Higher education has become one of the key elements in building a competitive advantage for today’s knowledge-based economies. Universities are no longer just places traditionally associated with the transmission of knowledge but must also increasingly respond to the processes of marketisation and commercialisation. We observe dynamic social changes in higher education: the increase in the number of people studying at university level, flexibility of studying and learning programs, competing for students as a result of demographic processes, the risk of unemployment and competence mismatch among fresh graduates have become major challenges for universities. In this paper I will briefly discuss the neoliberal reform of higher education in Taiwan. In the last two decades, this small country in the Pacific Ocean has experienced extremely dynamic changes in the functioning of their higher education system and has become an important player in the global education market.
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