Skip to main content

MBA-Quality

Are Indian B-schools in a bubble as some project about American higher education? 
 Schumpeter in his recent article in entitled “The latest bubble?” in the Economist, argues that American higher education bubble is already beginning to burst. Specifically, for business schools he concludes “Middle-ranking schools are seeing a significant drop in demand, which they have masked by taking weaker candidates, but which will eventually force them to start cutting back.” He also cites Peter Thiel, co-founder of PayPal who “believes that higher education fills all the criteria for a bubble: tuition costs are too high, debt loads are too onerous, and there is mounting evidence that the rewards are over-rated.”

With more than 3,000 B-schools, India has three-times the number of B-schools as compared to the US. This difference becomes stark considering that the size of the Indian economy is one-tenth of the US economy. The end result is poor quality of education, oversupply of MBA graduates which in turn increases unemployability and underemployability among graduates.


    The Process in MBA colleges ?
    First and foremost  is to create awareness about theory and practices of management. Then the students are made to choose their disciplines be it marketing, HR, Finance, systems etc., this awareness is adequate to build the basic competency - elementary management skills.
     
    Competency has three components -
     Fundamentals the theoretical know how about Management Frame-work, 
    Experience which reinforces the theory by providing an opportunity to experiment with the theory and finally and most critical, situation specific adaption of performance style, which is the end result of the first two components. 


A recent article notes that according to All India Council for Technical Education (AICTE), last year nearly 60,000, or 30 per cent of the approved 200,000 management seats, remained vacant. Also, the number of applications coming in for the Common Admission Test (CAT) for MBA entrance have decreased from 260,000 to 200,000 in the last three years.

This clearly indicates that Indian B-schools are in a bubble. Except top-100 institutions, most will suffer from bursting of this bubble which is characterized by irrational exuberance, oversupply and poor quality.

Interestingly, China is witnessing a boom in B-schools. The reason being that they caught on to the management education quite late and at the same time the size and growth of the economy is able to absorb MBA graduates. For example, there are nearly 230 B-schools offering MBA in China in 2010 while there are more than 3,000 B-schools in India.

Bubbles have a long history of existence around the world and they inevitably bust with severe damage to individuals, society and economy (remember dot-com bubble? housing bubble?). It’s time we collectively make our best effort to reduce the damage from the Indian B-schools bubble. Institutions have to start questioning if they are contributing to expanding the B-school bubble or containing it?

Ref: http://www.dreducation.com/

Popular posts from this blog

Overview of Social Media Marketing

Social media marketing refers to the process of gaining traffic or attention through social media sites. Social media itself is a catch-all term for sites that may provide radically different social actions.

Use social media marketing to listen, analyze, publish, and engage across networks. Align your marketing, customer service, and sales efforts on social — strengthening customer relationships.


Listen and analyze. Hear conversations from over 650 million different sources with social listening tools. Discover what consumers are saying about your brand, your products, and your competitors. Discover trending topics and influential conversations — then use that information to inform your marketing decisions.
Plan and publish. Plan, execute, and track social media marketing campaigns. Customize and craft your content from multiple sources, while protecting your brand with configurable approval rules and a full audit trail. Manage social strategy, tailor campaigns, and drive social awareness…

Why Digital Marketing and Web 2.0 Important To Business?

DIGITAL MARKETING

Digital marketing technology helps you understand and reach your audience most effectively so you can generate the most revenue.  For advertising campaigns, ad serving technology makes it possible to serve the right ad at the right time to right person.  That means your advertising is being as productive as possible. When technology is working for you, you’ll understand your audience at a whole new level, and it will show up on your bottom-line.


NEED FOR THE STUDY The pace of change in today’s business environment is faster than ever. New markets, technologies, and opportunities are arising on a daily basis. Current ways of doing business need to be adapted or they will become outdated. Organizations and enterprises have to become agents of evolution to be successful; as victims of evolution they risk failure. With so many dynamics operating in the global economy, Digital Marketing is now more than ever an effective tool to make a company stand out from the pack.

The pe…

Rural and Urban Marketing Linkage

MARKET LINKAGES
Some general principles need to be clarified to provide a basis for understanding food-marketing systems within a development context. In order to make any effective interventions in a marketing system it is necessary to define the types of marketing channels, their linkages and functions.
The term “market linkages” is often referred to in the literature on rural development. what precisely does it mean? The term linkage obviously implies a physical connection between the producer and the ultimate consumer. Linkages also involve financial transactions - the selling and buying of goods - and can be broadly defined in four different ways:
by the form of financial transactions or type of intermediaries who undertake the transactions;by the channels through which transactions occur and the type of facilities used for transactions;by how they are linked together by transport and communications networks;by the spatial distribution of transactions - where they occur and whethe…