Guide To Masters Of Business Administration (MBA). So, you have successfully demonstrated a high level of knowledge and skill in business management. Now you want to become a future leader. An MBA can help you to achieve that. Master of business administration (M.B.A.) is a highly respected and elite professional qualification. In this article, we’ll give you all the necessary information on the MBA. You will know the definition of an MBA, how an MBA differs from other master’s degrees. You will also learn about the admission requirements and procedure of an MBA. We will provide you with a list of the USA’s best universities for MBA, career, cost, and others.
What Is A Masters Of Business Administration (MBA)
Masters of Business Administration (MBA) was born in the USA in the early 20th century. That is a postgraduate degree that provides theoretical and practical training for business. MBA is one of the most prestigious qualifications for business professionals. You will learn about finance, marketing, economics, sociology, and many other disciplines. The main focus of the MBA is to develop leadership. MBA also focuses on developing initiative and excellence required for a magnificent career in management and entrepreneurship.
Masters of Business Administration
- Type: Professional
- Subject: Business and Management
- Length: 1-2 Years
- Total Credits: 180 CATS/ 90-120 ECTS
- Availability: World Wide
MBA is a relatively new post-graduate degree, but it is highly valued by employees worldwide. Most global companies are looking for a knowledgeable manager. Hence having an MBA is almost a guarantee for career success.
Why You Should Study MBA
Masters of Business Administration or MBA is the same level of education as other master’s courses. But to study MBA, you should have gained a few years of professional experience. With a regular master’s, you can gain advanced knowledge of a subject. On the other hand, an MBA is for talented and productive professionals. This course will make them even more competent and efficient.
- MBA is a postgraduate degree that mainly focuses on Business Management.
- Unlike other career-specific degrees, MBA gives you the ability to transfer your career to any industry.
- MBA allows focusing on other aspects of business like finance, risk management.
- Nowadays, programs like sports management, entrepreneurship, entertainment business, healthcare business are also available in many schools.
- Many companies require an MBA for a specific job role. Earning an MBA will expand your opportunity to get better jobs.
- There is an executive program for professionals who can not enroll for a full-time MBA.
Getting a Master of Business Administration can give you several benefits. Taking an MBA from a reputed business school will significantly add value to your CV. You will learn leadership, critical and analytical thinking, creativity, communication, and many other essential skills. The knowledge and skill you will earn from MBA are applicable among many industries. With these skills, you can set a bigger goal or even switch your career.
Getting an MBA is not beneficial for your working career only. It will also help in your non-working personal life. You will learn strategic thinking and achieve better communication skills. It will enhance your curiosity after taking an MBA. Applying these skills in your personal life, you will lead a more organized and happy life. Even you can buy an existing business and set it up as your own applying your MBA skills. Here are 10 steps on how to buy an existing business that will help you a lot.
What Is The Difference Between Masters of Business Administration And General Master’s Degree?
Masters of Business Administration (MBA) is a postgraduate course. MBA is equivalent to a Master’s degree. But there is a significant difference in the admission process. You can take other Masters’ degrees straight from an undergraduate degree. Other master’s degrees will just give you advanced knowledge on a specific subject. MBA, on the other hand, requires some working experience before you sign in.
You Must have the professional experience to study MBA (Masters of Business Administration)
Unlike other master’s degrees, you can not enroll for an MBA after completing your graduation. MBA targets professionals with a minimum level of working experience. So, if you are planning on taking an MBA, you should have some business management experience. If you do not have that at a higher level, then do not worry, that won’t hurt, but it will certainly help.
The professional experience required for an MBA varies from program to program. But most programs require two years of professional experience in business and management.
The quality and relevance of your experience will always play an important role in the admission process. Professional experience is as necessary as your educational background. In some programs, you will use your professional experience in case studies and assignments.
You can start an e-commerce business easily. Find here 5 effective plan to start an e-commerce business.
MBAs Are Normally The Highest Degree
Most people study MBAs as the final qualification of their life. Masters of Business Administration is an elite professional qualification. MBA will provide all the necessary training to become successful in business management.
