Factors influencing studentchoice to study at private higher

education institutionsMahsood Shah

English Language and Foundation Studies Centre, The University of Newcastle,Callaghan, Australia

Chenicheri Sid NairCentre for Advancement of Teaching and Learning,University of Western Australia, Perth, Australia, and

Lorraine BennettCentre for Innovation Learning and Professional Practice, Ballarat University,

Melbourne, Australia

Abstract

Purpose – This paper aims to make a contribution to the current lack of literature in the Australiancontext by reviewing qualitative feedback collected from students in five private higher educationinstitutions. In particular, the paper seeks to examine factors influencing student choice to study atprivate higher education institutions and student perceptions of such institutions. Previous studies onthis topic are mostly focussed on universities with lack of research with the booming private highereducation sector.

Design/methodology/approach – This study draws data from five different private for-profithigher education institutions in Australia. It involved feedback from 120 students undertaking highereducation courses in different discipline areas at different stages of study. The study involved 15 focusgroup interviews with eight students in a group. The selection of students was based on therepresentation of different characteristics of student such as: male/female, domestic/international, anddiscipline areas.

Findings – An analysis of the data collected from the students across these five institutions indicatedthat the main factors influencing student choice can be grouped in six domains. These are: studentperception; access and opportunity; learning environments; quality of teachers; course design; andgraduate success. This study reinforces that student perception of the private for-profit highereducation institutions is an important factor in influencing student choice to study at the institution.

Research limitations/implications – The limitation of the study was the ability to interview morestudents from larger colleges, across all discipline areas. However, the time and length of the focusgroup interviews was largely managed by the five institutions.

Originality/value – The private higher education sector has experienced consistent growth in thelast few years in Australia. Currently, there is no qualitative research done in Australian privatehigher education on factors influencing student choice to study with private institutions. The rise ofsuch providers require research on insights about student choice, student expectation and theirexperience.

Keywords Private education, Higher education, Student choice, Student perception, Australia

Paper type Research paper

The current issue and full text archive of this journal is available at

www.emeraldinsight.com/0968-4883.htm

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Received 3 April 2012Revised 13 November 2012Accepted 2 April 2013

Quality Assurance in EducationVol. 21 No. 4, 2013pp. 402-416q Emerald Group Publishing Limited0968-4883DOI 10.1108/QAE-04-2012-0019

IntroductionThe Australian tertiary education sector comprises 36 public universities, threeprivate, one foreign university, four self-accrediting institutions and more than 170private higher education institutions (AUQA, 2010) that offer and confer qualificationsat all levels in the Australian Qualifications Framework (AQF). The tertiary educationsector also includes many publicly-funded technical and further education (TAFE)institutes, which have traditionally offered vocational courses and are now alsoproviding higher education courses. The tertiary sector has more than 4,800 privateand community-based registered training organisations offering vocationalqualifications, with some also offering higher education courses.

Higher education was traditionally only offered by public and private universities.However, in recent years there has been a rise of non-university providers such asprivate higher education institutions offering courses in specialised areas. While thesector has grown significantly in many parts of the world, with predictions of futuregrowth, there is limited research on factors influencing student choice to study inprivate higher education institutions and their actual experience related to teaching,learning, education outcomes and support services. This paper aims to address thecurrent gap by providing analysis based on interviews with 120 higher educationstudents in five large to small private higher education institutions in Australia. Thestudy is timely in the Australian context as the private sector is experiencing growth inboth traditional face-to-face and external mode of delivery with significant challengesrelated to quality assurance. Private higher education institutions in this paper arenon-university providers offering higher education courses.

Insights about student choice to study with private higher education institutions areimportant as the Australian Government introduces two key policies which will drivecompetition and diversity within the sector. These policies include: a shift fromfunding projected student enrolments in universities to a demand driven model whichfunds actual student places (Commonwealth of Australia, 2011a). The secondgovernment policy which will impact on the growth in private higher educationinstitutions involves the introduction of student access and participation performancefunding. In particular, the government aims to increase the number of citizens whocomplete tertiary education to the bachelor degree level. To support this overall aim thegovernment has put in place a number of incentives and funding initiatives which areavailable to students wanting to access private higher education (Commonwealth ofAustralia, 2009a). Examples include the extension of government funding such assubsidised student loans to private providers; unmet student demand in traditionaluniversities (8.1 per cent in 2009) in Australia as a result of the growing demand ofhigher education (Commonwealth of Australia, 2009a); and the political interest ofgovernments in private higher education due to limited public funding which bringspublic benefit at low public cost (McCowan, 2004).

