I am quite familiar with ESL in America and find that it is not at all dysfunctional - as you seem to imply. However, if your intent is to discuss EFL, I would be less inclined to disagree with you; especially EFL China, as that is a situation I'm quite familiar with as well. A sea change is necessary there and that change would include everything from top to bottom. That is, those who are recruited as teachers and those who administrate and just about anything you could mention between the two. For the sake of clarity, though, I would suggest that you make a distinction between the two in future posts.