ng the righ
choosing right univ
university
becomes very important [PAR_12] Students have differ
different rceptions. Some state their
perceptions.
family legacy that poses them to join a university, others cclaim
laim the infrastructure
frast to attract
them make an admission [PAR_13] Quality of tea he or quali
teachers quality of the academic
ecially for women, cost and location was the
programs and infrastructure, campus safety, especially
ructur in teaching, learning environment, creating
criteria [PAR_14] Excellent infrastructure
research, administration, and also the emphasis for student life [PAR_15] Very few
private universities come up to the le
level of in
international level, which is targeted by stake
ents all put togeth
holders, students and parents [PAR_16] Private nuiversities nowadays
r [PAR_1
together
nurture entrepreneurial capabi
apabili ies. For exampl
capabilities. example, innovation centers, incubation centers,
makers space are left forr students to learn [PAR_1
students [PAR_17]
4.4 Views of Indian

dian Government on privatisation
p
3 of the 17 particip
participants
rticipants stated the view of Indian government over privatisation of
higherr eeducation as an actt to inc
increase the Gross enrolment ratio (GER). An equal number of 3
other participants
rticipants claimed
laim the liberalised rules of the government which makes way for the
emergence of private
ivat higher education institutions in India. 3 participants discerned that there
is a lack of proper regulations to monitor private higher education institutions in India.
However, 3 other respondents specified that the Government is supporting privatisation of
higher education in India which will integrate human capital with jobs thereby improving the
economic status of the country. 2 of the participants had a viewpoint that in terms of
education in India, the government looks for three aspects- access, equity and quality. To
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achieve these factors in Indian higher education, the government supports privatisation.
However, 3 respondents did not respond to the question.
Figure 9: Word cloud of Views of Indian Government on privatisation
The government views privat

privatisation
sation of higher
ig education as a move to support
three fundamental challenges
nges that is ac
access, equit
equity and quality [PAR_1] all private
universities all over the count
country
r should
ry l gett recognised by University Grant Commission. If it
ld
is not, probably they will not only put penalties for any activities of the private universities,
and they also publicise iin the whole
hole country
ount that these courses run by suss and such private
university is not recognised
ognised [PAR_2 ards privatisation are
[PAR_2] The views of government tow
mostly liberal
ral withou
without any
an sort of control and UGC regulation is not accepted and
implemented
m [PAR_3] The government sees privatisation in higher education
at all [PAR_
sector as a tool to incr
increase the Gross enrolment ratio of higher education [PAR_4] The
regulations of the Go
Government are not implemented properly. This shows lack of interest of
governmental bodies to manage private higher education sector in India [PAR_5]... There
are complex state and central government policies on privatisation of higher education
[PAR_6] Government looks at factors such as equity and access to higher education by
students. Hence, the views of Government are open to privatisation [PAR_7]
Government views the opportunity to create an integrated economy with the human capital
and jobs [PAR_9] The Government of India is on a vision to increase the number of
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universities to achieve a GER of 50 per cent [PAR_10] Government has liberal

regulations towards privatisation [PAR_11] Government views privatisation as a
strategy to increase GER [PAR_12] The government is open to private universities with
less regulation to control. This is an act to increase the GER of the nation [PAR_13]
Government of India is ready to start at the higher rate at the later stage, which is to me
looks all very, saturated now in terms of refunding, in terms of resources in terms of man-
power... [PAR_15] Government see privatisation as a means to increase the employability
status of higher education graduates [P
AR_17]
4.5 Encouraging privatisation in India
A majority of 6 respondents stated privatisation to be encouraged

ourag d in India
dia wh
wherein
r
they claim privatisation to be good for the nation. Similarly, 5 participa
participants stated
nts stat privatisation
d privati
ivati
to be necessary in Indian higher education as it brings mor
more prospe
prospects. Ho ever, 4 out of 17
However,
respondents argue that privatisation may not be successful iin all ccases and depends on the
institution. One respondent stated privatisation to be encour ged for India
encouraged Indian higher education
provided the educational services delivered by these inst
institutions
utions should be philanthropic.
However, one respondent stated privatisation
ation to be hhazardous
rdous to Indian higher education.
urag
Figure 10: Word Cloud of Encouraging rivat
privatisation in India
Privatisation of higher education in India increases the higher education

enrolment rate in India. Hence it is a good motive [PAR_1] Not in all cases [PAR_2]
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tions to
With the increasing number of student enrolment, it is necessary for private institu
emerge in the country. However, I would suggest that there should be some sort of
collaboration between UGC and the state council and the education department of the state
to oversee private participation in Higher education... [PAR_3] I would state privatisation
to be a good option only if such institutions are philanthropic [PAR_4] 5. I would
state if national quality of excellence, social justice, inclusion and regional and social
disparity could be achieved, then privatisation in Indian higher education is a benefit
[PAR_5] the perception of students towards education is whether they
hey gain relevant
knowledge for what they pay as a fee. In this regard, I claim private universiti
universities penetrate
the knowledge into the students so that they become more relevant to tthe industry sector
[PAR_6] profit making would be the motto and the charitable edu
educational
ional insti
institutions
tions that
is always temptation of commercialization and profit making. Privatisat
Privat
Privatisation
i ion ma
isat mayy prove
hazardous at times [PAR_7] If we analyse certainn reports
e
epor of the government,
gove it is
revealed that private institutions produce industry centric manpow
manpower, human
man capital, and the
50% of them are not employable. Then how will privatisat
privatisation
on be good [PAR_8] the rate
of unemployment is high. This intrigues the role of privat
privatisation
i ion as the nation is still suffering
isat
from unemployment [PAR_9] Quality
t of education
ty on is a pprimary
imar concern. In Karnataka,
a joint programme is conducted to exchange
hang students and tea
teachers within the public and
private universities. This led new things to be le
learnt [PAR_10] Privatisation is a good
concept if in case the professional
rofessional ddegree
gree is job-oriented
b-oriented [PAR_11] Obviously when
there is a need to increasee the GER
GE
GER, then wee should go with the strategies to increase private
higher education institutions
ons as the fund
funding for higher education by Government is very low...
[PAR_12] There
e is a n
need
d to revamp
amp our education system on one hand and exposing the
teachers to timely
imely changes
hanges in know
kknowledge
ledg levels of their respective disciplines. This is how
stakeholders perceive higher education
du There
offered by private universities [PAR_14]
is a question
quest on how to satisfy
isfy the increasing demands and needs and aspiration of people of
isfy
the country,
ountry
ountr
ry,
y, especia
especially
ially the talented young people has got this opportunity to study in various
schools, internet and various other resources available, aware of the higher education
benefits. So now with this background, its very clear that days to come that private
universities are going to play the role[PAR_15] Some private institutions have played
important bringing quality inputs concentrating on the rural areas that will bring this
paradigm shift [PAR_16] Yes, it brings out more potential workforce [PAR_17]
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4.6 Private Universities and high standards of higher education in India
Among the 17 participants interviewed, 12 participants stated that high standards of