In the Australian context some additional external factors have played a key role inthe ongoing growth of private higher education institutions. These include: hugeinvestments made by private providers and consortiums in terms of expansion;acquisition and mergers of small family owned private higher education institutionswith large consortiums; the recognition and growth of student population during theglobal financial crisis with education seen as a marketable commodity when manyother sectors of business witnessed a downturn; and large investments made byprivate higher education institutions in marketing and advertising their courses (Shahand Lewis, 2010).

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Apart from government policy and external factors, student choice has also playeda key role in the ongoing growth of private higher education institutions. The ease ofentry in private colleges provides students with an alternative choice to access andparticipate in tertiary education which was not traditionally provided by universities(Shah and Nair, 2013). The market forces and increased student choice have resulted inthe growth of private higher education institutions who cater for a wide range ofstudents including mature aged and students who may not be ready for direct entryinto universities due to low academic achievement in high schools. Recent studies inUSA also suggest the growth of private higher education institutions offering coursesin flexible and online learning mode (Jee-Kim and Bonk, 2006).

The increasing tuition fees in universities and private higher education institutionsand growth of students have increased consumer interest in quality, standards andvalue for money for higher education (Shah and Nair, 2011). Most research related toprivate higher education in Australia suggest that some of the distinctive features ofprivate higher education in Australia include: vocational orientated learning withopportunity for students to undertake work experience while studying; quality ofteachers; small class size; personalised academic support services; high studentsatisfaction on the national Course Experience Questionnaire (CEQ) compared topublic universities; and high graduate employment rate, approximately 8-10 per centhigher than university graduates (Shah and Brown, 2009; Shah and Nair, 2011). Whilethe private sector in Australia has experienced consistent growth of 20 per cent in thelast few years, there is limited study on factors influencing student choice to study withprivate higher education institutions. Previous research in the Australian context haverevolved around quantitative research (Shah and Brown, 2009) and this study is basedon qualitative data collected from 120 students on factors influencing their choice tostudy with five private higher education institutions.

Conceptual frameworkMost studies on factors influencing student choice to study with a particular institutionof higher education are based on universities in the USA and UK. There is limitedresearch worldwide on factors influencing student choice to study with private highereducation institutions despite the growth of the sector in many parts of the world. Thestudy is pertinent in the current context of higher education in Australia withgovernment policies encouraging institutional diversity and increased competitionbetween providers.

International growth of private higher educationThe growth of private higher education has been experienced in many parts of theworld including Europe, the USA, Japan, Korea, New Zealand, Australia, Indonesia,Malaysia, India, China, Hong Kong, South Africa, Taiwan, Brazil, Uganda, Kenya,Tanzania and the Philippines (Gupta, 2008). The private higher education sector catersfor more than 70 per cent of students in India, Malaysia, Japan, South Korea, Indonesiaand Philippines, more than 30 per cent in Mainland China, more than 15 per cent inThailand and Vietnam (Gupta, 2008) and 9.3 per cent in New Zealand (Xiaoying andAbbott, 2008). In China, students favour private higher education institutions foracquiring “vocational knowledge” or “a clear future career orientation” (Wei, 2006, p. 8).Private higher education is also growing in the Middle East. According to Al-Atiqi andAlharbi (2009), the private sector in Kuwait is expected to grow by 45,000 students by

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2025, which will exceed enrolments in public universities. In Europe, private highereducation enrolments range from 66.6 per cent in Cyprus; 34.1 per cent in Poland and31.9 per cent in Latvia. Growth is also predicted in the countries such as Portugal,Georgia and Bulgaria. In Africa, the growth of private higher education is evident incountries like Gabon with 47 per cent enrolments; Mozambique 32 per cent andEthiopia 24 per cent (UNESCO, 2009).

