THE VALUE OF AN MBA
The Value of an MBA – is it worth it?
An MBA, or Master in Business Administration degree, is an internationally recognized postgraduate degree awarded to students who have mastered the study of business. It is one of the most prestigious degrees in the world and is recognized as a passport to a successful career in management and leadership. MBA students study the theory and application of business and management principles, and receive an education designed to broaden their perspectives and equip them with knowledge and skills that can be applied in real world business situations. The MBA program typically covers all the major aspects of business, including Accounting, Business Policy, Entrepreneurship, Finance, Marketing, Operations Management, Organizational Behavior and Strategy.
Investing in MBA
Getting a full-time MBA from a prestigious institution is an expensive undertaking. Average annual tuition for a top ranked business school is up to $50,000 and the MBA program oftentimes means up to 2 years away from paid employment, with no immediate income stream or guaranteed job offer on graduation. This investment of time, effort and money is enormous. Why then do millions of professionals embark on the demanding application process to top business schools across the world each year?
Conversations with MBA graduates from top business schools provide the answer: The MBA is an investment that provides students with an asset that can generate returns in excess of the initial outlay.
Benefits of an MBA
An MBA dramatically increases earning potential. For Nigerians, it is estimated that an MBA increases earnings by over 300% of pre-MBA salary, easily resulting in 6-figure basic salaries in USD. There is also a high demand for MBAs in the growing global economy, and an increasing appreciation for the skills that MBAs bring to an organization. Some organizations now have Leadership Development programs exclusively for MBA hires, putting them on the fast track to Senior Management.
An MBA also teaches the essentials of running a business effectively. Students get exposed to the intricacies of how businesses work and how to integrate and manage all the different elements, skills useful in managing global corporations, setting up startup enterprises and everything in-between. The MBA education challenges and expands the way students think and view the world.
Finally, the diversity of the environment makes an MBA an exciting prospect for networking and building lifelong relationships. Business school brings together some of the brightest and most inspiring individuals from around the world and there are few places with such a blend of intellect, diversity and access to capital. Business schools are notorious for bringing together ideas and money and building business partnerships, international networks and lifelong personal friendships.
Putting all this in perspective, an MBA is definitely well worth the investment. As business school alumni will concur, the Cost-Benefit analysis is positive……and the IRR is through the roof!
Tosin Okojie, MBA
Tosin has an MBA from Yale University and is the CEO of Total Ascent (www.total-ascent.com), a Test Preparation (GMAT/GRE/LBS Exam) and MBA Admissions Consulting company. Comments should be directed to email@example.com