higher education are met in private universities. The responses specified the fact that with
increased funding, private universities are emerging as standard institutions of higher
education. However, one participant claimed that higher standards would be met if flexibility,
diversity of force skill based, competency based curriculum, innovative programs, processes
and procedures, courses and then creation of new knowledge by research are all satisfied.
Two participants stated cannot say as there are issues in higher education
ti prprivatisation. On
the contrary, two participants stated the higher standards are not met by priva
private higher
education institutions.
Figure 11: Word Cloud of Private Universities and high standards off higher edu
education
in India
ist
The existence of private universities not only improves the quality of education
but also provides the social responsibility. The success of self-financing private universities
can be attributed there will be a healthy competitions among the several players, innovations
in the curriculum which will benefit student community [PAR_1] I cannot clearly state
the significance of privatisation of Higher education in India with so many issues revolving
around the regulations for private institution approval[PAR_2] I think in terms of
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private universities, the great hope is, that freedom that these institutions have, enables to
run any number of good programmes and course which are futuristic. Hence, the higher
standards of higher education are met [PAR_3] Private universities definitely bring
higher standards in the delivery of education; however recruitment training should also be
provided [PAR_4] I think the standards have not been met since the enrolment rate of
students in some private higher education institutions is relatively low. This creates an
imbalance... [PAR_5] Yes [PAR_6] Privatisation may provide higher standards in
Indian higher education if academic flexibility, diversity of force skill based,
ased competency
ased,
based curriculum, innovative programs, processes and procedures, coursess and th
then creation
of new knowledge by research and then collaboration of international and national
nat rrepute,
pute, of
ounta ilit and socia
course quality student enhancement, transparency and accountability social
accountability are all addressed [PAR_7] There is a new
ew stand ard being adopte
standard adopted by
room. In th
private universities which is known as flipped classroom. this learning mod
mode, faculties
ele ted pro
guide students on how to proceed their career with the selected ional degree. Very
professional
nts look for practical know
little focus is on classroom environment and students kknowledge. In this
regard, I view privatisation to bring benefits in
n higher education
ducati [PAR_8] May be.
Funding for higher education is large as these institutions
ons collec
collect fe
fee and are private players.
live d would be good
Hence, the quality of education delivered good [PAR_9] I view
internationalisation as a part of privat
privatisation
on of higher education in India [PAR_10]
mbrace technolog
Most private universities embrace hnolog
technological concepts
ce in all activities. These act as high
cepts
o learn more eeffectively
standards for students to ectively [PAR_11] Though private universities
burden students with fee, the col ected funds are used for the development of the institutions
collected
[PAR_12] 2 kinds of education are possible. One is for employment,
infrastructure [PAR_12
while the other one is fo
ffor social trans
transformation [PAR_13] Private universities in this
global era are transfor d in term of curriculum, in quality and standards [PAR_14]
transformed
nce in Private Univers
Excellence ti that is not so good especially the standards are so slanting
Universities
perhaps in my opin on iit is different [PAR_15] Universities are even established in rural
opinion
areas which aid stude
students belonging to that region to be empowered. Additionally, the
standards of higher education and the access to the same are increased [PAR_16]
Private funding are vast, hence the standards of education are maintained [PAR_17]
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4.7 Role of privatisation in maintaining equity and accessibility
Among the 17 participants interviewed, 9 participants responded that there is

discrimination in the higher education service offered to students. Respondents claimed that
equity in delivering higher education to all classes in the society is affected by fee based
structure hence privatisation in their views does not maintain equity and accessibility.
However, 5 of the respondents claimed privatisation increased equity and accessibility of
higher education services in the country. 3 of the respondents stated that discrimination is
ues related to
generated by private higher education not because of equity issues but issues
unemployment due to increased number of graduates.
Figure 12: Word Cloud of Role of privatisation in maintaining

g equity
ity and
nd aaccessibility
ssib ity
No. The
N with privatisation is the increase in the number of unemployed
e only issue wi
graduates
es [PAR_
[PAR_1]
1] Discrimination may occur since students trained in some private
institutions with poor qual
quality of education are affected [PAR_2] Discrimination may
occur since students belonging to poor families suffer.. [PAR_3] Privatisation indeed
generates discrimination. The present kind of a strength what is reported on Government
agencies, 70% of graduates are unemployable they state except the special fields like
medicine, the need for quality workforce is increasing... [PAR_4] I clearly view the lack of
social inclusion in higher education sector [PAR_5] In the state of Karnataka, 40 % of
seats in the professional courses are surrendered to the government which is an act to
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prevent discrimination... [PAR_6] I do not perceive more good traits about privatisation
in Indian higher education. Moreover, private educational institutions are mostly
commercialised [PAR_7] To me privatisation has not created discrimination in the
equity of higher education but inequity in employment [PAR_8] Skill development is
something I think that is lacking in both private and public sector higher education
institutions. This creates employment inequality [PAR_9]I could not completely oppose
privatisation as it has merits too. However, I fear the factors of inaccessibility and inequity in
higher education [PAR_10] Social inclusiveness is lacking in private higher education
institutions. I would suggest revision of fee structure to create social equity
quity [PAR_1
[PAR_11] no
stable financial model for private higher education institutions in India. Th
T
These
ese ar
are generally
diverse among different states. Hence equity could not be mainta
maintained
ned [PAR_12]
[PAR_12] it is
good for the nation, however there are doubts about the quality of education de
delivered
[PAR_13] I find discrimination in the employability sta
status
tus of students
tudents stud
studying in different
universities. It is the quality of education delivered no matter
matte private or public
ubl universities
[PAR_14] private universities must have a centra
central role, a phil
philanthropic role for
commercial purpose. Since such a role is lacking, there w
will be no basis for equity
[PAR_15] Private institutions are extending
tending to rural
ral part
parts off the nation. The gap is getting
bridged nowadays with new private instit
institutions
on [PAR_16] I dont find discrimination.
Access to higher education is increased
increased; stand
standards are maintained [PAR_17]
le
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CHAPTER V: DISCUSSION AND CONCLUSION
The world today is evolving rapidly and the higher education wing globally is
witnessing remarkable rate of change. Six factors attribute to the spread of privatisation in the
higher education wing and are as follows-i) technological advancements, ii) demographical
changes, iii) increased public examination, iv) information based economy, v) increase in
knowledge based organisations, and vi) decline in public trust in government (Levine, 2001).
All these factors necessarily provoke the need for private participation in higher
g education. In
qu d aand are analysed
the present study, responses of educational pioneers of India were acquired
based on the objectives of the present study. In this context, questions were fframed and put
forth to the participants to analyse their perceptions regarding market
g ma ket driven educational
iven educa
model.
5.0 Role of privatisation towards satiating the ever-growing

