Modify and Adapt: Global Higher Education in a Changing Economy

Introduction

Higher education institutions face decreased funding during a time of scarce resources yet increased accountability for productivity in the development and articulation of knowledge (Broadbent, 2001; Marshall, 2010; Sahlberg, 2010). Duderstadt (2000) suggests newer university roles could provide economic growth through the production and consumption of new knowledge. Colleges and universities are regarded as a place to go, land-based institutions where the uninformed meet teachers in a face-to-face setting to become informed (Kompf, 2005). Students emerge from traditional universities certificated and credentialed: necessary tools for upward social and economic mobility (Haskins, 2008; Haskins, Holzer & Lerman, 2009; Frank & Gabler, 2007). However, technology has disrupted the traditional, formal processes of higher education (Aviram & Talmi, 2005; Christensen & Eyring, 2011; Christensen, Horn & Johnson, 2008; Fahmy, 2004).

Using emerging technologies as an accelerant, higher education institutions are leaving traditional brick and mortar physical spaces and venturing into a virtual mélange of educational models used in the global digital economy (Altbach, 2004; Altbach, Reisberg & Rumbley, 2009; Baldwin & James, 2000; Marginson & Considine, 2000; Silver, 2007; Slaughter & Rhoades, 2004). The digital economy is a “third wave of capitalism that will transform many aspects of the global marketplace” (Oxford Economics, 2010, p. 2) and offers “huge opportunities for…companies that can adapt” (p. 3). Digital technologies are creating “wider access to education, new markets for content, and expanded revenue opportunities for academic institutions” (Glenn, 2008. p. 5). In the evolving global educational marketplace students have access to what they need (Akdere, 2009; Dawley, 2009). “The twin challenges of rising information technology costs and the need to avoid technological obsolescence” (Glenn, 2008, p. 15) are daunting for universities who want to be able participate in the global knowledge economy (Brown, Lauder, & Ashton, 2008; Kwong, 2000; LeBlanc, 2012; Oxford Economics, 2010). A knowledge-based economy is one in which the production, dissemination, and utilization of technology are essential to economic development and sustainable growth (Archibugi & Coco, 2005).