Puxin Education – New Oriental’s Strongest New Competitor?
Could Puxin, a company which was established only 3 years ago and that recently acquired GEDU from Pearson for USD 80m, become the next rising star in the hybrid world of education and capital? The company was founded by SHA Yunlong, a former New Oriental Senior Manager and Renmin University law graduate. Puxin has achieved an incredible RMB 2bn (USD 300m) profit in its short history, and some venture capitalists believe it’s going to develop into another “mega-giant”, stealing market share from existing key players, such as New Oriental and TAL Education Group. Others however, are more skeptical, as its operational model relies heavily on the charisma of principals and teachers, and there has been little in the way of standardization and curriculum development/adoption during its period of fast expansion.