ever win need for higher
education in India
Since the independence of India in the year 1947, there had been drastic changes in
ities of the nation
the education sector. The responsibilities on and its governing bodies were built to
educate all its citizens, which led the educa uthori
educational authorities over the decades to create
capacities for educational enrolment.
ment. New capacities
w cap tie were created and existing educational
ed. This led the nation
institutions were enhanced. on to transform its higher education structure
from 28 universities and 578 col eg in the ye
colleges year 195051 to 500 universities and more than
25,000 colleges in the nation by
y th
the end of 2012. More than 20 million students enrolled in
on institu
higher education ons in
institutions n the country
ount (Sudarshan & Subramanian, 2012).
Thee aforem
aforementioned
ntion d fa
ffacts
c discern the role of private participation in Indian higher
ducation. Over
education. ver the yea rs, the number of higher education universities and colleges has
years,
eased with the purview of satisfying the educational needs of the increasing student
increased
numbers in the ccountry.
ount Forecasted statistical data reveals the population of 18-23 year old
will increasee to 142 million by 2030 which will comprise 10 per cent of the total population
of the India at that time (Ficcci, 2013). Hence meeting the higher educational needs of the
country is impossible without private participation in India as public funding to education is
restricted especially for higher education (Sudarshan & Subramanian, 2012).
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Figure 13: Estimated 18-23 year old population in India- 2030
18-23 year old population

144
142
140
138
136
134
132
130
128
2010 2015 2020 2025 2030
Source: Adopted from Ficcci (2013)
Participants of the study were

ere selected based
ed on their experience in the higher
education sector over the years in India. Majori
Majority of the participants belong to the public and
government higher education institu
institutions in India so as to analyse the perceptions in an
unbiased manner. When the role off pr ation in Indian higher education sector was
privatisation
y of respondents
questioned, a majority esponde stated th
the significant role of private universities in
ase in the numbe
India. There is an increase number of higher education institutions in India with more
ivate universities in the nation. Some participants claimed the success of
number of private
on in Indian
privatisation an higher edu
education which is evident with the increase number of student
enrolment
olme in higher education
duca institutions in the nation. Ernst & Young, (2009a) report
sserts
r that Indian
rts
asserts ndian ggovernment
ernment will suffer to cater the higher educational requirements of the
y as the publ
country public expenditure allocated on higher education as a percentage of Gross
Domestic Product
roduct (GDP) is 0.6 per cent. This is a very low percentage when compared with
other nations such as China, United Kingdom and the United States. To fulfil the demands of
the nation, private players have established a number of educational institutions to support the
growing higher education requirements of India (Ernst & Young, 2009a).
The views of certain participants regarding the role of higher education privatisation
in India were toward increasing the economic status of the nation. Human capital is an
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important asset of a nation which is associated with the nations economic growth and
development. A countrys competitive advantage over other nations is defined by human
capital. In this regard, certain aspects such as investment in science, education, and
technology, and labour market competitiveness should be improved (Matovac et al., 2010). In
this regard, the perceptions of participants are towards increasing the economic status of the
nation with increased enrolment in higher education. According to the participants, the role of
privatisation is towards economic integration. Some participants clarified the limitations of
access to higher education as the funds allocated by the government forr hi
higher education
were less. In order to create opportunities for all students within the ag
age li
limits of 18-23,
participants reported the need for private higher educational institutions
tutions in the nation. The
Gross enrolment ratio of higher education was also emphasised whic
which is ste ed only if mor
steered more
rd, Singh (2009) argu
higher education institutions are established. In this regard, argues that India
requires more than 1500 universities to compete in the global
lobal market.
ket. How
However, there were
some other reasons stated by the respondents which revealed
evealed the causes
use for the growth of
higher education institutions in India. Participants stated the need fforr im
d fo improving the GER of
the nation which led government to open private
ivate participation in the higher education sector
of the nation (Kumar & Ambrish, 2015). L
Legacy off the pr
private players also play a key role
for the growth of private higher educa on universities
education ies in the nation. Some foreign
universities which are recognised
nised gglobally
y set up educational institutions in India. Students
utions as thes
are inclined to these institutions ers are known in the field of higher education.
these players
However, only one respondent overall doubted th
spondent overa the credibility of higher education in India.
The study necessitated

y nece the need to analyse the perceptions of stakeholders in choosing
tat d th
universities. In the conte
contextt oof hig
higher education, the stakeholders involved are students,
parents and teachers. Participants were questioned on how students select higher education
nd teach
institutions. Quality
itutions. Qua y ooff eeducation
duca is stated as the predominant need for students as majority of
participants stated
rticipants stated the same. Students and parents look for private education institutions as
the quality of edu
d ca
du
education delivered by private sector institutions is better (Shaguri, 2013).
articip
However, participants, mostly administrators of private universities claim that stakeholders
look for specialisation in degree as traditional generalised degree courses are not chosen
nowadays. In a study by Otieno and Ndayambaje (2015) which is based on students
enrolments in undergraduate degree programmes by platform in Public Universities in Kenya,
the researcher revealed the existence of positive relationship between course specialisation
and enrolment. Since education is commoditised, students require exploitation of the
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commodity so that they get what they actually paid for. All these inferences specify the need
to deliver quality of education in higher education institutions. Some respondents stated that
the perceptions of students are towards joining private higher education institutions as they
think the quality of education delivered is better. This led students to enrol in courses such as
veterinary and agricultural science in private universities though these courses are offered at a
relatively low fee in public higher education universities.
However, some respondents stated the views of stakeholders to be focussing on the

features of the educational institutions. Certain factors such as infrastructure of th
the institution,
hostel facilities and safety are considered while enrolling in a higher education
ducati institution.
The increase in the number of educational institutions in the nation
tion by ddefault
a t specifies the
aul
stakeholders inclination towards private universities. However,
ever, internationalisation
ternationa ation could not
be neglected in this context as parents look for recognised ins
institutions enrol their children.
ions to en
Such perceptions of stakeholders increase the number oof privat
private foreign higher education
reign hi
universities in India. However, there is also a viewpoint which lets students to enrol in
institutions that nurture the entrepreneurial capabilities
a i es of students. Many private universities
pab
ab
deliver entrepreneurial training classes whi
which aid students bringing
ingin out their entrepreneurial
capabilities thereby beginning own business
businesses once their prof
professional courses are completed.
5.1 Effects of privatisation

