Impact of Student Retention on Graduation Rates in UK Higher Education

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ECONOMICS AND QUANTITATIVE
ANALYSIS
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Table of Contents
ECONOMICS AND QUANTITATIVE ANALYSIS...............................................................1
Purpose and Objective of the study:............................................................................................3
Background of study:....................................................................................................................3
Methods for Study:........................................................................................................................3
Results of data analysis.................................................................................................................3
a) Descriptive analysis of data................................................................................................3
b) Scatter Diagram..................................................................................................................4
c) Regression Equation for Retention Rate..........................................................................4
d) Regression Equation...........................................................................................................5
e) Concern for South University............................................................................................5
f) Concern on the performance of the University of Phoenix.............................................5
Discussions......................................................................................................................................5
Recommendations..........................................................................................................................6
References.......................................................................................................................................7
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Purpose and Objective of the study:
The purpose of study is to define the relation between the variable so that they interpret. In this
task management define retention rate which influence graduation rates for colleges of United
Kingdom. For study management conduct a survey on 29 colleges which provide a framework to
analyse the impact of retention rate on graduation rate.
Background of study:
In current scenario management of education industry is merely worried about the concern raise
for the lower retention and graduation rate. As the world of internet is raise continuously so they
make new area of education which define as online education industry which help individuals to
get educations from their own places.
Methods for Study:
 For effective understanding the relation descriptive analysis is conducted in this case.
Descriptive analysis defines as the statistically understanding of relation with dependent and
independent variable for company or industry. This two methods is utilized for detail analysis of
data’s given in table.
 Linear Equation method
 Scatter diagram method
Results of data analysis:
a) Descriptive analysis of data
Descriptive analysis of Retention rate
RR (%)
Mean 57.41
Standard Error 4.31
Standard Deviation 23.24
Range 96
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Minimum 4
Maximum 100
Descriptive analysis for Graduation Rates
GR (%)
Mean 41.76
Standard Error 1.83
Standard Deviation 9.86
Range 36
Minimum 25
Maximum 61
b) Scatter Diagram
0 2 4 6 8 10 12
0
2
4
6
8
10
12
Scatter diagram is defined as the chart presentation which defines and present relation between
dependent and independent variable. It also defines the positive relation between dependent and
independent variable as the changes in retention rate can positively impact rate of graduation.
c) Regression Equation for Retention Rate
Here a simple regression equation is used to predict graduation rates with the help of retention
rate.
The linear equation is as follow:
Graduation Rate = α + β∗Retantion Rate
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Here α is constant and β is a parameter on which relation can identify.
d) Regression Equation
Variables GR
RR 0.28
(0.06)
Constant 25.42
(3.75)
Observations 29
R Square 0.45
In this study positive relation between retention rate or graduation rate is define which show that
any positive change in rate of retention is influence rate of graduation.
No one can comment on best first on complex environment. Education industry In UK is not
only affected by rate of retentions. Many of other factors also influence the decision of
graduation in United Kingdom so Regression equation just provide a framework of probability
not result for future.
e) Concern for South University
South university define a health and comfortable relation with retention rate as compare to other
colleges in United Kingdom. As researcher Talk about performance of university is satisfactory
but management need to concern for factor which also influence the graduation rate in education
industry.
f) Concern on the performance of the University of Phoenix
University of Phoenix is worried for their retention rate which is only 4 %. It is the lowest rate
among other college which make management more worry about that fact. As the regression
analyse provide a positive relation in retention and graduation rate management work on
retaining student by developing a proper strategy.
Discussions
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General concern for Education industry is that student are not more attract toward the online
courses and even those who are attracted toward courses are left courses in between which can
raise the influence on revenue generations of industry.
Recommendations
As one consider this test of 0.1 % change is happened in retention rate it can influence 0.284 on
graduation rate of different colleges in United Kingdoms. There is a positive relation in the two
variables which shown in chart above.
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References
 Ayinde K., Lukman A. F. and Arowolo O.T., 2015, COMBINED PARAMETERS
ESTIMATION METHODS OF LINEAR REGRESSION MODEL WITH
MULTICOLLINEARITY AND AUTOCORRELATION, Journal of Asian Scientific Research,
ISSN(e): 2223-1331/ISSN(p): 2226-5724
 Harvard Business Review, 2015, A Refresher on Regression Analysis, [Online], Harvard
Business Review, Available at https://hbr.org/2015/11/a-refresher-on-regression-analysis
[Accessed on 11.02.2019]
 Richter, S., 2015, Regression Analysis, UNCG Quantitative Methodology Series
 Texas gateway, 2019, Introduction to Scatterplots, [Online], Texas gateway, Available at
https://www.texasgateway.org/resource/interpreting-scatterplots [Accessed on 11.02.2019]
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