Is MBA really losing its value?

In the last few years, speculations have been made regarding the value of an MBA degree. If one is planning to enter the competitive business world of today, an MBA seems like a necessity. In the past few years, there has been a decline in the worth of an MBA degree around the country due to the wide gap between what is being taught in the B schools and what the industry demands from its future employees. The lack of quality control and infrastructure, low-paying jobs through campus placements and hiring of faculty that lack real-life industry experience are the major reasons for India’s unravelling B school disaster. So this leaves the students, looking forward to a successful and stable career with the question of “why to do an MBA”? Let us delve deeper into the worth of an MBA degree in today’s time.


Is the value of an MBA really falling?

Unemployability is a great crisis in the present times, which is raising doubts about the value of an MBA degree. In a developing country like India, where the majority of our population are youngsters who want stable and secure jobs and the right skills to sustain that job. One solution that seems to be staring at these students in the face is doing an MBA. Some reasons for one to pursue an MBA are:


  • A high paying job.
  • Landing a management position.
  • Starting your venture.
  • Developing one’s managerial skills.
  • An MBA helps you connect to larger business networks.
  • Getting better opportunities for working with professionals.
  • Chances of climbing that corporate ladder higher.
  • Experiencing different cultures and places.
  • Increase your credibility by pursuing a global degree.


With so many positives, why is the MBA then falling in value as a degree? The reality is that even after doing an MBA, the graduates lack the skills and practicality that is necessary for one to be successful in the corporate world. In the last couple of decades, the clear winner of the most sought after the degree has been the MBA. This has resulted in the rise in the number of B schools across the country. As per today, there are a whopping 5,500 B schools around India, with at least 40,000 seats for the MBA aspirants. This would give anyone the impression of the MBA being a fairly easy field to enter, but we all know, that is far from the truth. Even after churning so many MBA graduates every year, only 8 percent of these graduates are employable. After having so many B schools in the education space, why are so many MBA graduates still unemployable?


The factors resulting in the falling value of an MBA degree


The fact that the MBA degree is one with easy access, where students can obtain their MBA degree online, has changed how the employers perceive the MBA. For the big names in the corporate sector, and who have been in the field recruiting MBAs, If an MBA is not from a top B school, the recruit isn’t useful.

The outdated and fossilized curriculum taught in most B schools is the main factor in increasing the unemployability of these MBA graduates. The curriculum has not kept pace with the fast-changing industry needs. The management education needs a radical change in how the curriculum is taught to the graduates. It needs to be made more practice-based, with real-life examples and case studies studied and analyzed by the students rather than mugging up the management theories.


All is not doom & gloom in the MBA world


A lot of efforts have been made to raise the value of an MBA, as it is clear it is something businesses need and cannot do without. At Sunstone eduversity, the curriculum is changed every session, catering to exactly what the industry needs from its employees boosting the MBA graduate’s employability in the process. The curriculum is made by industry experts with years of experience in the corporate sector, ensuring that the demands of the industry are met by the MBA graduate. A technology-led pedagogy guarantees the ease of the students to work with technology and in a technology-driven environment.

This familiarises them with technology and helps them to have a more organized approach towards their work. With the rise of start-ups and new entrepreneurial projects, there has also been seen a rise in the hiring of non-MBA’s, which presses on the fact that management skills are needed, which a person without an MBA can also have. The pay after placement model also helps make the student financially independent by taking the responsibility of paying their MBA fee once they land a job.


So there is no denying that the world still needs individuals with managerial and leadership skills to ensure the smooth sailing of a business. The value of an MBA degree is not falling and is still one of the most sought after degrees in the country. In the end, Choosing the right B school, teaching the right skills with an industry integrated curriculum is what matters and the battle is not over by just getting into a top B school.

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