While MBAs have their benefits, an advanced degree isn't always necessary to pursue a career in business. Recall the NACE study that found that people who recently completed an MBA program earned approximately 50% more than people who had just finished a bachelor's degree in business administration (BBA) program. The slowdown is affecting MBAs, as LinkedIn data shows that hiring of B school graduates declined by 37% in April compared to the previous year. Other important positions for MBAs may offer more flexibility, especially in sectors such as technology and professional services.
While you can develop them at work or through other educational opportunities, an MBA provides a unique immersive experience, especially if you're studying the program full time. Master of Business Administration (MBA) programs provide opportunities for students to learn key business leadership skills while expanding their professional networks. The proportion of MBA graduates who obtained employment within six months of graduating was calculated by dividing the number of MBA graduates who got a new job before December of their graduation year by the total number of MBA graduates in the same year. “The main advantage of pursuing my MBA was that I acquired effective leadership skills to compete around the world,” said Paula Fontana, MBA, interim president of the National Black MBA Association.
Many elite MBA programs have needed to make their exam requirements more flexible, and some have abandoned the GMAT altogether. Naturally, the question of return on investment (ROI) is an important deciding factor for potential MBA candidates. Businessman and veteran consultant Brian Goffman has seen first-hand how an MBA can pay off in the long term. Here's a breakdown of the current demand for MBA degrees, three ways you can get a return on your investment, and how to decide if it's worth it.
If you stopped earning income to attend a full-time MBA program for two years, it would take about eight years on average to see a return on your investment. The study reveals that MBA degrees generate higher net earnings for working professionals, even if debt is factored into the equation. Hundreds of thousands of students enroll annually in MBA programs to gain the combination of fundamental and specialized business skills to excel in their careers.
