Financial Sustainability of a Tertiary Education Institution in the Caribbean: Drivers, Challenges and Opportunities

Abstract

Sustainability, the long-term goal of the process of Sustainable Development, is at the forefront of the United Nations’ Sustainable Development Goals for higher education institutions (HEIs). Traditionally, financial sustainability was promoted at the expense of environmental and social sustainability; consequently, institutions are adopting a more holistic and balanced approach to Sustainability, incorporating all three elements. Financial sustainability of HEIs is particularly relevant in small island developing states affected by exogenous shocks, challenges of scale and other environmental concerns, which stymy the ways in which HEIs respond to financial sustainability. Quantitative and qualitative research has focused mostly on developed countries, and sustainability issues in HEIs of small developing states have been underrepresented and underreported in the literature. This study combines resource dependence theory and world polity theory to explore the extent of resource dependence, environmental determinism, and the dissemination of globalised myths in a tertiary education institution’s experience of financial sustainability. The design involves a case study approach incorporating document analysis and semi structured interviews. At the macro level, the findings reveal the importance of local, national, and regional contexts in convergence or divergence of globalised norms relative to an institution’s pursuit of financial sustainability. While some global practices are disseminated, regionalism acts as a buffer to counter the effects of globalisation. At the micro level, the findings shed light on the political, legal, economic, managerial, cultural and marketplace factors contributing to the institution’s experience of financial sustainability. At the meso level, there appears to be a concerted effort to maintain a differentiated higher education system and to guard against academic drift. This study proposes a holistic approach to financial sustainability comprising a diversified approach to higher education funding, considerations of the political, legal, economic, managerial, marketplace and cultural factors, and embedding of economic, environmental, and social sustainability practices in the pursuit of financial sustainability.

Key words: financial sustainability, resource dependence, environmental determinism, regionalism, globalisation, small island developing states

Date of Award	26 Jun 2024
Original language	English
Awarding Institution	University of Bath
Supervisor	Gina Wisker (Supervisor) & Ludovic Highman (Supervisor)