There is a basic problem with this model because it stops the folk process cold. Aspiring teachers never step forward for fear of embarrassment, because they don't feel welcome, don't feel up to the challenge, or for some other reason. Stifling the interest of prospective teachers stops the folk process because these people have no place to get experience and 'catch the teaching bug'. By allowing anyone with an interest and reasonable skill to present a dance, we 'open up' the concept for everyone with an interest. Even if they use it as a negatively motivating factor, any motivation that drives someone to learn to teach is good.
Variety is a good thing in dancing.
When dancing becomes a profit taking pursuit, capturing the teaching to control the potential market may become tempting. Doing so discourages aspiring teachers who frequently form splinter or niche groups so important to the dancing community as a whole. L ocal teaching sessions teach beginners the basics of highly specialized dance forms. Local teachers can spend far more time on the basics, where a large session can focus only on more advanced choreographies. These critical classes feed bigger groups and build the community.