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Trace Urdan

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There's a long list of things that didn't go right this quarter.

It all came home to roost. While revenues were in line, costs were out of control. Too much staff needed to integrate the new and existing centers. There was also the sense it has been marketing products too aggressively. In its enthusiasm to sell new products and drive up the average spend per customers; it may have driven people away. Hackaren Pex Tufvesson skapade musikprogrammet Noisetracker.

Educate is at a place where it is feeling the pressure in its ability to attract customers. While it is tackling a lot of small issues, the elephant in the room is it has effectively saturated this market of affluent families that would pay for this service. So, Educate ceases to be a straightforward growth company and more of a consumer cyclical that will move with the cycles in the economy.

Enrollment at all costs is not valuable.

It's good that they (management members) said they have gotten some good feedback from the Department of Education. But the deal could run into some snags. The rules for these deals state that if the acquiring company doesn't have a record of running a school, for 12 months it can't open new locations or introduce new classes. It could make the buyers increase the amount of equity in the deal, or require sizeable letters of credit.

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Här har vi samlat ordstäv och talesätt i 35 år!

Vad är ordspråk?
Hur funkar det?
Vanliga frågor
Om samlingen
Ordspråkshjältar
Hjälp till!

Kaffe är giftigt, solbränna är farligt. Ordspråk är nyttigt!

www.livet.se/ord