With the massive expansion of higher education in China from the late 1990s onwards, private (“social”) forces have increasingly funded higher education institutions. In today's competitive and commercialized environment, private universities are under increasing pressure to make themselves more attractive to potential students. As a result, private HEIs sometimes resort to misleading marketing practices in order to entice prospective students and hike up tuition fees, despite often providing substandard education. The handling of student–university disputes by the courts and other bodies tends to remain administrative in nature. Students are to be regulated rather than seen as consumers with rights and interests to be protected. The system fails to provide adequate redress for the shoddy treatment and educational service that students in private institutions often receive. This paper suggests that a more “consumer welfare” approach would complement the current institutionally focused, academic administration approach found in mainland China today. Given the problems with many private HEIs in China, it would also reflect more realistically the needs of the emerging “student-consumer.”