“Why do you want to do an MBA?"
“Sir, an MBA gives a launching pad to grow as a leader, apart from the technical know how ……"
(While in the back of the head, you know why you are actually there, not because you want to improve your entrepreneurial skills, but because of the MBA bump, which is like a guarantee card for a higher paycheck. The pay does become great once you take a job after an MBA degree, so we might as well learn some skills on way. Cliché and cheap, but true.)
So does an MBA really push your salaries? What is the MBA bump?
While some of the students take up an MBA course to gain valuable insights in the corporate world, most of the MBA aspirants come in for a better chance of earning much more than they are already earning at the moment. Well, it is true; MBA graduates are likely to earn about 50% more than they did before. An MBA graduate tends to grab a higher starting salary as compared to the other candidates of the same caliber, due to a whole lot of reasons including the brand image of their MBA school, and also the position held prior to the MBA.
Management graduates and post graduates are usually preferred for high level positions that involve dealing with a variety of challenges, aiming to profit the company, by making financial and strategic decisions. Other than the fields of accounting and economics, an MBA graduate can also find his/her way in the top managerial positions in other fields and even as founders of start-up companies.
So is MBA a good investment?
An MBA adds value to a graduate’s success, not only in terms of the salary figure, but MBA students are given an extraordinary platform to work on their networking and problem solving skills. This experience in an MBA school opens a wide range of career opportunities, with an increased earning. A survey by AMBA showed that MBA graduates have representation in almost every leading sector of an economy- consulting, financing, industrial, health care, public service, energy and consumer goods sector.
An MBA is worth it; but not all MBA degrees are equal. With the increasing number of business schools, across the world, offering this program, the MBA graduate crowd is increasing. Usually a score of 740 on 800, in the Graduate Management Admission Test can get you into the top business schools in the world, and an MBA earned from a less known institution or an unknown online only educator may not fetch you with the same kind of job. But also, an MBA degree doesn’t guarantee success, if you don’t have a perspective of your own or an innovative mind.
An MBA is a great investment for those who have an incline towards trading, investments, asset management or risk management. “No education is a waste, and with enough time and effort, an MBA can take a graduate as far as his or her ambition will allow."