n in IIndian
n higher
hi her education
edu
The high standards

rds of pprivatisation
atis on in Indian higher education were questioned which
ponses for pprivatisation.
revealed supporting responses ti Majority of respondents discerned the fact
rds oof higher
that high standards he edu tion are met in private universities. With the increase in
education
the numberr oof players higher edu
yers in high education sector, healthy competitions arise within these
institutions. In this manner, unive
universities may improve and enhance the quality of education
delivered
vered thereby
eby continu
continuall iimprovement in the higher education sector will be delivered.
Another important aaspect of privatisation in higher education is the freedom of operations in
important
the higher education
ation institutions. When educational institutions are bound to the Government,
on ins
then uniformity
ity of certain aspects such as syllabus and curriculum should be maintained. The
autonomy of private higher education institutions enables private players to design their own
state of the art syllabus and curriculum which enables students to perceive latest
advancements. New technologies are adopted by private universities and practical knowledge
is imparted for the benefits of the students (Pandey, 2014).
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In India, private universities collect fee from students. Though it is deemed that
delivering education for money could turn hazardous, the collected fees are used for the
development of the institutions infrastructure. Hence, the quality of education delivered
should also be better. India demands competent workforce hence the quality and standards of
private higher education are important to cater the needs of the nation. However, several
issues revolve around the prospects of privatisation in Indian higher education sector. There
are different state and central regulations and the regulations vary from state to state. In such
a case, the standards of private higher education are questioned (British Council,
oun 2014). One
participant discerned the reason for the lack of standards in private higher education
ate hig
institutions as the enrolment rate of some colleges is relatively low. Pri
Privatisation
tisation brings the
hnologic con
concept of internationalisation in higher education. More technological pts aare adopte
concepts adopted
gher educ
by private universities thereby meeting high standards of higher tion.
education.
The effects of privatisation on educational discrim nati weree aalso

discrimination lso qu
questioned. The
ce of discrim
responses of the participants revealed the existence ination in the higher education
discrimination
ivati ion to be the major cause. Private higher
sector for which some participants claimed privatisation
education institutions offer courses for fee
fee which is not accessible to students belonging to
economically backward classes in thee soc ffec
ff
fects the equity and accessibility of
society. This affects
nts fear the ffactors of social inequity and the lack of
education delivered. Respondents
inclusiveness in the private high
higher edu on institut
education institutions which creates a human resource
imbalance. However, some of the particip
participants
rticipa cl claimed
i privatisation to have increased equity
and accessibility of higher education
her edu ation sservicess in the country as private universities are also set
up in rural regions
ions oof the nation to sat
satisfy the higher education needs of students. However,
respondents argue that apart fr
ffrom equity in the deliverance of higher education, an intricate
om equi
issue lurks within increased private higher education institutions, which is unemployment.
eas d privat
Respondents discrimination is generated by private higher education not because of
sponde state that discrim
disc
equity issues
y is but issu
s es bu issues related
lat to unemployment due to increased number of graduates.
5.2 Governmental
ent regulations and privatisation
The high standards of privatisation in Indian higher education were questioned which
revealed supporting responses for privatisation. Majority of respondents discerned the fact
that high standards of higher education are met in private universities. With the increase in
the number of players in higher education sector, healthy competitions arise within these
institutions. In this manner, universities may improve and enhance the quality of education
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delivered thereby continual improvement in the higher education sector will be delivered.
Another important aspect of privatisation in higher education is the freedom of operations in
the higher education institutions. When educational institutions are bound to the Government,
then uniformity of certain aspects such as syllabus and curriculum should be maintained. The
autonomy of private higher education institutions enables private players to design their own
state of the art syllabus and curriculum which enables students to perceive latest
advancements. New technologies are adopted by private universities and practical knowledge
is imparted for the benefits of the students (Pandey, 2004).
In India, private universities collect fee from students. Though

h it is deemed that
delivering education for money could turn hazardous, the collected ffees
ected fe es are
re used for the
e, the qua
development of the institutions infrastructure. Henc quality of educa
education
on ddelivered
should also be better. India demands competent workforce hen
hence the qu
quality
ality and standards of
nd stand
private higher education are important to cater the needs
eds of the nation. However, several
ion. How
issues revolve around the prospects of privatisation
on in Indian
ndian highe
higher education
d c
du sector. There
are different state and central regulations and the rregulations vary from state to state. In such
ulations var
a case, the standards of private higher education
uca aree question
questioned (British Council, 2014). One
d (B
participant discerned the reason for th
the lack of standards in private higher education
institutions as the enrolment rate oof some colle
colleges is relatively low. Privatisation brings the
on in hi
concept of internationalisation gher education.
higher tion Mor
More technological concepts are adopted
by private universities thereby
byy m
meeting
tin high sstandards
and rds oof higher education.
The effects of privatisation

ivatisat on on educational discrimination were also questioned. The
responses of the particip
participants
nts rrevealed
vealed the existence of discrimination in the higher education
led th
sector for which some participants claimed
laimed privatisation to be the major cause. Private higher
education
ion institutions
titutions offer
fer ccourses for fee which is not accessible to students belonging to
economically
onom backward classes in the society. This affects the equity and accessibility of
ackward class
education delivered.
on deliver ed. Respondents fear the factors of social inequity and the lack of
inclusiveness in the private higher education institutions which creates a human resource
imbalance. However, some of the participants claimed privatisation to have increased equity
and accessibility of higher education services in the country as private universities are also set
up in rural regions of the nation to satisfy the higher education needs of students. However,
respondents argue that apart from equity in the deliverance of higher education, an intricate
issue lurks within increased private higher education institutions, which is unemployment.
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Respondents state that discrimination is generated by private higher education not because of
equity issues but issues related to unemployment due to increased number of graduates.
5.3 Governmental regulations and privatisation
One important view of government towards privatisation of Indian higher education is

to increase the Gross enrolment ratio (GER). The rules of the government are so liberalised
that setting up private universities in India had been facilitated. The impact of liberalisation
and globalisation has improved higher education sector in India in a relatively
lative fast pace.
eate oppo
Government views privatisation of higher education as an act to create opportunities for
young students in India so that education is delivered to all the clas
classess of the society
(Amandeep, 2016). Some of the participants claimed that the gove
government
ment is supporting
privatisation of Indian higher education so as to integrate human capi
capital
pital with jobs thereby
improving the economic status of the country. In India, thr
threee as
aspects off ed
education
cati are viewed
by the government. They are equity, access and quali
quality (Goel, 2013). In
Goel, 2013) n oorder to achieve all
the three factors in Indian higher education,
on, the gov
government
rnment should
uld suppo
ssupport
u
uppo privatisation.
However, need for encouraging privati