MBAs Are Very Much Competitive
Masters of Business Administration (MBA) will provide you with the highest individual excellence. After finishing the MBA, you will have the skills and experience to become successful. You will be able to handle high pressure and will achieve a leadership role.
MBA creates a highly competitive learning and development environment right from the admission process. Many Masters of Business Administration (MBA) programs get more applicants than the available seats. They use a shortlisting system to pick the right candidate. There is a standard admission test, application essays in the admission process. Some programs initiate an interview before they choose the right candidate.
So if you get the opportunity, simply that is an impressive thing. But after getting into the course, you will have to compete with a bunch of experts. All of them will be as ambitious as you.
Different Types Of Masters of Business Administration (MBA)
There are many different formats of the Masters of Business Administration (MBA) programs. Some MBAs are for the candidates targeting a specific career goal. On the other hand, some MBAs allow flexible learning patterns.
You can choose any program that fits your career goal and current circumstances. Here is the list of available MBA programs offered by different schools.
Standard M.B.A. Programs – Most common MBA programs offered by schools are two years of MBA programs. These programs are generally for full-time candidates. But sometimes, they arrange sessions with flexible timetables for the candidates who have professional commitments. Many schools offer a three years MBA for professionals. They organize an evening class for the students who are working full-time.
Accelerated MBA Programs– This is a quicker alternative to traditional 2/3 years Masters of Business Administration (MBA) programs. Accelerated MBA programs are much more intensive. These programs generally last a year. This MBA has the same course curriculum as a two-year MBA but allows students to finish in a shorter period. As the content is almost the same, candidates who take this course have to go through a tough time finishing this.
Executive MBA Programs- Executive Masters of Business Administration or EMBA is also two years MBA program. But there are some distinct differences between an Executive MBA (EMBA) and a regular MBA. This program targets individuals with five years or more managerial experience. EMBA is for very experienced applicants. You should have come from a senior management background to take EMBA. These courses are more specialized.
The main goal of this Executive Masters of Business Administration (EMBA) course is to adapt your skills for new business development and opportunities. EMBA is not a full-time course as this course is for highly professional persons, so it is a part-time course. But in the professional field, this is a highly demandable degree.
Graduate MBAs – Though MBAs require professional experience, there are also graduate MBAs for freshers. Graduate MBAs can be undertaken straight after graduation. Sometimes these MBAs are referred to as ‘graduate programs.’These Masters of Business Administration programs mainly focus on internship and placement as the candidates lack job experience. Otherwise, it is more like a conventional MBA.
Dual MBA Programs – Sometimes, you can combine an MBA. with other topics. There are some popular double MBA subjects. Medicine, law, politics are a few to mention. These MBA programs help students to take a professional role in their respective fields. The course is generally longer in Dual MBA and demands more engagement. But it is easier to study this than to learn two separate programs.
Online MBA– This is an online base Masters of Business Administration (MBA) from home. That is a personal schedule that candidates can follow from home.
Study Module of Masters of Business Administration (MBA) Programs
There is a compulsory core module for MBA programs. Study modules can vary from program to program. There is also a voluntary module and a significant project or a dissertation with a real-life client. There are Masters of Business Administration (MBA) courses that offer opportunities for a company visit, exchange programs. Examinations get taken by assessments of these programs, essays, and group activities.
Certification of Masters of Business Administration (M.B.A.) Programs
Without a reputed business school, your Masters of Business Administration (MBA) will not get the actual value. It’s the school’s reputation which adds value to your MBA. But that is not the only factor. Various professional business and management organizations accredit MBA programs.
The accreditors observe several things. The foremost thing the accreditors take into account is the program’s course content and facilities. They also monitor the skills of the instructors, internships profile, and the success of the graduates.
To be accredited is not compulsory for business schools. But the majority of business schools are accredited. So, when you are comparing Masters of Business Administration (MBA) programs, you should look at the institute’s accreditation. If the institute is unaccredited, then there is a high chance that your MBA will not get valued in the job market.