Across the world, traditional universities are losing their monopoly with largenumbers of private higher education institutions entering higher education. Privatehigher education institutions are found to be more adaptable to the changing needs ofthe market and to provide a wider choice of job-related skills to students andemployers. According to Levy (2007, p. 11), these institutions are generally more“secular”, “culturally diverse”, “less politicised” and “learner-friendly”. A studyundertaken by Oketch (2009) in three African countries suggests that private highereducation institution has improved access to university education, and that it couldplay a strategic role in further widening participation in future. According toJalowiecki (2001), private higher education in Poland is more responsive to thedemands of the economy and tends to operate more efficiently. Studies by Galbraith(2003) in countries such as Poland and Romania, where private higher educationenrolments are almost one third of tertiary students, concluded that private institutionswere better able to meet the higher education needs of these societies.

Chae and Hong’s (2009) research also mirror previous research work in that it showsthat private higher education has played a significant role in making higher educationaccessible in Korea. For example, it has increased the participation of people in the25-64 year age group to 32 per cent, which is 6 per cent higher than the Organisation forEconomic Co-operation and Development (OECD) average. McCowan (2004) suggeststhat the existence of private higher education in Brazil, with its advantages of ease ofentry, flexible hours and locations outside metropolitan areas, has led to manyBrazilians gaining a university degree who would not otherwise have been able toaccess publicly-funded tertiary institutions. According to Lee (2008), private highereducation institutions tend to offer courses that do not require high capital cost. Privateproviders are well informed about market intelligence and growth avenues, and useinnovative marketing strategies to reach prospective students. Enrolments in privateinstitutions in the USA jumped by 225 per cent from 1998 to 2008; this was more thanseven times the rate for all post-secondary programs. The Apollo Group’s University ofPhoenix, the biggest proprietary college, now enrols 476,500 students. In 2008-2009,around $24 billion in federal loans went to private colleges (The Economist, 2010).Recent studies suggest a declining trend in the growth of private higher education incountries such as Portugal, Georgia, and Japan (Levy, 2010), Colombia (Uribe, 2010),and Thailand (Praphamontripong, 2010).

A snap shot of private higher education in AustraliaIn 2010, the total commencing student enrolment in private higher educationinstitutions was 43,676 which constitutes 9 per cent of the total higher educationenrolment. The sector has consistently experienced growth with increases of 2.5 percent in 2010; 20.5 per cent in 2009; and 21.7 per cent in 2008. By comparison, thecommencing student growth in Australian public universities was 3.8 per cent in 2010;8.6 per cent in 2009; and 3.9 per cent in 2008. The growth in 2010 in private higheducation sector is low compared to the average growth of 20 per cent in the previous

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two years. This is primarily due to the decline in international student enrolments(Commonwealth of Australia, 2010). New trends appear in the recent data with 78.3 percent growth of commencing student enrolments in external mode of delivery comparedto 1.2 per cent in public universities (Commonwealth of Australia, 2011b).

The growth of private higher education is mainly driven by customer demand. It isagile and responsive to the market and draws on business models of operation tocapitalise on growth opportunities. This is particularly evident in the marketing andself-funding strategies most private providers employ. Private higher education is alsoquick to adapt to new modes of education delivery with growing number of providersoffering flexible and online learning (Shah and Nair, 2013). In recent years newrelationships between private institutions and public universities in Australia havestarted to emerge involving partnerships and pathway programs. These arrangementsbenefit private higher education institutions in that they allow them to offer theirstudents pathways to advanced study. They benefit universities in that they shore up asteady stream of future students which is critical in a highly competitive studentdriven market (Shah and Lewis, 2010).

Private higher education in Australia has been particularly attractive to studentswho were disadvantaged with direct access to university education due to theirperformance in high schools or for mature age adults who commenced employmentafter completing high school. Despite the lack of government policy and incentives forsuch providers to provide access and opportunity for disadvantaged students, manyproviders have large proportion of students from diverse backgrounds. A studyundertaken by Shah and Lewis (2010) suggests that almost 45-48 per cent of studentsin some private higher education institutions are first in the immediate family toundertake tertiary education; 37-45 per cent mature age students and in one college 68per cent of students are female. This analysis suggests that the private sector inAustralia is playing a key role in providing access, opportunity and pathway for manydomestic and international students who would not have direct access to tertiaryeducation in traditional universities. While some critics from the university sectorquestion the credibility of some private higher education institutions and the qualityand standard of education offered, it is clear that private providers are growing rapidly(Commonwealth of Australia, 2009a, b) and the sector is catering for a cohort of studentwho would not have the opportunity to access tertiary education based exclusively ona secondary school performance score. Characteristics such as small class size with anaverage of 20 students; vocational orientated education with opportunity for studentsto undertake work based learning with employers; opportunity for students to linkwith prospective employers while studying; use of leading industry practitioners asteachers; short duration of courses (e.g. diploma in one year); and use of technology inlearning with significant student support for online learning are some of the manyfeatures which make private higher education attractive to a growing cohort ofstudents (Shah and Brown, 2009).