privatisation was qu
questioned
stion for which participants
had contradictory viewpoints. Some off the respondents
sp laim privatisation to be necessary
claim
since it brings more prospects in the higher
gher education sector. The perceptions of some
on to bbe not successful
participants relate privatisation ssful
f in all cases and the success to be solely
ful
uti
depending on the institution. Addition ly, infe
Additionally, f re
fe
inferences were provided revealing the need for
gher eeducation
philanthropic private higher cation in India
ndia thereby provoking the hazards in fee based
on.
higher education.
5.4 Implications
cation
The study
Th y had mixed responses when it comes to encouraging privatisation in Indian
higher edu
education.
d cation. How
du However, the significance of privatisation in Indian higher education could
not be neglected. Majority of participants in the present study belonged to public sector
d. Majo
institutions and
nd very few participants belonged to private universities and higher educational
institutions. The main factor that participants claim to be driving privatisation in the Indian
higher education sector is the rate of enrolment in higher education. The total number of
student enrolment in Private and Government Colleges of India till 2015 is found to be
around 22 million wherein the number of enrolments in private educational institutions is
found to be 14 million (Ministry of Human Resource Development, 2015). The fact reveals
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the increased number of total student enrolment in private higher education universities in
India. The GER of Indian higher education was found to be 19.4 per cent in the year 2010-11
and the enrolment rate of different states vary. Comparing the GER of India with other
countries, it is revealed that the country is lagging behind developed and developing
economies such as China (23 per cent), Brazil (34 per cent), UK (57 per cent) and the US (83
per cent) (Nandi, 2014). India Brand Equity Foundation (IBEF, 2015) reveals a requirement
of approximately 200 billion USD to achieve the target of 30 per cent GER by the year 2020.
In this regard, the Government of India has allowed 100 per cent foreign direct
ect investment in
the country for the education sector. The GER in Indian higher education
on is 23.6 calculated
for the age group of 18-23 years. In this regard, it is evident that with the growth
rowth oof number
of private universities, the targeted 30 per cent GER could be achiev d H
achieved. ce, there is a
Hence,
sities with the growin
pressing need to increase the number of private universities growingg student
ion by
population (18-23 year old) projected to reach 142 million y 2030 (Ficcci,
iccc 2013)
2013).
Secondly, the quality of education and the types

y es of servi
yp services
es ooffered
redd bby institutions are
concerned and hence the perceptions of students aand parents w
were analysed. In the present
study, it is revealed that stakeholders look for quality
lity of eeducation
cation and the features of the
on its
educational institution. Since education oditised, stakeholders view the quality
itself is commoditised,
and features of the product. In th ard, students are inclined towards private higher
this regard,
ccording
rding to them, the qual
education institutions since according quality of education and service is better.
Parents are also inclined to privat
private hig
higherr education
educational institutions which are internationalised.
From the perceptions off the ggovernment,
overnm it is ddeemed that the open market scenario in the
Indian higher education will crea
ducati wing wil create competitive atmosphere in the nation wherein the
native Indian pprivate public higher education institutions will improve the quality
ivate players and publ
of education thereby benefittin
on there benefitting all the stakeholders involved in higher education.
Internationalisation
ation context will improve the key indicators such as curriculum,
tion in this conte
administration, sear faculty salary and so on (Tiwari et al., 2013).
nistra on, rresearch,
ndian higher education is witnessing regulation based complexities. The

Thirdly, Indian
ndia lacks clarity in monitoring private higher education institutions in the
government of India
country with different regulations existing with the central government and the regulations
differing across various states. In some cases, judgements are imposed which even aggravate
the conditions of private universities in India. This poses challenges for higher education
universities to achieve the targeted GER (Joshi & Ahir, 2013). Participants of the interview
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stated that the laws of the government are liberalised to set up and manage private
universities in India; however the confusion that lies within the implementation of regulations
for private higher education institutions will always be a threat.
5.5 Conclusions
The market driven educational model of Indian higher education has better prospects.
The country has witnessed successful privatisation in the educational sector and the higher
education wing is no longer an exception. It is discerned from the study thatt bby conducting
interviews with educational pioneers, it is deemed that participants are inclined
ncli ed towards the
good prospects of privatisation in the higher education sector; howeve
however, some ffear the
complications that arise out of the fee based model of education.
Private education in the beginning emerged as a concept

once of deliv
delivering
ring education
du for
charity and philanthropy. Privatisation in the education sector
tor is also to aid the government
ector
spread education. Educational institutions are set up by pprivate
ivat owners and are maintained
based on the regulations of the government though funding is acquir
acquired from private parties.
During the emergence of privatisation in edu
education sector, education
ducat is served as a public
good. Till date, many educational institut ns in Europe
institutions ope and North America provide
philanthropy based educational servi
services. In m
many developed nations, their government
rs for the edu
supports private sector players onal servi
educational services they offer. In India, privatisation
ubted fo
of higher education is doubted for itss fe
ffee-based
based and profit motive structure. Hence, the equity
ation bbecomes
and access to higher education ecomes
omes the topic oof hot debate.
Though the numbe

