Why Indian Students are Inclined to MBA Abroad | 81% prefer foreign MBA

Why Indian Students are Inclined to MBA Abroad

Why Indian Students are Inclined to MBA Abroad
Pursuing an MBA is often a dream of most business or management education aspirants. A couple of years back, students often competed with the best of competitive minds for entry into best management institutes in India. However, today, the scenario has changed with more than 70% students attracted to the reputation of the international universities.

With CAT 2018, the focus is presently in this direction, i.e. gaining foreign MBA admissions. Though the IIMs still bag the top spot in the Indian MBA market, the attractive package deals that comes along with foreign MBAs cannot be easily overstepped by ambitious students and their parents. Some of the major reasons for this is the huge exposure, world class rankings and reputation of foreign universities and the corresponding career opportunities that come with doing a foreign MBA.

Infact, in a recent survey by GMAC in 2016 on prospective students for MBA, nearly 81% of Indian students preferred a foreign MBA over Indian MBA and this was an increase from 76% preference in 2011 for the same. Let us look at some of the other reasons for this changing trend.

As mentioned above, majority of Indian students favour foreign MBA because of the reputation attached with foreign universities and their education programs.  Ofcourse it is not a surprise that foreign educational programs are uniquely designed structure wise and class-wise and include tons of class options, apart from the actual MBA program. It is quite known that the USA is the most preferred destination to do an MBA followed by the UK, Canada, France, Germany and Australia among foreign countries.

Why Indian Students are Inclined to MBA Abroad

Why Indian Students are Inclined to MBA Abroad

 

 

One of the important reasons for Indian students choosing foreign MBA programs is their updated curriculum’s. Many of the foreign institutes and universities excel in this area of curriculum designs as they match appropriately and finely with corresponding field and industrial practices, standards, market performance and work requirements. For instance, students are allowed to customize their MBAs and choose from among 70 different electives for the MBA program at the London Business School, UK.

Secondly, the preference of quality designed MBA programs also make Indian students prefer foreign MBA over Indian MBA. This quality of structured MBA programs is directly related to the employability of MBA graduates which is higher in foreign MBA graduates by default.  In a recent survey by ASSOCHAM, it was noted that nearly 93% of Indian MBA graduates lacked employability from out of 5,000 plus B-schools in India.

After the top premier MBA Institutes in India, the next option is Tier 2 and Tier 3 business schools. However, due to low preference for these schools and for their low quality education, seats often are vacant in such schools. This is mainly because many new management institutes fail to follow globally bench marked practices in MBA education. Further, the quality of MBA education in Tier 2, Tier 3 business schools suffers more when   quality faculty do not teach there due to low salary structures.

Thirdly, Why Indian Students are Inclined to MBA Abroad we move on the most important factor critical to good management education, i.e. the adequate student-teacher ratio.  In India, many colleges have a high student-teacher ratio which leads to teaching faculty often being burdened with extra teaching hours, classes, assessment works and exam duties. At a higher level, this actually hampers the overall possible productive outcome of a teaching faculty that could have led to more individual researches, capacity building or better innovative teaching methods for students.

However, in foreign countries the faculties are not overburdened. In fact, they spend more time in extracurricular activities and other research and personality development activities. Therefore, such a faculty is more likely to be innovative in their overall thinking and teaching methods which in turn will benefit students. This kind of teaching methodology is also the need of the hour for MBA education wherein students are molded into world class business leaders and entrepreneurs.

Except for some government colleges and universities, pursuing an MBA in private Indian colleges can be expensive. In India, many a times there have been also cases where MBA graduates begin with a monthly salary of somewhere between INR 15-20k after spending lakhs for the degree. On the other hand, with numerous funding and scholarship opportunities available these days to pursue foreign education, students don’t think twice about applying for the same. The fact that foreign MBA graduates earn more and able to recover the cost spent for a MBA degree in less time brings up foreign MBAs even if more amount has to spend for getting the degree.

With regard to industrial or working experience, it is more valued in foreign MBA programs as sometimes this becomes a major criteria to select students into their MBA programs. In the Indian MBA market though, the need to shift the focus of B-schools to skills and practical based education still remains high as present Indian management graduates lack adequate on-the-job training experiences.

Lastly, the most popular factor here for students to pursue a foreign MBA is the new experiences of foreign cultures. Being in a foreign country definitely creates more opportunities to expand one’s thinking,  perspective, maturity levels or even pick up new academic interests of an international standard. Of course, this can be a trial and run error method in the beginning though it becomes helpful in the long run like while   working in multinational setups or engaging with foreign clients for work prospects and career growth.

 

Why Indian Students are Inclined to MBA Abroad

One comment

  • Pursuing an MBA is often a dream of most business or management education aspirants. A couple of years back, students often competed with the best of competitive minds for entry into best management institutes in India. However, today, the scenario has changed with more than 70% students attracted to the reputation of the international universities.
    With CAT 2018, the focus is presently in this direction, i.e. gaining foreign MBA admissions. Though the IIMs still bag the top spot in the Indian MBA market, the attractive package deals that comes along with foreign MBAs cannot be easily overstepped by ambitious students and their parents. Some of the major reasons for this is the huge exposure, world class rankings and reputation of foreign universities and the corresponding career opportunities that come with doing a foreign MBA.
    Infact, in a recent survey by GMAC in 2016 on prospective students for MBA, nearly 81% of Indian students preferred a foreign MBA over Indian MBA and this was an increase from 76% preference in 2011 for the same. Let us look at some of the other reasons for this changing trend.

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.