Previous research on student choice and experience in private highereducationInvestigation into factors influencing student choice to study in an institution isimportant for a number of reasons. Primarily it gives the institution an understandingof the reasons why students choose a particular institution over others. Second, theinformation obtained can and should be used by institutions to assist in the

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development of their marketing strategies. The knowledge on student choice andperception of an institution can also help institutions to understand studentexpectations and strategies that could be implemented to improve the studentexperience. In addition, it gives empirical evidence to the institutions to strive forchange. For example, Agronow and Hengstler (1995) study at the University ofCalifornia, Santa Barbara (UCSB) identified problems with top students rejectingUCSB because of its academic reputation.

There is limited research study on factors influencing student choice in privatehigher education in Australia. Most research to-date is based on universities andpublicly funded community colleges in the USA and UK using quantitative method.Chapman (1981) suggests three factors influencing student choice. They include:information obtained from friends, parents and high school staff, second: institutionalcharacteristics such as cost and location and finally, institutional effort to communicatewith students. In addition Joseph and Joseph’s study (1998) with 300 students foundsuch factors as service quality and the value of education and the degree alsoimportant in influencing student. Similar findings were also found in a studyundertaken in Scotland with accounting and engineering students. The studyundertaken by Briggs (2006) suggested that academic reputation, distance from home,and location were also key factors in student choice. Studies undertaken by Canale et al.(1996) and Coccari and Javalgi (1995) in the USA suggest that quality of teachers,academic reputation and cost were seen as the top three highly ranked itemsinfluencing student choice of university. Research on factors influencing student choiceto study in higher education has so far shown that the most important factors includecharacteristics related to quality of the institution, quality of teachers or quality ofacademic programs and infrastructure. Studies undertaken with both students andparents by Broekemier and Seshadri (1999) show that the quality of program of study,campus safety, cost and academic reputation as the top key criteria used by studentsand parents to choose institutions.

The only quantitative study undertaken in Australia with 750 students on factorsinfluencing student choice to study with a private higher education institution suggestthat the top three reasons in rank order are: quality of teaching staff; quality of courses;and reputation of the college (Shah and Brown, 2009). Despite the growth of privatehigher education, there is no qualitative research which has attempted to find out thefactors influencing student choice to study with private higher education colleges. Suchstudy is important as the private sector continues to grow in both traditionalface-to-face learning and external mode of delivery. The study on factors influencinggrowth is timely as governments are also introducing policies to encourage highereducation diversity and to provide publicly available information on MyUniversityweb site for the public to assess the quality and performance of universities.

MethodologyThe research is based on qualitative study undertaken with five private highereducation institutions in Australia. The institutional size varied between 300 and 5,000students offering courses in diverse disciplines including: business and commence,journalism, health and sciences, and graphic and interior design. A sample of 24students were interviewed from each institution using structured open ended questions(See the Appendix). The questions were related to the factors influencing studentchoice to study with private higher education institutions, and student’s views on

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whether their expectations met their actual experience. The paper only aims to explorethe factors influencing student choice. The representative sample of 24 students in eachinstitution aligned with the student profile of the institution with studentcharacteristics such as: male/female, domestic/international, and discipline areas.Two private higher education institutions offered diploma and advanced diplomacourses with pathways into universities and the other three offered their ownundergraduate degrees. A total of 15 focus group interviews where held with eightstudents in a group. Three external interviewers were engaged to run focus groupinterviews with expertise in the measurement and enhancement of student experience.The interviewers first reviewed the student profile from each of the five institutionsand identified the number of students in each category. Students were invited to bepart of the focus group interviews with formal e-mail invitation sent by theinstitutional quality unit. Telephone follow up was undertaken with the quality unit toconfirm student attendance.