The Accreditation Procedure Of MBA
Two types of accreditors accredited Masters of Business Administration (MBA) programs. Some accredit internal business schools, and some accredit international business schools. For this reason, it is a common culture for business schools to get accredited by more than one accreditor.
The Association to Advance Collegiate Schools of Business (AACSB) – This North American foundation was founded in 1916. This organization has accredited 832 business schools (update 2020). AACSB assesses teaching across the business, management, accounting, and related disciplines.
The Association of MBAs (AMBA) – This is a British organization founded in 1967. It has accredited 277 organizations (Update 2020). AMBA accreditation focuses very much on MBA. They only assess MBA and related programs.
The European Quality Improvement System (EQUIS) – That is a European organization. That is a Brussels based organization founded in 1997. So far, it has accredited 150 business schools worldwide. EQUIS assesses the overall quality of an academic business institution.
Getting accreditation from any of these three organizations is a hallmark of excellence for any business school. There are very few business schools that have certification from all of the three organizations. There are less than 100 schools that have this prestigious status. If you can get admission into a business school accredited by any of these institutions, that will be an outstanding achievement for you. But remember, that will be a very competitive task to do. If you cannot achieve that, then do not worry. Find the right business school that has accreditation by more than one reputable organization.
The Application Process Of Masters of Business Administration (MBA) Programs
Before You Apply for an MBA Program
The admission process of Masters of Business Administration (MBA) is much more selective than other master’s courses. Class sizes of MBA programs are generally small. Hence there are more applicants than the number of seats offered by the business school. That is more true if that business school has “triple accreditation” and other prestigious institutions. So if you are planning on taking an MBA program, you should consider the followings:
Prove your experience: Masters of Business Administration (MBA) courses are for professionals. Other Master’s programs to enhance the existing skill. They increase the knowledge you achieved from the graduation level with some advanced training. But MBA focuses on improving managerial skills and developing leadership quality. M.B.A. programs demand experience in the management field. MBA does not give you new knowledge. It enhances the management skill you already achieved from your working experience.
Prove that you are the right candidate – If you are applying to a reputed business school for Masters of Business Administration (MBA), you will have to fight with many challenging candidates. Many candidates will apply to grab a seat in any reputable business school. So, only showing your ability will not be enough. You will also have to show that you are the best person for the course they offered. Many business schools use the testing process to select the right candidate. So, do not take the seat for granted if you get shortlisted. Prepare yourself hard so that you can beat other candidates and secure your position for the applied program.
Admission Requirements For Masters of Business Administration (MBA). In the USA.
Requirements may vary for different business schools, but standard admission requirements are as below:
A four-year bachelor’s degree from an accredited US university or other equivalent institutions. Good grades get preference in top business schools.
Minimum 2 or 3 years of job experience in a business organization.
Letters of reference or recommendation
Proof of English language proficiency. TOEFL is commonly required. Minimum scores asked by the institutions are 550-600 in paper-based or 213-250 in computer-based. You also can take IELTS for the English proficiency test. Most reputed universities will ask for a 7 (out of 9) in IELTS.
GMAT score over 600. That is the essential part. So, take the GMAT seriously.
What Should I Include In MBA Application
Each business school has its procedure. They will inform you about their requirements. They will also send you instructions on which documentation you will have to provide. But most the business school will demand the followings:
Submit your academic qualifications and degree transcripts – MBA is a professional degree, but at the same time, it is a postgraduate degree also. Like any other post-graduate degree – Masters of Business Administration (MBA) also demands a good result at the undergraduate level. Which subjects did you study is not a big concern but you should have a decent grade. MBA is all about excellence. So, proving that you are excellent in your previous study will make your application stronger.
The average GPA of students admitted to Harvard last year was 3.67, and at Stanford University, the average GPA was 3.73
Submit Evidence of your professional experience – If you are following the article, then by this time, you have learned that an MBA is a course for professionals. So, if you want to get admitted to the Masters of Business Administration (MBA) program, it’s expected that you have some management experience. The business school will set the minimum experience level in the relevant field for taking admission. It usually is 2 or 3 years in a management or supervisory role.
