Pearson plc (PSON) has a world-leading business in education, consumer publishing and business information. It is expanding operations into the growing economies of China, India, Africa, the Middle East and Latin America, where its education business has grown at an average of 24pct p.a. (2006-2010). Presently, developing countries only comprise 15 pct of revenue but are a central part of PSON’s focus to sustain continued high growth whilst still protecting its present market base. To execute its growth focussed strategy, PSON will continue to invest in product quality and content (GBP 4bn 2006-2010) with content making up ~23 pct (900m). PSON’s core strategy remains focussed on education and the divesture of Interactive Data made sense, making room for further “education” related acquisitions. Financially, PSON is sound with Net debt/EBITDA of 0.4 times leaving room for further expansion globally within “education”. Fiscal budget constraints are some of the risks PSON face as well as investment in content, which can be futile as users can be ruthlessly disloyal.