[1/2] The learning trap. How Byju's took Indian edtech for a ride (The learning trap) (Category Management)

I read this book with great interest in the autumn. 2023 A year that detailed the machinations of Indian edtech giant Byju's. When it comes to the company itself, the company’s valuation was 22 Billions of dollars, and now it's literally worthless. Separately, I note the lost wordplay in the English title of the book - the main application of BYJU's was called "The Learning App", and the author in his title beat it through "The learning trap" and it turned out very accurately and beautifully. The book was written by journalist Pradeep Sahi, who asked questions about the company's business model and when it was on the line, but when the problems began, he decided to frame his investigative journalism into an action-packed book. Here, Pradeep uncovers aggressive marketing tactics, corporate failures and financial machinations under founder Biju Ravendran, whose empire collapsed over allegations of fraud, an unsustainable business model and a toxic corporate culture. K 2025 BYJU'S faces bankruptcy proceedings, loss 95Percentage value and lawsuits in India and the United States, marking a turning point for the entire sector. The consequences include investor skepticism, increased regulatory scrutiny, and a reassessment of hypergrowth.

The highlights of the story are noted below 1) BYJU'S started off as an offline tutor. Founder, Byju Raveendran (Beau Ravendran)in Kerala, which 2015 This year it became a digital platform. The company exploited gaps in the Indian education system, positioning itself as a tool for "average learners." Pandemic demand for online learning spurs growth: 2020–2022 BYJU'S acquires competitors, including Aakash Educational Services ($1 billion), Epic! ($500 million) and great learning ($600 million).
2) The company’s strategy was based on fear of missing an opportunity. (FOMO) Getting a good education, the following things are practiced **- Predatory marketing.**Intimidating parents with promises of guaranteed results involving stars (For example, Shah Rukh Khan or Leonel Messi.)
- Metric manipulationOversubscription through employee “self-purchase” and quick refunds.
- The cult of personality.: Ravendran's charisma masked operational problems, with his speeches being compared to "religious sermons."
3) The company did not have professional management or financial management. - Irresponsible leadershipRavendran ignored the board of directors, single-handedly approving deals including a $ loan1,2 billion 2021 d.

• Creative accounting: delay in reporting for 2022 The financial year covered the increase in losses 81%, audited statements were delayed for years, auditors publicly refused to work with BYJU's **- Toxic culture.**Sales employees faced unrealistic goals, which led to mass layoffs and mental disorders.

Continuation of the story in the next post.

#Edu #SelfDevelopment #Management #Leadership #Processes