As it is the essential qualification of the admission process so make sure that you submit proper experience documentation. Always try to provide a reference from your past or present employer. Contact from a person holding a higher post in any well-established business organization will add more value to your application.
Take graduate admission Tests and submit results (GMAT Preferable) – Most business schools select their candidates using standardized graduate admission tests. There are two standard graduate admission tests. These are the Graduate Records Examination (GRE) and Graduate Management Admission Test (GMAT). You can see that GMAT has the word ‘management’ in the name. Hence GMAT is more relevant to MBA Courses.
All programs do not require test scores. But competitive programs will ask for the test score. Having a test score is always a good thing. You can apply in multiple schools and multiple programs with the same test score over a limited period.
How Will The Business School Select Me?
Applying is just the first step. In a competitive institution and program, you will have to attend a test if they shortlist you. Shortlisting and tests are very common in the MBA admission process. That could involve:
Personal Essays: Personal essays play a vital role in the Masters of Business Administration (MBA) admission process. Some B-schools ask for a personal essay in your initial application. Some ask for individual reports from shortlisted candidates. The business school will set the topic of the piece. They may ask you to evaluate a business scenario, solve a hypothetical business problem. Or they can just ask you to tell you about your background, goal, and reasons to choose the program.
Business schools take this essay very seriously. That is your opportunity to show the committee your qualitative abilities. Many universities look into leadership ability. So, try to demonstrate your leadership ability in your essay. Remember, the piece is the best way to market yourself. Make the best out of it.
Interviews – Many Business schools often take interviews of the shortlisted candidates. So, if you need to walk in an interview, it is a good sign. Most interviews get held in front of a panel of the business school. Most competitive schools ask you to submit an interview reflection. That helps them to understand your level of criticizing your performance.
Cost Of Studying Masters of Business Administration (MBA)
MBAs are expensive. The cost of an MBA depends on where in the world and in which business school you are studying. The cost of an MBA is generally high in any reputed business school. In Europe Masters of Business Administration (MBA) costs between $100,000 to $110,000. In England, MBA programs cost more than 20,000 EUR. For example, the MBA cost at the University of Oxford is 68,1500 EUR/year, at the University of Cambridge 63,000 EUR/year.
Cost Of Masters of Business Administration (MBA). In the USA:
The USA is one of the best places to study for an MBA. The USA always holds a special place for candidates all over the world planning on studying MBA. In the international ranking of top schools for an MBA, you will find many schools from the USA. As a result, the cost of an MBA in the USA is also high. The cost of an MBA in the top business schools in the USA is over $120,000. There are some slightly cheaper schools also which cost more than $50,000.
The cost of the Masters of Business Administration (MBA) is at the best business schools in the USA:
- Harvard University – 79,440 Dollars/Year
- Stanford University –52,700 Dollars/Year
- Yale University – 75,180 Dollars/Year
- University of Chicago – 42,775 Dollars/Year
- There are some business schools which cost less. To mention some of them
- The University of California – 35,000 Dollars/year
- Kelley School of Business – 35,000 Dollars/year
- Tuck School of Business – 35,000 to 40,000 Dollars/year
- Online MBA in the USA costs from 700 – 95,000 Dollars/Year.
Some other business schools offer Masters of Business Administration (MBA) programs for a much lesser cost, but we do not recommend those. Do not forget, the value of your MBA degree largely depends on the status of your institution. There are many MBA funding options available in every country. Many schools offer scholarships. So, you can get financial support for completing your MBA if you work hard. Working hard is better than looking for a cheaper business school of law status.
