An oversaturated market is not only a fear for MBA students.
The schools themselves are in danger as the wild growth of MBA graduates exceeds the demand for students, according to an article by Harvard Business Review.
In the past 10 years, MBA degrees have grown by 74 percent, a strain that could make it difficult for business schools to stay in business. For students, this means the future is even more unknown, according to the article.
Financial institutions, which are major absorbers of MBAs, may cut back, making high starting salaries and sign-on bonuses rare. Those who are employed in business schools will have shakier standing.
“Just as astonished senior partners in law firms learned that when the economics don't work, neither does lifetime employment, so too will astonished tenured professors,” said Rita McGrath, a professor at Columbia Business School. “If your school goes out of business, tenure doesn't mean much.”
However, this strain could cause new models for business schools. McGrath said she hopes this will be the long-term effect.
- The 10 most livable small towns
- Closet clutter: How having fewer,...
- Z'Tejas closing after 13 years at The Gateway
- Most American high schoolers don't know how...
- Dave Ramsey says: Don't leave an estate with...
- Sneaky tricks restaurants use to make you...
- Balancing act: Survey says lack of balance,...
- Company plans to hire up to 1,000 new...
- Utah unemployment rate second lowest in... 19
- Most American high schoolers don't know... 9
- Balancing act: Survey says lack of... 4
- Consumers are padding their checking... 2
- Optimism on the rise for job seekers 2
- Teen drivers hike Utah car insurance 89... 2
- Before you head off on your vacation,... 2
- How do Americans use their time? 1