Michael Porter developed a framework for business strategy called the Five Forces. It is instructive for educators to adapt a framework for business into our world.
Here is the framework:
I asked AI to help me create a graphic that adopts the Five Forces for education. After some trial and error, here is what I came up with:
Let’s analyze this graphic more (again, AI assisted me in my thinking).
1. Competitive Rivalry (Between Educational Institutions)
- Business Equivalent: Competition among existing firms.
- In Education:
- Traditional public schools vs. charter schools, private schools, online academies, homeschooling networks.
- Competition for enrollment, staff talent, funding, and community support.
- Increasing as parents demand more options, and schools market themselves.
💡 Reflection: How are you positioning your school to offer something distinct in a crowded educational marketplace?
2. Threat of New Entrants
- Business Equivalent: New companies entering the market.
- In Education:
- Expansion of charter schools, micro-schools, virtual learning providers, or private equity-funded ed tech platforms.
- Lower regulatory barriers (e.g., ESA/voucher systems) enable more alternative models.
💡 Reflection: What’s emerging that could disrupt your enrollment or relevance in the next 3–5 years?
3. Threat of Substitutes
- Business Equivalent: Alternatives that serve the same function.
- In Education:
- Families choosing unconventional education—like unschooling, learning pods, apprenticeships, or YouTube-U.
- Students engaging more with TikTok or AI than traditional curriculum for learning.
💡 Reflection: Are your students and families opting out of traditional learning experiences—physically or mentally?
4. Bargaining Power of Teachers & Staff
- Business Equivalent: Suppliers’ power to affect pricing and terms.
- In Education:
- Educators have more employment options (e.g., consulting, online teaching, curriculum design).
- Teacher shortages increase leverage, and burnout reduces loyalty.
- Unions and negotiations can impact operations significantly.
💡 Reflection: Are you building the kind of culture and development path that attracts and retains top educators?
5. Bargaining Power of Parents and Communities
- Business Equivalent: Customers’ power to demand changes.
- In Education:
- Parents demand greater transparency, control, and customization.
- Board elections are more politically charged.
- Public expectations are shifting faster than schools are adapting.
I encourage you to sit down with some of your staff and answer the reflection questions. At the very least, it will force you to change the dominant paradigm for what we do in schools.
What do you think?