Saturday, May 5, 2012
Chain Tuition Centres are everywhere now. Prices are going up and of course young couples will certainly view this with dismay: really expensive to bring up kids here.
Kids are like expensive US bombers and naval ships. You have as few as possible because you simply can't afford it. Recently my school teacher cousin writing to me revealed that her two kids, aged four and two cost her $3K a month in childcare. Costs are really running out of hand here. I don't suppose tuition is in our CPI basket is it?
As a business I wonder if tuition centres are not becoming the next business bubble. When everyone thinks the education business is a no brain, recession proof idea, this sector gets over invested. With so much excess liquidity in this economy, every bad idea gets money anyway. It is a matter of time this bubble burst. If it doesn't perhaps MOE will bring along their big pin to do the job. It's a matter of time this becomes a political issue of haves and have-nots.