number of highe
higher edu
education institutions has increased over the years,
participants belong
belonging to public ssector institutions fear the equity to higher education. One
rticipant belonging
participant long ng to private
rivat higher education institution stated the fact that private
rticipat
participation and incre d in
increased international/ foreign private higher education institutions in India
rving the economically
is serving conom
onom stable classes and the poor communities are devoid of such
services. In the state of Karnataka, specific percentage of seats is shared with the government
which is a good motive to create access and equity. The present study recommends all the
states of India to implement such seat sharing facilities in order to improve equity.
Overall, the perceptions of the participants both private and public sector
administrators and vice-chancellors encourage privatisation in Indian higher education sector
without which the targeted GER could not be achieved. However, the present study
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recommends the need to close the gap between higher education institutions and industries so
that Indian manpower is utilised to the core.
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Appendix
Questions/ ParticipantParticipant 1 Participant 2 Participant 3 Participant 4 Participant 5 Participant 6 Participant 7 Participant 8 Participant 9 Participant 10 Participant 11 Participant 12 Participant 13 Participant 14 Participant 15 Participant 16 Participant 17
1. In your view what is 1. As per the latest 1. There are as many as 370 1. Higher 1. It is the government whose 1. It is not just the role of 1. The private universities in 1. There are no long 1. I would like to share with you 1. Private higher 1. To increase the 1. I would state that 1. Private universities 1. The role of private 1. Privatisation in 1. I doubt the 1. I believe the role 1. I would state that
the role of private published data of human private universities in different education should centre in the state is not in a private institutions in higher Karnataka are the only state term goals for the that, the private sector education institutions Gross enrolment ratio of there is a lot of freedom dont have a legacy as higher education Indian Higher education credibility of private of private universities the number of
universities in the resource research part of states. You can have some peaks of position to cater the means of education but private and wherein we at private universities Government to improve contribution, into this stream of increase the number of the nation towards higher for private universities such but the founders of institutions is crucial in is an important factor that higher education is very significant and employed person in
development of higher development India has understand the importance of excellence and higher education, the younger public should co-exist & they in Karnataka meet the socio- public institutions. engineering, you will be surprised higher education education, there should which brings them the university who have uplifting the economic satisfies the nations institutions in India over they are going to be the country,
education? 754 Universities, State state private universities in the private universities population , the younger people have both of them, they have economic obligation as well as Ultimately this leads to to know that, among all the private enrolment in the country. be atleast 1500 academic excellence. started it have a certain status of the country; human capital needs. the years. with us. especially higher
Government Universities higher education scenario of can play very specially of age 18-25 would very their own advantages they contempt to gross enrollment giving more importance to sector participation, in the higher universities in India. Only reputation, track record, however, the role is education graduates
are 372, Private education. important role. much like to have higher education have their own ratio. I feel privatisation is crucial private higher education education sector, 66% share is of with the increase in the so while choosing the limited to a specific class. have increased. This
Universites are 245 but we know the access is limited disadvantages. in higher education. institutions. the engineering stream, 24% share number of private players university students see, is the success of
Deemed Universties are because of number of institutions is of the medical stream, 4% a 50 per cent GER could how sound is the privatisation in Indian
137. The role of Private and also quality of education that is management, 4% education. So, if be achieved. reputation and legacy that higher education.
sector in Indian higher available both are important and you put together, you will come to they are going to be part
education is increased this gap needs to be filled you know, that almost 98% private of.
significantly over the last know through philanthropic participation in higher education is
decade. With the majority enterprises and private enterprises limited to engineering, medical,
of students currently that means private enterprises have management and education.
enrolled in these private to become philanthropic. Therefore, whatever problem we are
2. What are the stake institutions.
2. the role will
In the higher 2. Students choose private 2. Students and 2. Education has already been 2. The sector of higher 2. Students and the parents 2. Students, parents facingInof
2. employability,
MBA, is the
41% employability, 2. Stakeholders such as 2. The private 2. Students look for 2. The primary 2. Students have 2. Quality of teachers 2. Excellent 2. Very few private 2. Private
holders (students , education sector in India sector higher education parents choose commoditized, and this commodity education is expanding. question educational institutions, and teachers look for only 41%. In B.A, arts stream, it is students look forr jo
job universities are playing a colleges with basic stakeholders are the different perceptions. or quality of the academic infrastructure in teaching, universities come up universities nowadays
parents, employers) this is calculated between universities even for courses higher education in needs to be well exploited, so that Private institutions and What is the value I derive from more prospective features19%. In B.Com, it is 26%. In B.Sc. It opportunities aft
after
f er th
ft their significant role in fulfilling amenities and students themselves Some state their family programs and learning environment, to the level of nurture
perception of 18 to 23 yrs of age group such as agricultural science and private institutions we provide people who are private public partnerships the money I paid for this in educational is 41%. In MCA, Computer graduation. They
ey opt for the franchise for the infrastructure. Then followed by their parents, legacy that poses them to infrastructure, campus creating research, international level, entrepreneurial
choosing total enrollment in higher veterinary courses. This is a since the quality of innovative, we provide people who are also increasing. All these program?. The point here Im institutions. Factors such
application, it is 43%. ITI, you will universities which
ich cate
cater demand of the quality education. However, their as they have seen it as a join a university, others safety, especially for administration, and also which is tagetted by capabilities. For
universities? education regard less of good start. education in private can think in different directions, we statements attribute to the making is, try to integrate the as infrastructure, hostelbe surprised to know the figures. It such requirement.t. education and at least perceptions may vary joint perception on their claim the infrastructure to women, cost and location the emphasis for student stake holders, example, innovation
age express as a institutions is better.
provide people who think for the perceptions of students and industry perception, interest in facilities and safety areis only 46%. Most of us feel that 60% of the students are when students belong to part and then there is also attract them make an were the criteria used by life students parents , etc centers, incubation
percentage to the eligible However, private good of the society. We provide parents to enrol in private knowledge, emerge in knowledge, considered to the core. people who do the trades and all, going to colleges in India poor communities. They choosing the university admission. stakeholders that is the all put together. centers, makers space
official population of 18- sector institutions people who can bring Indias higher education as the emerge in technology into the Some private institutionsthey get the job, but no. Thats and private institutions may not be able to join from the supplies side, primary stakeholders, the are left for students to
23. Students are inclined need improvement stature up, lift the living stands up, number of private curriculum and the part of the provide quality features what the reality is. Even in but there is a big disparity private universities which who are the faculty. students, the parents, to learn. Students even
towards enrolling in such as who can also think in terms of how institutions is increasing and credit goes so that they become which stakeholders Polytechnic, it is just 11%, means, in the quality. cost them high fee. Hence, choosing the right choose the institution. look for universities
private sector universities specialisation withindo we reduce the poverty in the the enrolment rate is also not just qualified people, they require. 89% students coming out of university becomes very delivering such
for higher education. a degree which is country, we do we produce more increasing. become more relevant to the polytechnic, they are not important. opportunities.
lacking in many employment at different levels. In industry and more skillful to the employable. This is a very y seri
r ou
ri
serious
private universities such a case, we envision poverty industry because ultimately in the issue we have to look at. And in i
and colleges. and unemployment to be the current emergence of the industry pharma, it is 54%. The best in i the
national crisis which students think the services sector are, it is the eam,
country, the stream,m wh
m, w ich y
which you can
to gain a job is to study in a sharp dealing of what knowledge have a highestt percentag
percentage of
3. How has the 3. The government 3. According to 2003, all 3. The views of qualified
3. The higher education
government sees 3. The regulations of the you
3. have acquired
Fortunately and what you
or unfortunately in 3. employability,
Government looks at 3. - that is only pharma. 3. Government
G ve
Go views 3. The
T Government m nt of
me 3. Government
G v
Go has 3. Government views 3. The government is 3. No idea 3. Government of India 3. 3. Government see
government viewed views privatisation of private universities all over the government towards privatisation in higher education Government are not the Indian system, in universities factors such as equity the opport
opportunity
ru
rt to create India is on a vision to liberal
li
lib eral re
regulations privatisation as a strategy open to private is ready to start at the privatisation as a
privatisation of higher higher education as a country should get recognised privatisation are sector as a tool to increase the implemented properly. This there is more of administration and access to higher an integrated
egrate economy increase
rease the number of ward privatisation;
towards to increase GER. universities with less higher rate at the later means to increase the
education? move to support three by University Grant mostly liberal Gross enrolment ratio of higher shows lack of interest of and less of governance. There are education by students. with the
he hum
human capital universities
ersit
i ies to achieve a
it however, in the future, regulation to control. This stage, which is to me employability status
fundamental challenges Commission. If it is not, without any sort of education. But these institutions governmental bodies to complex state and central Hence, the views of and jobs. GER of 50 per ce cent. when new regulations are is an act to increase the looks all very, saturated of higher education
that is access, equity and probably they will not only put control and UGC should be given adequate freedom manage private higher government policies on Government are open to Further, the he state o
of imposed on the private GER of the nation. now in terms of refunding, graduates.
quality. I believe that our penalties for any activities of regulation is not to manage themselves such as the education sector in India. privatisation of higher education. privatisation. Karnataka is playing i
ing k
key institutions, it should not in terms of resources in
country cannot ignore the private universities, and accepted and syllabus. role in bringing public and
