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«Economy of Scale» or «Economy of Scope»: What Universities Should Rely on in the Competitive Struggle?

https://doi.org/10.15826/umpa.2021.01.010

Abstract

This conceptual article presents microeconomic approaches to analyzing the shifts in universities’ expenses and the saving effects of the scale and scope of HEI’s activities. The authors provide an overview of econometric studies which assess the effects considered for universities in some countries. As a result, there comes to be questioned the economic feasibility of consolidating and expanding the universities’ activities, the reasonability of combining research with educational activities. The discussion concerns the transformation of the universities’ economy in the context of education digitalization, the prospects of the «economy of scale» and the «economy of scope» to be compared. The conclusions are drawn on the possible benefit for large universities, on its consequences for competition in higher education, and on the partnership benefits for all market players.

About the Authors

P. V. Derkachev
National Research University Higher School of Economics
Russian Federation

Pavel V. Derkachev – PhD (Economics), Leading Research Fellow,  Institute of Education, Centre for Financial and Economic 
Decisions in Education

16 Potapovsky Pereulok, Building 10, Moscow, 101000

+7 926 221-08-06



K. V. Zinkovsky
National Research University Higher School of Economics
Russian Federation

Kirill V. Zinkovsky – PhD (Economics), Programme Academic  Supervisor «Management in Higher Education», Institute of 
Education

16 Potapovsky Pereulok, Building 10, Moscow, 101000



I. A. Kravchenko
National Research University Higher School of Economics
Russian Federation

Ivan A. Kravchenko – Analyst, Centre for Financial and Economic Decisions in Education, Institute of Education

16 Potapovsky Pereulok, Building 10, Moscow, 101000



K. A. Semenova
National Research University Higher School of Economics
Russian Federation

Kristina A. Semenova – Analyst, Centre for Financial and Economic Decisions in Education, Institute of Education

16 Potapovsky Pereulok, Building 10, Moscow, 101000



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For citations:


Derkachev P.V., Zinkovsky K.V., Kravchenko I.A., Semenova K.A. «Economy of Scale» or «Economy of Scope»: What Universities Should Rely on in the Competitive Struggle? University Management: Practice and Analysis. 2021;25(1):131-141. (In Russ.) https://doi.org/10.15826/umpa.2021.01.010

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ISSN 1999-6659 (Online)