We got off on an interesting tangent, so hopefully kym4ever is taking these thoughts and clinging to the ones she wants to pursue. I, too, hope that Terence is right. But my instincts, in being around dance studios a long time -- OK, well maybe only half the time of Terence -- tell me that the combination of the current economic woes and no real dance craze, like disco, to hang a hat on, it would be logical to be concerned about some down times in terms of new students and those buying big lesson packages. Having said that, as you do your research and due diligence, I would simply ask those questions of the studios and get a feel for their experience -- ask them what happened during past slow downs. The late 1980s and early 1990s might be a good reference point -- disco fading some, economy so-so. A lot of the folks teaching in studios now have likely never experienced anything close to a bad economy. Which also concerns me -- do they know how to market their studios and what they offer during lean times?
From that standpoint, I certainly respect Terence's views on this. I hope he is right, and I appreciate that he has shared his knowledge and experiences on this site. It has meant very much to me.
But if someone asked me to place a bet on this, I would lean toward the odds being against studios doing well in the next few years at the very least.