A Master of Business Administration (MBA) degree is an excellent choice for anyone who aims to work in business and hold a leadership position. The degree is widely respected, especially when it comes from a top business school, and it can open doors to job opportunities. However, getting an MBA requires a heavy investment of money and time, and some prospective students wonder whether the degree will pay off. While an MBA doesn’t guarantee an executive position in a Fortune 500 company, it does offer some valuable benefits.
Gain Advanced Management Skills
Most MBA students have several years of work experience behind them when they apply, so they have already developed many of the basic skills required to manage people, money, and tasks. An MBA program brings students to the next level, producing leaders who have the ability and confidence to take the reins of a large organization and ensure its success. Through experiential learning, research, and exposure to industry experts, MBA students hone their ability to analyze data, assess risk, and make sound decisions in challenging circumstances. Furthermore, the skills gained in an MBA program can transfer to many other fields besides business, including technology, the healthcare industry, and government.
Earn a Higher Salary
Employees with MBAs tend to start their jobs at a higher salary, on average, than employees with other types of master’s degrees or a bachelor’s degree plus industry experience. This leads to greater lifetime earning potential for MBA graduates. Employers perceive that a good MBA program trains employees to have high-level leadership and management skills that are crucial to the success of their company. Graduates of top-10 schools are, not surprisingly, the highest earners of all MBA holders, but it is not easy to get into one of these schools. For help with the application process, see this information about Personal MBA Coach.
Build a Professional Network
Another advantage of going to business school is the opportunity to network with many other business professionals. These people include professors, alumni, industry experts who visit classes or seminars, and fellow students, who may go on to have influential careers. All of these connections can help to establish a student’s reputation, and professors, in particular, help advance their students’ careers with introductions and letters of recommendation. Many business school graduates report that the connections they made in school were the most valuable part of their education.
Develop Expertise in an Industry
MBA students have the opportunity to select from a wide variety of specializations and gain in-depth knowledge about that area. Examples of specializations include the energy sector, entrepreneurship, marketing, financial technology (fintech), operations, business analytics, and international business. Choosing a specialization can give graduates an advantage when seeking jobs in their chosen field.
An MBA is not necessarily a requirement for management positions or other leadership roles, but it is always an advantage. For the best return on investment, prospective students should aim for one of the top schools. The best candidates have a strong academic record, a high GMAT score, relevant work experience, and something unique to offer.
