Sixty-seven percent of two years full-time MBA programs around the world have seen a drop in applications this year. However, during the global economic crisis in 2009, 64% B-schools reported an increase in applications. That the management institutions in Asia and the Pacific have seen the biggest drop in applicants, this could be an indication of a more robust economy.
"This is possibly why business schools in the Asia-Pacific region have experienced a decline in applications,''he said, noting that an MBA program is one that has to be done immediately after graduation may be delayed.
The Application Trends Survey 2011, published by the Graduate Management Admission Council (GMAC), shows that two-year MBA program is not only witnessing a decline in applications. More than half of all MBA full time (including one-year programs and executive MBA) have seen a decline in application volumes.
Some think that the economic instability could have kept the candidates from applying to business schools. "In the beginning of a recession, people tend to return to school to retool and be ready when the economy improves. But in this prolonged recession, people are much more reluctant to leave their jobs and return to school because they are unsure whether they can re-enter the workforce at the appropriate level when they graduate. The improvement in the economic front has been uneven and in the absence of a clear trend toward recovery, the candidates have doubts about the time and cost of a two-year commitment of full-time MBA,''said Ashish Bhardwaj, the director regional, GMAC South Asia.
Professor Atul Tandon, a management consultant and former director of Mudra Institute of Communications Ahmedabad, believes that a growing number of people are opting for careers such as advertising, design and media who do not need an MBA. In addition, points to a growth in short courses in areas such as public relations and event management.
Paradoxically, while two-year full time MBA programs have seen a drop in application volumes in India, the country provides the majority of foreign applicants to these programs in foreign universities, 61% say they have received the maximum number of foreign applications in India. Meanwhile, a growing number of Chinese applicants are also seeking to study abroad.
Although the maximum number of business school applicants are from Asia and the Pacific, management institutions in this region has seen the largest decrease in application volumes. According to Bhardwaj, it has a lot to do with the fact that while the growth of the economies of the Asia-Pacific region have resulted in the demand for quality management talent and a growing interest in the MBA program, the United . UU. remains the preferred destination for education management.
According to the survey, the majority of part-time programs received the same or a greater number of applicants last year. One of the institutions surveyed felt that a good job candidates wanted to keep their jobs and not incurring debt as much as if they had opted for a full-time MBA.
Meanwhile, a larger number of small programs showed an increase in application volumes when compared to larger ones. This, says Bhardwaj, is that smaller programs tend to attract more local students, and an uncertain economic environment, it makes sense for candidates to opt for this type of program in the larger national and international.