ro affect their freedom to terms of man-power. In
private educational they also publicise in the whole implemented at all. pri
riv
ri
iv at universities
private education. this manner, the
institutions as they are country that these courses run This poses problems together. government adopts
currently attracting a large by suss and such private such as inadequate privatisation in the higher
number of students at university is not recognised. In quality of education education sector.
least initially efforts this manner, the Government is served to students.
should be made to imposing rules to manage
encourage the senior private higher education
4. Is encouraging private
4. institutionsofalso to universities.
Privatisation 4. Not in all cases. One issue 4. With the 4. I would state privatisation to 4. I would state if national 4. Private sector participation is 4. Pri
Privatisation
riv
ri
iv a is 4. I dont necessarily think thathat 4. In India, there is n
no 4. Quality of education 4. Privatisation is a 4. Obviously when 4. Universities cannot 4. There is a need to 4. There is a question 4. Some private 4. Yes, it brings out
privatisation of higher higher education in India is one of the state private increasing number of be a good option only if such quality of excellence, social deemed important. As previously hin
nothingi g but plain
in w
with increased private players in bri
r dg between industries
ri
bridge ndustrire
ri is a primary concern. In good concept if in case there is a need to increase be for employment, they revamp our education on how to satisfy the institutions have more potential
education good for increases the higher university started agriculture student enrolment, it institutions are philanthropic. justice, inclusion and mentioned, the perception of commercialisation.
mmercialisa
mme profit
fit
fi
it high
higher education, the nations and universities.
u Very
r ffew
ry Karnataka, a joint the professional degree is the GER, then we should are for life. That is why system on one hand and increasing demands and played important workforce.
India? education enrolment rate programs last year. In this is necessary for regional and social disparity students towards education is making would b be the econo
economic prospects will grow. If we pri
riv
ri
iv at institutions try to
private programme is conducted job-oriented. go with the strategies to the primary role of exposing the teachers to needs and aspiration of bringing quality
in India. Hence it is a agriculture program, as we all private institutions could be achieved, then whether they gain relevant motto and d the chcharitable analyse
analy
l se certain reports of the
ly bridge
bri
r dge the gap. However,
ri to exchange students and increase private higher universities is to increase timely changes in people of the country, inputs concentrating
good motive. know it was not given to private to emerge in the privatisation in Indian higher knowledge for what they ey ppay as a educationall in iinstitutions
stit
iu
it overn
r me
rn m n it is revealed that
government, the rate of unemployment teachers within the public education instiutions as the knowledge, build up knowledge levels of their especially the talented on the rural areas that
people earlier. It was all run by country. However, I education is a benefit. fee. In this regard, I claim
i pri
im private
r
ri that is alwayss temp
temptation
m t
mp ate in
private iinstitutions
stit
iu
it produce is high. This intrigues the and private universities. the funding for higher the attitude and skill is respective disciplines. young people has got this will bring this
Government universities. Now, would suggest that universities penetrate e the of commercialization
z tion a
za and industryr centri
ry rcm
ri
centric manpower, human role of pprivatisation as the This led new things to be education by Government also a part of it. But I This is how stakeholders opportunity to study in paradigm shift.
the last year or the present year there should be some knowledge into the students
dents so profit making.
p capital, andnd the 50% of them are not nation is still suffering learnt. However, I do not is very low. think you must consider perceive higher education various schools, internet
the private organisations can sort of collaboration that they become more relevant
elevant to Privatisation
Pri
riv
ri
iv a may prove employable. Then how will from u unemployment. see only the contribution all these things important; offered by private and various other
take up agriculture courses, between UGC and the industry sector. hazardous
hazaz rdo
za at times. privatisation be good. of the private sector as generating knowledge, universities. resources available, aware
veterinary courses and similar the state council and both private and public skill development as well of the higher education
to that. One of the private the education sector are concerned. as the large social benefits. So now with this
university in the state, has department of the concern that must be a background, its very
started agriculture programs state to oversee part. clear that days to come
taking 100s of students and private participation that private universities
running the program. Now, the in Higher education. are going to play the role.
students were already admitted
in the government agricultural
colleges, they have started
saying that particular university
which started agriculture
program no water, necessary
infrastructure, faculty and other
5. Can private 5. Institutions like Birla 5. I cannot clearly state the 5. I think in terms 5. Private universities definitely 5. There
ere is no reareal quality 5. Yes 5. Pri
Privatisation
riv
ri
iv atisation mam
may y 5. There is a new standard being 5. May be. Funding for 5. We view 5. Most private 5. Though private 5. I think 2 kinds of 5. The mounting 5. Excellence in Private 5. Universities are 5. Private funding
universities bring Institute of Technology significance of privatisation of of private bring higher standards in the cation fe
education ffed
d to students provide higher standard
standards adopted by private universities higher education is large internationalisation as a universities embrace universities burden education are possible. demands of higher Universities that is not so even established in are vast, hence the
higher standards in and Science, Pilani have Higher education in India with universities, the delivery of education; however enrolled
ed in
i high
higher education in Indian higher
gher education which is known as flipped as these institutions part of privatisation of technological concepts in One is for employment,
students with fee, the education require good especially the rural areas which aid standards of
the delivery of been maintaining the so many issues revolving great hope is, that recruitment training should also be sector (both
both priprivate
riv
ri
iv a and if academic flexibility,
i ilit
ib ili y, classroom. In this learning mode, collect fee and are private higher education in India, all activities. These act as while the other one is for
collected funds are used competent human standards are so slanting students belonging to education are
education? standards in engineering around the regulations for freedom that these provided. public). I think
hini k the sstandards
in diversity of force skill k
kill faculties guide students on how to players. Hence, the especially in the state of high standards for social transformation. I
for the development of resource. Private perhaps in my opinion it that region to be maintained.
on par with IITs the private institution approval. institutions have, have not been n me
m
mett sin
since
i
in the based, competency based proceed their career with the quality of education Karnataka. students to learn more the institutions think corporate universities in this global is different. Excellence is empowered.
current opinion of public enables to run any enrolment rate of studen
students in curriculum, innovative selected professional degree. Very delivered would be good. effectively. infrastructure. universities and private era are transformed in not used these days Additionally, the
private universities and number of good some private higher er programs, processes and little focus is on classroom universities have been term of curriculum, in talking about the standards of higher
institutions may be programmes and education institutionss is procedures, courses and environment and students look for busy. Looking at quality and standards. institutions especially education and the
justified to some extent. course which are relatively low. This createseates then creation of new practical knowledge. In this regard, everything as rightly said, regarding credibility. access to the same are
The existence of private futuristic. Hence, the an imbalance. knowledge by research I view privatisation to bring in terms of corporate increased.
universities not only higher standards of and then collaboration of benefits in higher education. context, personal attitude
improves the quality of higher education are international and national development, skill
education but also met. repute, of course quality development, but if they
provides the social student enhancement, forget about the larger
responsibility. The transparency and context of intervention to
success of self financing accountability and social the society to a social
private universities can be accountability are all transformation, that
6. Will privatisation of 6. No. The only issue 6. Discrimination may occur 6. With increase in 6. Pri
Privatisation
riv
ri
iv ati indeed d generate
generates 6. I clearly
learly
l vie
ly view the lack of 6. In the state
te of Ka
K
Karnataka,
r
rn 40 6. I do not perceive 6. To me privatisation has not 6. Skill development is 6. I could not 6. Social inclusiveness 6. There is no stable 6. Private institutions 6. In some way or 6. The private 6. Private 6. I dont find
higher education with privatisation is the since students trained in some the number of private discri
discrimination.
rim
ri
imi
minin a The present ki k
kind
ind of
ind social inclusion
lusion in
i h
higher % of seats in the professional
prof more good traits about created discrimination in the equity something I think that is completely oppose is lacking in private higher financial model for private nowadays are towards another, students are universities must have a institutions are discrimination .
create discrimination increase in the number of private institutions with poor institutions, there is a strength
trength w what is reported on n education sector.
ector. My views coursess are ssurrendered to the privatisation in Indian of higher education but inequity in lacking in both private privatisation as it has education institutions. I higher education increasing the enrolled in higher central role, a extending to rural Access to higher
in the distribution of unemployed graduates quality of education are a need to maintain nme
Government m nt ag
me agencies, 70% of are towards the public
a government
r me
rn m nt wh
w
which is an act to higher education. employment. and public sector higher merits too. However, I fear would suggest revision of institutions in India. employability of the education either in public philanthropic role for parts of the nation. education is
higher education? and postgraduate who affected. quality. graduatess are une unemployable they y private mix which can only
pr l
ly prevent
event discri
discrimination.
rim
ri
im I suppose Moreover, private education institutions. the factors of fee structure to create These are generally nation- it is good for the or private institutions. commercial purpose. The gap is getting increased, standards
acquire new skills and Discrimination
ation ma
m
mayy state exceptt the spec
special fields likee close the gap.
clo this should be implemented in all educational institutions This creates employment inaccessibility and social equity. diverse among different nation, however there are However, I find Since such a role is bridged nowadays are maintained and so
innovate their quality of occur sincece students medicine, the need fo fforr quality the states of the country. are mostly inequality. inequity in higher states. Hence equity doubts about the quality discrimination in the lacking, there will be no with new private on.
higher education that belonging to poor wo reasing
workforce is increasing. i .W
ing With h commercialised. I dont education. could not be maintained. of education delivered. employability status of basis for equity. institutions.
becomes extremely families suffer.
ff r. In
ffe iincreased
in crea number of graduates see the good prospects of students studying in
important. such cases, eme
m rg
me r in
emergingi every year, there is a private higher education different universities. It is
scholarships and nd discrimination
discririm
ri
imi
minin a in the job b enrolm
enrolment
lme
lm
me in India. the quality of education
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Tutors India