The reviewers communicated the purpose of the focus group interviews to eachgroup and confirmed anonymity of their feedback. The main purpose of the study wasto find out the factors influencing student choice to study with private higher educationinstitutions and their experience of teaching, course of study, and other aspects oflearning. All students in the focus group interviews were invited to providecomments/feedback on the questions asked.

The limitation of the study was the ability to interview more students from largercolleges, across all discipline areas. However, the time and length of the focus groupinterviews was largely managed by the five institutions.

Findings and discussionStudent choiceThe qualitative study on factors influencing student choice to study with privatehigher education institutions is unique. So far, there is no qualitative study in theAustralian context across five different institutions on factors influencing studentchoice despite the ongoing growth of private higher education.

An analysis of the data collected from the students across these five institutionsindicated that the main factors influencing student choice can be grouped in sixdomains. These are: student perception; access and opportunity; learningenvironments; quality of teachers; course design; and graduate success. Table Ioutlines these key factors influencing student choice to study in private highereducation institutions. The six domain areas illustrated in Table I are aligned toquality cycle discourse including input, processes and outcomes.

Generally, all students portrayed themselves as confident consumers who were wellinformed of the institutions and their needs. This translated into student makingdecisions about where to study with clear expectations of the course requirements, thenature of the study and workload and the end product (qualification/employment).

This study reinforces that student perception of the private higher educationinstitutions is an important factor in influencing student choice to study at theinstitution and align with the study in universities carried out by Briggs (2006), Canaleet al. (1996) and Coccari and Javalgi (1995). Almost 60 per cent of students who enrol inprivate higher education institutions do so because of the reputation of the institutions.Tied in with this is on how the institution is perceived by alumni, current students andemployers of institution graduates. Some students interviewed reported that they had

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Table I.Factors influencing

student choice to study inprivate higher education

institutions

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transferred from university education to a private higher education institution becauseof the positive learning environment. The main reasons backing this were the smallclass size in private colleges; a personalised learning environment; and greaterflexibility. These same reasons were echoed by the other students interviewed as theirmain reasons for choosing a private higher education institution. This suggests thatthe positive student experience of the course, teaching and the overall institution islargely based on the institutions ability to manage student expectations with flexibilityto change systems and processes based on the insights on what matters to students interms of their expectations.

In many instances employers in professions such as counselling, psychotherapy,naturopathy, Chinese medicine, design, hospitality and journalism have played acritical role in student choice. The professions have on a number of occasionsrecommended students to consider private higher education institutions instead of thetraditional route through universities. Supporting this view were employers whoendorsed courses in private higher education institutions because of their personalexperience and the standard of private institutions graduates that they now employ.

Another key factor influencing student choice that came out strongly in studentinterviews was the positive response to the alternative opportunity to participate intertiary education provided by the private higher education institutions. This factorhas shown to be important in a study carried out by Oketch (2009) in Africa.approximately, 80 per cent students reported that not only did the private highereducation institutions provide an alternative pathway into university studies; they alsooffered a more staged transition from secondary to post-secondary education for thosewho were not ready or who were ineligible for direct entry into university. Studentsreported that private higher education institutions at the diploma or associate degreelevel enabled transition from work to tertiary education or from high school to tertiaryeducation. For many students who did not perform well in high schools, private highereducation has provided access and opportunity to participate in higher educationwhich they may not have accessed directly through the university. In addition, manystudents also reported that the ease of access enabled them to continue their educationwith the hope of success and a second chance to succeed after experiencing lowacademic achievement in high school. While these students had low academicachievement in high schools, they were keen to complete an undergraduate degreethrough the opportunity provided by private higher education institutions to achievetheir goals and career aspirations. Supporting this is the enrolment data in one privatehigher education institution where 42 per cent of students enrolled had high schoolachievement below the normal cut off accepted in universities with 37 per cent beingmature age students and 45 per cent students first in the immediate family toundertake tertiary education. Though this demographic data revealed a diversestudent cohort, the data also showed good course completion rates. For example,course completions in one provider was as high as 95 per cent with 94 per cent ofstudents finding employment on completion of courses in their field of study (Shah andNair, 2013).

