International Licensing Valuation
Positive Action has developed a valuation formula that accounts for the substantive differences between countries. It quantifies the differences between student populations, educational norms and economic resources. The formula includes four discrete calculations to describe these differences. These calculations are used to determine a composite value that is fair and appropriate for each country. The composite value is then used to calculate the total monetary value of the license, based on the relative size of the student population.
The results are illustrated with a 10-point scale. This scale is provided for prospective license holders to estimate the amount of financial resources needed to license and adapt Positive Action in their country. The numerical valuations are only available to qualified applicants.
The first calculation determines how much support educational efforts receive in a country. This calculation uses educational statistics to quantify different aspects of support. The first data set includes an estimation of the amount of schooling instruction an average student receives. If the instruction time is relatively lower, the support quotient is lower and thus the license value is lower. The second data set looks at percentage of gross domestic product that is allocated on educational efforts. If a country allocates relatively fewer resources, then the support quotient is reduced and thus the license value is reduced.
The development calculation quantifies the ease, or difficulty of adapting Positive Action to a country. This calculation uses the Human Development Index, developed by the United Nations. It also includes statistics about infrastructure, sanitation and urbanization. When the development quotient is lower, the license value is reduced.
The dissemination calculation quantifies the ease, or difficulty of disseminating Positive Action to end-users. This calculation considers the difference between the expected years of schooling and the actual years of schooling. The larger the difference, the lower the dissemination quotient. The calculation also assumes that some license owners will pursue a digital distribution platform. To describe this factor, the calculation includes statistics related to internet usage. If dissemination is difficult, the quotient is lower, thus the license value is reduced.
The economic calculation quantifies the relative amount of the economic resources available to a country. This calculation uses common economic statistics to determine a quotient that is appropriate for each country. Some of the economic statistics include unemployment, gross domestic product and gross national income. The economic calculation also assumes scales of economy and reduces the economic quotient in larger populations.
The student population is determined from a range of statistics. It includes a basic formula to estimate the number of school-aged children. In addition, the calculation also assumes a basic health component. In countries with high rates of infant mortality, the estimated student population is reduced by a relative amount.
The data sets are sourced from either the United Nations or the World Bank. Positive Action considered many different data sets and sources. While there is a wide assortment of data that would be applicable, many data sets are incomplete.
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