The competition relationship between the Navitas and Kaplan is based on high educational service. They both play an important role at own educational fields and geographical fields. According to Brandenburger and Nalebuffs Value Net model Assume that Navitas is the company and Kaplan is one of competitors of Navitas. Most of customers are international students because of the target market of the Navitas. And the suppliers can be universities that have a positive relation with the Navitas such as Griffith University. Moreover, complementor can be student accommodation, good transport connections and appropriate shopping facilities such as a post office in the school. Additionally, the value of Navitas wants to add which is customer loyalty, and it is implemented very well. There is an increasingly number of international students especially Chinese students and Indian students are attracted to entry Navitas for Language improvement and preparation of university. Rules specify ways of attracting customers with strategies such as tuition fee of price-matching. Tactics are the practices sometimes used to take away a competitors possible market share, for example, Navitas provides university pathways programs.
Scope is the final part, used to take a broader prospective and create links between competitors games and interests and see how co-opetition can benefit the players. Also, using the 5Qs (pp. 32-33) assess 2. What is Navitas business strategy How well is it performing Navitas business strategy 5Qs What amount of growth and level of profitability does the organisation plan to achieve It wants to grow and be quite profitable. What products and services does it plan to produce Its services are programs leading to higher education in English-speaking countries. What customer and geographic markets does it plan to service Its customers are students, especially international students. What generic strategy does it plan to follow to position itself uniquely against competitors It focuses to form relationships with established, highly credible universities. What position does it plan to hold in the future It wants to be universally recognised as the most trusted global learning organisation in the world. Navitas is a diversified global education provides that offers an extensive range of educational service for students and professionals including university programs, language courses, workforce education and student recruitment. By 2009, the company had become the largest private provider of international pathway students to Australian universities.
Moreover, the goal of the company is expanding its initial position as a university pathway program to a global education provider. Additionally, the corporate strategy of Navitas is to create seamless education pathways for students. Besides, most of Navitass colleges were also located at or near university campuses, providing students with convenience and at the same time leveraging the reputation of university. Due to Navitas also provides English language courses for most low IELTS grades international students before they enter university, the competitors fail to attract more international students. In the future, Navitas prefer to increase and strengthen relations with oversea universities and local campus expansion, and the important point is still focus on international students education. 3. What is Kaplans corporate strategy What is its business strategy in Australia How well is it performing Kaplans corporate strategy Kaplan wants to grow reasonably rapidly and be profitable. It is a related corporation. All businesses of the corporation relate to each other. The businesses are all in the education and training areas, particularly in business-related or professional areas.
The position that Kaplan wants to achieve is to be one of the worlds largest diversified education companies. What amount of growth and level of profitability does the organisation plan to achieve What products and services does it plan to produce What customer and geographic markets does it plan to service What generic strategy does it plan to follow to position itself uniquely against competitors What position does it plan to hold in the future The mission of Kaplan is to help people achieve their educational and careers goals. Kaplan wants to grow in both breadth and depth of education offerings to cover the need of individuals throughout their lifetime, such as test preparations and admissions, kids and schools, meanwhile expanded and increased professional development programs in Australia as quick as possible as well as appointed chief executive of Kaplan Australia to oversee the companys expansion in the country.
4. To what extent is Kaplan a threat to Navitas What should Navitas do to address this Clearly Kaplan and Navitas are competitive relationship in Australia, especially the expansion of Kaplan in Australia is a direct challenge to Nacitass position in the educational market. Kaplan has found its way to make an agreement with a Go8 university whereas Navitas has struggled to get entry to this group. It would signal that Kaplans services may be better than Navitas in quality terms. It is a negative impact for Navitas in the education industry. Navitas should seek to grow internationally, trying to increase the international market share to make itself more famous and more attractive. On the other hand, Navitas should try to make an agreement with Go8 universities to steady the market share in Australia.
5. To what extent is Navitas a threat to Kaplan What should Kaplan do to address this Navitas entry into the US market is an threat to Kaplan. However, thus the US market is so large and the universities that Navitas is dealing with are not attractive enough, Navitas is difficult to cause any future threat to Kaplan. At this stage, it seems that it is not necessary for Kaplan to worry about the threat from Navitas. Kaplan should maintain the quality of service in US market and pay more attention to expand other markets. 6. To what extent do Navitas, Kaplan and similar organisations threaten existing government higher education institutions, such as universities and TAFEs The organizations like Navitas and Kaplan play multiple roles which can be competitor and complementor with existing government higher education institutions. They share student resource and built own brands to attract them. Moreover, overseas students are more profitable than domestic students.
Universities are able to charge full-fees for overseas students, while most domestic placements attract a lower fee. Hence, Navitas and Kaplan pay more attention on the international educational markets, but TAFEs prefer to train professional skills to domestic students for their future careers. The difference of target market of these universities can be operated by them to maximize profits. 7. What should universities do to address this The university should improve the quality of its own service and programs, to be more customer-focused. Moreover, university can work with these profit-based organisations and clearly delineate which services and programs each should provide.