India's Coaching Industry
Why Coaching Is So Big in India
Why intense competition for limited seats in top colleges and government jobs drives Indian families to spend heavily on coaching, and the economics of scarce seats.
India has a huge coaching industry.
Scarce seats
- Lakhs of students compete for limited seats in IITs, top medical colleges and elite universities.
- Millions apply for a small number of government jobs.
High stakes
A top college or government job can transform a family’s income and status.
Exams
Key exams include JEE, NEET, CUET, UPSC and SSC.
Economics
When supply of good seats is fixed and demand grows, families spend more to gain an edge: a kind of arms race.
School quality
Weak school teaching also pushes students to coaching.
The NEET numbers
Over 20 lakh students sat NEET in 2024 for around one lakh MBBS seats.
Thinking coaching exists because students are lazy
Scarce seats create intense competition.
Key takeaways
- Top seats and government jobs are scarce.
- The stakes are very high.
- Families spend in an arms race.
- Weak schooling adds demand.
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