Director: Daniel C. Levy

A Texas Company Sees Online Learning as Growth Industry in Latin America

PROPHE Summary (by Kevin Kinser):

Whitney International University System is a for-profit company that is developing alliances or purchasing controlling stakes in private institutions of higher education in Latin America. With a presence in Argentina, Brazil, Columbia, and Panama, and plans to expand throughout Latin America, Whitney uses a distance education model to attract students who have few other options to continue their education without leaving home. Courses are designed and taught by faculty from the local campus and delivered via satellite to remote sites in the country. It focuses on acquiring or partnering with low to mid-tier private institutions that offer degrees in high demand fields, and anticipates 40,00 students enrolled by the end of the year. Concerns have been raised by observers about regulation and quality, and even though Whitney is licensed to operate by the government, its operations are not yet accredited by either national or international agencies. Government officials quoted in the article, however, expressed satisfaction with Whitney, and argue that distance education provides opportunities for students in rural areas.  

PROPHE Observation(byKevin Kinser) :
With advances in technology, distance education holds promise as an alternative delivery system for higher education, especially to far flung areas with little access through traditional means. There has long been an interest in distance education from the private sector. In particular, for-profit institutions have shown themselves to be adept at developing and marketing distance education programs. Although it can be expensive to set up a well-designed program, the potential for an expanding revenue stream through economies of scale and distributed networks is an attractive proposition for profit seeking companies. The regulation of these initiatives in international contexts is uncertain, though. Instruction may originate in one country for delivery on another, with authority to license the operation somewhat ambiguous. The rules governing this sort of cross-border provision of distance education are not well established, and essentially rely on local governments to assume responsibility for remote programs, regardless of their country of origin. Especially in the case of a company like Whitney, which is expanding through acquisitions without oversight by accreditation bodies, important questions regarding the quality of its academic model are not known. As a private company, too, it does not have to reveal the details of its agreements with other institutions. Still, the reputation and prominence of an international corporation does lend legitimacy to the for-profit higher education that typically is not present in domestic efforts.