The location of the institution near public transport and its accessibility within thecity precinct also played a key role in student choice. This supports studies ofChapman (1981) and Briggs (2006) who found that location played an important part inchoice of provider. This was highlighted by students from all five institutions who arelocated near to the public transport. Students liked the fact that the institution was in

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the heart of urban life and transportation was not an issue and they did have to rely onprivate transportation to access the campus.

The learning environment was also a factor that was identified as influencingstudent choice to study in private higher education institutions. The small class sizewith an average of 16-23 students and the opportunity for students to interact with thepeers and the teacher were reported as attractive features for many students, includingthose who transferred from universities. Prior to enrolment, many students visited theinstitution during open days. Many students reported that their visits andconversations with course advisors and institution staff along with the small andpersonalised learning environments had influenced their decision to study at theinstitution. In two of the institutions, a large proportion of students were femalemature-aged students. This feature was a draw card in at least two of the institutionswhich tended to recruit and attract students from similar age groups who weresearching for ongoing peer support and networks of colleagues with similar studyaspirations.

The provision of online study was also an attraction of some students ininstitutions. Students studying through online learning modes in courses such ascounselling, human resources, and business management reported that they are able tocomplete the full course from remote regions across Australia where access to tertiaryeducation with work experience is often difficult. The emergence of online learning inprivate higher education and its continued growth in the area will undoubtedlyimprove access and participation of many students from remote regions.

The quality of teaching staff was identified as a key factor influencing studentchoice to study with private higher education institutions and lines up with an earlierquantitative study reporting the positive influence of teaching in private highereducation (Shah and Brown, 2009). Private higher education institutions in Australiahave a large proportion of teaching staff who are engaged in a sessional capacity. Inthe main teachers are drawn from industry and professions and bring to the learningexperience relevant and up-to-date industry experience. Most students in privatehigher education institutions believe that the use of leading industry practitioners asteachers provides up-to-date knowledge on changing practices in various industriesand more importantly it enables students to connect with employers and industry viathe teachers. The small class size also allowed regular contact with teachers.

Another factor influencing student choice was the design of the courses. The shortercourse duration such as a one year diploma and a one-and-a-half to two year associatedegree is seen as an attractive option and provides flexibility for many students. Thepractical nature of courses which have work experience or employer based practicumsand a placement embedded in their courses is a strong feature of the courses. Bothstudents and employers view the practical experience as preparing work readygraduates with key employability skills attained prior to completing the course. Thisbenefit was prominent in student feedback related to why they had chosen the courseand the institution. Many institutions develop a highly regarded reputation for theseniche areas and attract new students because of the high profile alumni and teachingstaff in specialised areas.

Finally, one of the main factors influencing student choice was the success ofprivate higher education institutions graduates in industry. Private higher educationgraduates who complete courses in health and wellness areas such as counselling,naturopathy, psychotherapy and other areas open their own practice with successfuloutcomes. The five private higher education institutions included in this study have

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more than 90 per cent of their graduates in part time or full time work in theirprofessions after completing their courses.

The factors influencing student choice to study with private higher educationinstitutions align with Abraham Maslow’s (1965) need hierarchy. Most of the factorscontributing student choice are mostly related to social needs such as: pathway andopportunity to access university education; ease of entry; location of the college; smallclass size; flexible study options; profile of students (e.g. same age group or gender),etc. The social needs are related to demographic marketing segmentation which isfocused on consumers from certain demographics. In the case of student choice inprivate higher education, most students who enrolled with private higher educationinstitutions may not have attained high results in secondary education. Therefore,private higher education provides an alternative pathway with ease of entry withtransition from college to university education for such group of students. According toPatterson et al. (1998) higher education is a pure service and is characterised by agreater amount of interpersonal contact, complexity, divergence, and customizationthan other service businesses. Most of the quality attributes in higher education cannotbe perceived, felt, or tested in advance (Cubillo et al., 2006). Early structural models(Gambetta (1996), Roberts (1984) and Ryrie (1981) explain choice in the context ofinstitutional, economic and cultural constraints imposed upon choosers whosedecisions can be predicted along socio-economic, cultural and ethnic lines. Such modelshave been used to predict and explain participation and progression of students intohigher education.

