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MEMORANDUM TO: Dana
FROM: Tim
DATE: May 31, 2011
RE: SWOT Analysis of Xueda Education Group

Introduction: Xueda Education Group (“Xueda”) is a leading personalized tutoring service provider for primary and secondary school students in China. Xueda listed in New York Stock and Exchange on November 2, 2010 (NYSE:XUE).
Strengths:
1. Leading Brand
As the founder of personalized tutoring service in China, Xueda is highly-recognized in China tutoring industry and was also ranked as the industry leader in 2009 according to IDC, an independent market research company. 2. Nationwide education resources
As of March 31st, 2013, Xueda has 389 training centers and 12,229 full-time professional teachers in 73 cities of China. These nationwide education resources ensure Xueda to maintain the service quality across the country and reach the economic scale. 3. The personalized tutoring model
The personalized tutoring model enabled Xueda to meet the specific needs of students which differentiated Xueda from other competitors, which mainly provide classroom-based tutoring services.
Weaknesses:
1. The challenge to balance the service quality and business expansion.
The tutoring centers of Xueda grew from 108 in 2008 to 389 as of March 31st 2013. The rapid expansion leads to the rapid and huge demand on human resources, operational and management resources. 2. The resignation of professional management team members
In 2012, the director of the company, the CIO and the CFO of Xueda resigned. This change made Xueda temporarily vulnerable to market changes and fierce competition.
Opportunities:
1. Increasing demand for after-class personalized tutoring in China
The class size of primary and secondary schools in China is about 50 students per class, according to Ministry of Education. Many students seek personalized

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