Top Universities In The USA For Masters of Business Administration (MBA)
We have discussed the MBA entry requirements in the USA earlier. Most of the top Universities of the USA accept both GRE and GMAT. For English language proficiency IELTS and TOEFL, many business schools accepted both. But each institution has its minimum score for the requirement. Here is a list of the top universities in the USA to study MBA.
|Ranking||University Name||English Test||Graduate Test|
|03||The University of Chicago||TOEFL/IELTS||GMAT/GRE|
|04||University of Pennsylvania||TOEFL/IELTS||GMAT/GRE|
|05||Massachusetts Institute of Technology||TOEFL/IELTS||GMAT/GRE|
Career Opportunities For MBA Graduates
So, getting admission to an MBA program at a reputed university is not an easy task. Moreover, Masters of Business Administration (MBA) programs cost a lot of money. You will have to put so much energy and concentration to complete the program. You may be asking, “Does it worth so many sacrifices?” For students who are unsure about the future of MBA graduates, we have collected some MBA employment statistics.
Job security – There are so many jobs which demand Masters of Business Administration (MBA) as a prerequisite for the post. Getting an MBA secures your position in the job sector. According to MBA professors and alumni, MBA degrees are marketable credentials. An MBA graduate has the general management and skills to oversee multiple departments in a business.
High Salary – High salary is one of the most important benefits of getting an MBA. The average salary of MBA graduates is higher than the regular master’s graduates. You will earn more than double from a typical university graduate. There are so many MBA jobs available in the market with high salaries. To name some of those: Business operations manager, Management Analyst, Top Executive, HR Manager, etc.
In 2019 the median starting salary for Masters of Business Administration (MBA) graduates working at US companies was the highest of all. According to the Graduate Management Admission Council (GMAC), the median base salary among MBA graduates was $115,000.
Average salaries for MBA graduates – According to the QS jobs report the average annual salary of MBA graduates is as below:
- Switzerland : $123,500
- United States: $102,100
- Canada : $ 99,800
- France : $98,500
- Australia: $98,400
- England: $92,400
- Italy : $86,400
- Singapur : $82,700
- Japan : 80,000
- Germany : 77,200
Source [QS Jobs and salary report]
Specialized M.B.A. Jobs – Seeing the international popularity, many universities have developed technical MBA programs. Specialized MBA has a great demand in the job market. There are many kinds of MBA specialization. To name some of them:
General Management: This is the most Masters of Business Administration (MBA) specialization. This specialization is great for a versatile business environment. Many big organizations look for general management specialized MBA graduates for their business.
International Business: If you are looking to work abroad, then this is a great specialization. That is an excellent specialization for aligning business goals across the border. Global companies with offices in different locations always want an MBA graduate from this discipline.
Strategic Management: This specialization focuses on long-term business planning. That also gives you the ability to plan the backup business plan. Big corporations always search for these experts. They are a great asset to any company.
Finance: This course focuses on statistics, data analysis, accounting, and others. Finance MBA experts are great for bankers, financial controllers, chief financial officers, and finance managers.
Marketing: This specialization focuses on promoting products and services. Service-oriented companies are always looking for experts in this field.
Entrepreneurship: If you have a business idea and plan to launch a startup, you should take this course.
Operations Management: This specialization deals with production. You will learn how to operate the display with optimum efficiency. The course is ideal for managers who’re in charge of production.
IT Management: IT businesses heavily rely on analysis and collecting data. Product development mainly relies on this data analysis. That is one of the rising businesses and will dominate the future world. IT companies all over the world are always in search of these experts.
Human Resources – HR is the essential department in any company. This specialization focuses on conflict resolution, team development, motivation, defining job responsibilities, and many other important aspects of HR. Learning this specialization, you will find yourself as HR manager of a top company.
Consulting: Every company faces a challenge now and then. This course prepares experts to find a way when a company faces any challenge. This course makes you versatile and after becoming.
Except for specialized MBA, some universities provide you dual specialization. That will increase your management capabilities and job-market versatility.
Do I Have To Do A Thesis In Masters of Business Administration (MBA)?
Like any other Masters’ program, Masters of Business Administration (MBA) also concludes with an independent project. This project will be equivalent to the thesis project in another master’s course. But there is a significant difference between a regular master’s project and an MBA project. MBA projects mainly focus on ‘real-life’ work. You may work in a company associated with the program. Some business schools will give you a personal business project. You will have to write a reflection of your project and submit it. That will determine your performance.