ConclusionThis paper provides interesting insights into why students choose to undertaketertiary education study at private higher education institutions. The feedback,primarily gathered from students revealed a number of factors many of which weredirectly related to the quality of the student experience. Factors such as the potentialfor greater engagements with peers and the teaching staff, the currency and industryspecific knowledge of the teaching staff, the opportunity to undertake practicalindustry-based experience and to build relationship with the industry and the smallclass sizes and potential for dialogue within the class room were cited as key reasonswhy students decided to study with private higher education institutions. Such keyfactors are not new in the university context but this is the first study that revealsqualitatively that such factors are drivers to students choosing private highereducation institutions. Additionally, some students acknowledged that the privatehigher education was their only study option as they had not met the higher entryrequirements of a university. However, others indicated that they intentionally chosethe private college though they could have accessed university study or had previouslytried university study but found it too isolating and depersonalised.

It is clear from the feedback gathered in this study that private higher educationinstitutions are a viable, exciting and popular stream within the vocation educationand training and higher education sector. It is a section of the market which is growing.Most private higher education institutions are still quite small and focus on a fewspecialised areas which mean that they can respond quickly to market trends andchanging policies. The fact that many staff are practicing professionals is veryappealing to students as they get to engage in authentic contemporary topics andissues and draw on current resources and information.

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In the past colleagues in the higher education sector have had limited exposure to orconnection with private higher education institutions. This has changed slightly in thelast few years. Some universities are starting to engage private higher educationinstitutions to deliver pathway courses in which articulate into university courses.Many universities have also established articulation arrangements with private highereducation institutions whereby the VET diploma and associate degrees are deliveredby the private provider and once completed the students feed into the university degreeand post degree programs.

The study on factors influencing student choice is important in gaining insights onstudent expectations of private higher education. The findings of this study in privatehigher education institutions are different from previous studies undertaken withuniversities in the USA and the UK. For example, this study showed that the factorsinfluencing student choice to study with private higher education includes:

. pathway to university education after completing first year diploma;

. ease of entry with lower entry criteria;

. small class size and opportunity to interact with teachers and peers;

. personalised learning environments;

. flexible study options such as online learning;

. course design with opportunity to undertake work placement while studying togain experience;

. age group of students in disciplines such as counselling and psychotherapy;

. teachers are drawn from industry with up-to-date knowledge; and

. specialised courses for the profession, e.g. clinical myotherapy, naturopathy.

Some of the findings in this study align with the quantitative findings by Shah andBrown (2009) in a private college who suggest that quality of teachers, quality ofcourses, and the reputation of the private college seen as key factors influencingstudent choice.

The study on student choice and future need for studies in student experience inprivate higher education in Australia is critical for a number of reasons including:understanding the views of students about private higher education; ways by whichprivate higher education institutions could enhance student experience; understandingthe role of private higher education in social and economic development; changinggovernment policy with focus on improving the access and participation ofdisadvantaged students in tertiary education; governments initiative to extend publicfunding of private higher education using student loan; strengthening the accreditationand regulation of all higher education institutions with single criteria to ensure publicconfidence of all providers; and finally the governments’ plan to introduceMyUniversity web site as a mean to ensure transparency by providing publiclyavailable information on institutional performance.

Across Australia the number of students accessing private higher education isincreasing rapidly and this study reveals a number of specific reasons as to whystudents choose to study at private higher education institutions. Many of thesereasons are a result of deliberate decisions by students to choose a course appropriateto their needs and priorities and not as a course of last resort. While the future for theprivate higher education sector looks healthy this study also highlighted the

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importance of listening to the student voice. To ensure that the sector remains robustand relevant, such institutions are well advised to ensure that they implement andmonitor quality improvement systems and processes to continue to grow the quality oftheir courses and offerings.

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Appendix. Discussion questions prepared for the focus group interviewsFactors influencing student choice:

(1) What were some of the contributing factors influencing your choice to study with xxxxCollege?

(2) How did you find out about xxxx College?

(3) Has your expectations prior to enrolment met your actual experience?

Student experience

(4) How is xxxx College different from your experience at the university? (question wasonly asked to those students who commenced at the University and later joined theprivate college).

(5) What are the best aspects of your experience at xxxx College?

(6) What are some areas where improvement is needed?

(7) If you were the CEO of the College, what would you do to improve student experience?

Corresponding authorMahsood Shah can be contacted at: shah_mahsood@hotmail.com

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