YOUR TRUSTED MENTOR SINCE 2001

Is Market Driven Educational Model (Encouraging Privatisation

YOUR TRUSTED MENTOR SINCE 2001

public higher education institutions.

Conclusions and Implications- Privatisation

YOUR TRUSTED MENTOR SINCE 2001

List of Table ............................................................................................................................... 5

List of Figures ............................................................................................................................ 5

CHAPTER I: INTRODUCTION ............................................................................................... 6

1.0 Background ...................................................................................................................... 6

1.2 Research Objectives .......................................................................................................

1.4 Scope of the study ..........................................................................................................

1.5 Chapter scheme ..............................................................................................................

CHAPTER II: LITERATURE REVIEW ................................................................

2.0 Encouraging privatisation in Indian Higher education .................................................. 12

2.1 Defining the terms ..........................................................................................................

2.2 Relationship between Liberalisation,

2.3 Privatisation in the educational

2.4 Privatisation of higher education

2.5 Privatisation in the Indian

2.7 Issues in Privatisation

2.8 Need forr Priv

2.9 Politicall economyy of hi

CHAPTER III: RESEARCH METHODOLOGY ................................................................... 36

3.0 Introduction .................................................................................................................... 36

3.1 Research design .............................................................................................................. 36

3.2 Research philosophy ...................................................................................................... 37

YOUR TRUSTED MENTOR SINCE 2001

3.3 Research Approach ........................................................................................................37

3.4 Target population and sample size ................................................................................. 38

3.4.1 Sampling technique ................................................................................................. 39

3.5 Data collection................................................................................................................ 40

3.5.1 Data collection methods .......................................................................................... 40

3.5.2 Interviews in educational research .......................................................................... 40

4.4 Views of Indian Government

4.5 Encouraging privatisation

4.6 Private Universities

4.7 Role of privatisation inn maintainin

5.0 Role off privatisat

5.3 Governmental regulations and privatisation .................................................................. 64

5.4 Implications .................................................................................................................... 64

5.5 Conclusions .................................................................................................................... 66

YOUR TRUSTED MENTOR SINCE 2001

Table 1: Semi-structured interviews conducted with vice-chancellors and XXX of private

Figure 1: World higher education enrolment rate ................................

YOUR TRUSTED MENTOR SINCE 2001

initiation of private ownership with the authoritative

witnessed remarkable progress

YOUR TRUSTED MENTOR SINCE 2001

Figure 1: World higher education enrolment rate

Higher education student enrolment rate

Source: Adopted from UNESCO

The expansion of highe

YOUR TRUSTED MENTOR SINCE 2001

(Dhanuraj & Kumar, 2015).

YOUR TRUSTED MENTOR SINCE 2001

1. Resource allocation- The resources allocated by the state and central

YOUR TRUSTED MENTOR SINCE 2001

educational access is affected. A study by Chougle (2014) on understanding the perceptions

commitment (Chougle, 2014).

rivate sector participa

of funds to public institutions to create

YOUR TRUSTED MENTOR SINCE 2001