First reaction to this question is that owners of the Institutes are greedy and want to make a fast buck. While this could be true for private Institutes, why is it that Government Institutes are charging very high fees? These institutes are built from Public Money. They are not required to pay dividend to their shareholders and show a return on investment of 20%. In fact, I and you have been paying the taxes from which these institutes are made, then why are we asked to fork out so much when we send our children to these Institutes?
The good ones amongst these institutes get away by pointing to the high salary that a young person gets on earning the degree. However, this is a weak argument.
Institutes need to adopt activity based costing and charge the different category of students/ participants and clients with some correlation with the cost and not harping only on the "value provided" argument.
