Navneet Publications - a good com in education sector

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Hi Folks,

Just read through the topic.

I have been mulling over this one point. I can read a lot about NCERT text books v/s the private publishers. Looks like the private publisher text books are mostly 3-4x of that of NCERT text books. Some time last year, MoHRD made NCERT text books mandatory for CBSE schools and banned them from using private publishers text books. CBSE released a circular following this. This is after widespread complaints from the students and parents that the schools (mostly private schools) are forcing them to buy private text books which are must costlier. Schools are even opening small couters of publishers on the site and sell costlier stationery items bundled.

However again recently CBSE did a sudden U-Turn and cancelled the earlier circular. And the MoS HRD updated in the Rajya Sabha that there is no such rule of mandatory NCERT text books, the schools are free to choose.

One cant be blamed for doubting a collusion between the schools and the private publishers, resulting from the incentives or commissions - either to the school or to the sales agents.

If this is true, it is a serious issue and an ethical one. I believe Navneet is more into state boards however they are trying to go more into CBSE. And there is an increasing trend of centralization of boards, with more schools migrating to CBSE.

I am trying to see how rampant this issue of schools exhorting students and private publishers exploiting them. Questions in my mind:

  1. I believe students vouch by the better quality of private text books however if there is such a huge difference in price, how can the poor and middle class afford the private text books.

  2. Even if the private text books are far superior, if the collusion and the resulting overpricing and exploitation is rampant, how can one morally support such a business by investing in it?

  3. How is Navneet which is the case in point and the major other competitors like S Chand, faring in this matter? Are their books fairly priced for the superior quality?

The private publishers enjoy good margins, however if this is due to such a collusion, how will it be sustained. There will be some clamp down at some point in time.

There is a moneylife article on this:

Appreciate your views on this.

Thank you.
Johns George

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