Page 426 - 2018 White Paper on the Business Environment in China
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8 White Paper on the Business Environment in China

• Not-for-profit: such as enterprises and sectorial, students attending them reached 26.8021 million.
social and professional associations, trade unions and Those vocational schools provide nearly 1,000 majors,
different NGOs; and almost covering all areas of the national economy. The
employment of graduates from secondary vocational
• Commercial: mainly involved in secondary level, schools remained above 95 percent in 2016, while
short-term certificate courses. These organizations need the employment of those who have graduated from
to be registered with the taxation office and the civil vocational institutes at tertiary level for over half a
affairs department and have to obtain license from the year exceeded 90 percent. Besides, almost 70 percent
education department. of graduates from vocational schools chose to work
in the local community. They became the main force
As stated in the Vocational Education Law of the to support the development of small and medium
People’s Republic of China an enterprise shall, in light enterprises and regional industries. Wang Jiping, Head
of its actual conditions, provide systematic vocational of the Department of Vocational Education and Adult
education and training for its own employees and for Education, said China has established the world’s largest
persons to be employed. An enterprise may establish vocational education system. Secondary vocational
vocational schools or vocational training institutions schools and vocational institutes at tertiary level have
either by itself or in collaboration with other taken up half of high school and higher education. Every
enterprises, and it may also entrust existing schools or year, nearly three million households send their children
vocational training institutions to provide vocational into vocational education. China’s vocational education
education for its own employees or for persons to be funding has increased significantly in recent years,
employed (UNESCO). with the improvement of school conditions. In 2015,
government funding reached 295 billion yuan (43 billion
Vocational education endows student with certain U.S. dollars), increasing by 149 billion yuan in five years,
knowledge and skills required by their professions with an average annual growth of 15.1 percent. The
through schooling or occupational training. China’s funding system for financially challenged students has
vocational education system covers a diversified range been enhanced as well. Tuition waivers and grants were
of programs, which can be generally sorted into two offered to over 90 percent and 40 percent of vocational
categories: education with degree and non-degree high school students respectively. Scholarships were
learning. Among them, vocational training belongs to provided to nearly 30 percent of students in vocational
the latter. Vocational training is one of the most fiercely college, and grants to 25 percent (Zhao).
competitive market segments of online education in
China, but it is also seen as the most promising one. At
the beginning, online vocational education focused on
IT courses, yet in recent years non-IT courses are also on
the rise. Courses such as finance, accounting, foreign
languages, and public service examination related
information have become popular as they are aimed at
helping the students master skills, acquire certificates or
pass exams. As long as online courses provide quality
teaching with reasonable prices, they can attract large
numbers of clients because vocational education
subscribers have a stronger need for learning and higher
affordability. Although the overall market size of online
vocational education and training in China stood at only
a bit more than 4 billion yuan in 2015, the potential for
future development is huge. It is estimated that online
vocational training will keep an annual growth rate of
more than 20 percent in the years to come (Fast).

In 2016, 9.3078 million students were enrolled
in technical and vocational schools. There were
12,300 vocational schools, and the total number of

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