Technically, Return on Investment (ROI) of MBA studies is an assessment of the gains with respect to the money, time, and efforts spent on it. Let's view a bit more widely.
1. Monetary Returns: In simple terms, what has been the gain in salary? To calculate it, subtract the tuition fee of the course and the forgone salary of the course duration from the income post-MBA. Forbes Magazine's ranking of colleges, which is conducted once in two years, is based on 5-year gains after completing an MBA, and is a good yardstick to evaluate the programs on this criterion. Monetary benefits are the simplest way of weighing an MBA program, but it is not complete in itself. We cannot overlook the non-monetary advantages.
2. Non-monetary Returns: The parameters are:
"¢ Business Network: Pursuing an MBA from a good B-School is a default entry to its vast alumni network. Such relationships are vital in the business world to initiate and grow.
"¢ Business Grooming: An MBA program builds up and polishes your innovative thinking, business leadership qualities, risk taking, and decision-making abilities. Change management, a need for global businesses, is one of the most valuable take away from an MBA course.
"¢ Career Growth: Career progression or career change, a reputed MBA course grooms you for all flexibilities. You can significantly shape your professional graph as per your requirement.
Estimating the right ROI for your chosen MBA options is important. Take up professional guidance to select the right choices for you.
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Return on Investment on MBA
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AdmitPitch
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US | UK | China | India
Schedule a 60 minute free assessment, send your resume at [email protected]
We do offer flexi-payment options
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prakashmehta
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Hey guys,
I believe that the focus of doing an MBA should not be stressed only on ROI as knowledge is more important. But I would like to know opinions of everyone over here.
I believe that the focus of doing an MBA should not be stressed only on ROI as knowledge is more important. But I would like to know opinions of everyone over here.
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purvipatel
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Hi
I agree with you that the focus should more on knowledge for selecting MBA but I think many students take loans to complete their education because of the high fees and other expenses and these loans they need to repay. This is the reason why focus is shifting from knowledge to ROI.
I agree with you that the focus should more on knowledge for selecting MBA but I think many students take loans to complete their education because of the high fees and other expenses and these loans they need to repay. This is the reason why focus is shifting from knowledge to ROI.
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karanrathore
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True. Students usually choose MBA colleges according to the placements packages so that the amount spent on their education can be recovered. But such students should not be blamed as MBA course is really expensive and many of them bills to pay. But even colleges concentrate on publicizing the placement packages rather than talking about the quality of education given to the students.
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priyabanerji
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Though ROI has become a really important factor for choosing a bschool, I don't think only this factor is kept in mind while choosing Bschool. People also consider the quality of education and various other aspects. And many Bschools have also started stressing on the fact that they are an educational institute and not an employment agency.
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ashishkumar12
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Yes I agree reputed colleges such as iim, isb, sp jain school of global management, stress a lot on the fact that knowledge is more important than ROI. They also pay equal attention to pay packages and the companies they invite for placements.
