Innovative Business Models for Higher Education: An Exploratory Analysis on Education Technology Start-Ups in Selected Countries

Abstract

There have not been any (breakthrough) innovations in education in the past 100 years. We mostly teach and learn the same way as our ancestors have done and there haven’t yet been any innovations that allow for faster or better learning or teaching. As a result there is a growing need for enhanced education technology (edtech) in the field of education. As innovation often comes from startups, this article examines which innovative business models are developed outside higher education institutions (in the edtech field), especially by entrepreneurs. Previous research has discussed the need for edtech innovation in educational institutions and has given concrete examples of how to improve present higher education models, technologies and procedures. Yet, only a few studies have analysed and compared edtech firms between different countries. The goal of this study is to analyse the core elements of innovative business models in the field of edtech start-ups in higher education and to identify the most original practices in teaching and learning. Our analysis of innovative business models in the edtech sector may inform higher education institutions about how to address their future challenges, for instance, by cooperating with edtech companies.