Brain Gain (Part I - An outsider's perspective)

In 2008, Atlanta based Georgia Tech University bought 250acres of land near Hyderabad. (Source: Times of India)
Duke University's Fuqua School of Business—which has a tie-up with the Indian Institute of Management, Ahmedabad, for a corporate program—plans to expand its reach in India. (Source: Wall Street Journal)
Imperial College, Duke College, Georgia Tech and Schulich School of Business (York University) — are among those who have so far met senior officials in the HRD ministry and spoken of setting up a full-fledged campus. (Source: Times of India)

The UPA Cabinet has cleared the Foreign Education (Regulation of Entry and Operation) Bill which would further require Parliamentary nod to be turned into a law which would facilitate the globally renowned foreign institutes to set up campuses in India to cater to the higher education system.

So what does this mean for the stake holders?

Aneesh Jain and I spent the night in coming up with an amateur's outlook on this.

Lets break this up in the following way:
I) From the foreign university's perspective:
a) Top of the line engineering and business schools
b) Second tier engineering and business schools

II) From the Indian university's point of view
a) Tier I universities
b)Tuer II universities

III) From the Indian student's perspective

So lets start.

I) From the foreign university's perspective:
India with its burgeoning middle class and expected to reach its demographic dividend in the next 5-10 years, is a huge market for education. Also wide scale top-of-line quality education is limited and hence the need is definitely there. So it is a huge untapped market that these universities are looking to capture.

a) I really do not see it why the best of the best foreign universities will look at opening campuses here. Not that they have a dirth of students. Also, opening up more campuses, i.e. increasing intake means compromising on the quality of students and hence they would rather hold on to the brand name they already have and give this a miss.
However, what might be interesting to see is if they go ahead to open specialized research facilities that would also sponsor exchange programs.
Similar story here for the normal MBA programs. But, wait a minute, this might have a huge effect for the Executive MBA programs. Now, opening up a small campus in India just to cater to executive mba and coming up with procedures and a system to facilitate holding some part of the course here and some part at the mother campus will definitely increase the number of applicants from those executives who cannot take much time off work. So, I think these universities should look at this opportunity.

b) These universities have everything to gain. Any course, not just engineering and business, will attract large amount of student applications, as these universities will be fees wise marginally more than the private universities and quality-brand wise way more better. So, for them it makes full sense to come into the country all guns blazing. Also with the monetary and infrastructure backing these universities will be able to attract good faculty, the hiring of which will none-the-less be done centrally through the mother campus.

With regards to the research centre strategy:
I see that in the short term for the generic research that goes on, foreign universities engaging in this in their Indian campuses is a good step. There is access to widespread student crowd which will chip in and these generic researches no longer attract huge industry funds and hence doing this research in India is a cost effective way of maintaining the research.
I see the mother campuses holding on the specialized research capabilities due to access to quality faculty, quality researchers and the funds.
However, in the long term, I see the foreign centres moving towards setting up of a specialty research clinic in campuses around the world in lieu with the area's specialty.

....continued in the next post.

Till then do pour in your thoughts on this move from this angle.