Over the past few decades, higher education has been rapidly taking on the characteristics of a global business, and at this point, many universities around the world are already fully utilizing the potential of educational institutions as entrepreneurial organizations to ensure a certain level of profitability by globalizing curricula, creating international educational networks, and developing the concept, concepts, and prospects of global education [4]. For example, American higher education institutions generate fifteen times more revenue from teaching international students than the U.S. government spends on it.
The state of educational services exports in each country is determined by the following factors:
- the prevalence of the language of instruction;
- the country’s economic and cultural appeal;
- the country’s international standing;
- the level of development of the national education system;
- the reputation of higher education institutions;
- the cost of tuition and living expenses;
- the flexibility of educational programs;
- the level of support services for international students;
- geopolitical, trade and economic, and cultural and historical ties between the exporting country and the importing country;
- the level of visibility of national educational institutions on the global stage.
Developed countries are paying increasing attention to the development of the educational services market, viewing it as a significant source of export revenue for their nations. For example, in the United States, higher education is the fifth-largest export sector in the U.S. economy in monetary terms, sometimes exceeding the revenue from arms exports. In Australia, the education sector is the third-largest source of budget revenue for the country’s economy. Recognizing the particular importance of educating international students and the need for government regulation of the export of educational services, the United States has established a special federal agency to oversee the recruitment of international students. Similar government agencies operate in the United Kingdom, Germany, France, and several other countries. Increasing the volume of educational service exports is one of the most important priorities of public policy in many countries around the world, due to:
- significant revenue generated by educational institutions’ export activities;
- the advancement of the geopolitical and economic interests of exporting countries;
- the transformation of national universities into international scientific and educational complexes—addressing global and national economic challenges
- the opportunity to utilize the best foreign graduates for the development of science and the economy in countries that export educational products;
- improving the quality of the professional training system in accordance with global international standards and taking into account the requirements of the global labor market.
According to UNESCO data, higher education institutions from over 140 countries are present in the global market for educational services, with the United States, the United Kingdom, Germany, France, Australia, China, Japan, Russia, and Canada among the leading players. At the same time, the main competition generally takes place among Western European countries, the United States, Australia, and Japan, which account for more than four-fifths of all international students.
Although the United States and Western Europe continue to attract the largest number of international students, other countries around the world are also actively competing for a share of the international education market. In the near future, countries such as China, India, Malaysia, Japan, Singapore, and South Korea will intensify the development of their national education systems and pursue active policies to attract international students, and thus may significantly influence market conditions by reducing the appeal of studying in Europe and North America for Asian students. It is worth noting that today, China and India are the main sources of international students for many leading countries that export educational services.
According to data from the Webometrics International Ranking, the global market for educational services is valued at $100 billion, with higher education accounting for half of this market. It should be noted that the global higher education market is highly concentrated, as more than half of all students studying abroad are in the United States (22%), the United Kingdom (14%), Germany, and France (10% each) [5]. The United States and the United Kingdom generate half of the higher education market’s revenue (approximately $24 billion), while the United States accounts for about $20 billion the United States—the remaining leading countries in the international higher education market (Australia, France, Germany, etc.), while developing countries account for about $5 billion, and CIS countries—$0.9 billion [8]. The steady growth in the number of international students indicates that demand for international educational services is constantly increasing and will continue to follow an upward trend in the future.
According to a UNESCO forecast, by 2025 the number of international students worldwide could reach 7.2 million. According to estimates by other experts, the projected number of international students pursuing higher education in 2040 could range from 9.1 million (low growth) to 12.3 million (medium growth) and up to 15.7 million (high growth) [9]. A strategic objective of Ukraine’s state education policy is to bring Ukrainian education into the global market for educational services and to deepen international cooperation, as Ukrainian universities also have sufficient potential to compete for a share of the global market for educational services.
The signing of the Agreement between Ukraine and the European Union on Ukraine’s participation in the European Union’s Framework Program for Research and Innovation “Horizon 2020” creates new opportunities for expanding the funding base for relevant scientific research in Ukraine. For Ukrainian higher education, expanding the export of educational services is beneficial, first, from an economic standpoint, since training specialists for foreign countries is one of the most profitable sources of revenue, especially given the lack of funding in the education sector. Second, the desire to attract international students encourages Ukrainian universities to align their educational activities with global standards of educational quality and fields of study.
Although Ukraine possesses significant export potential, particularly in the field of higher professional education, it has not yet fully realized this potential, as our country accounts for only about 1.5% of the total number of foreign students studying worldwide.