Why MBA is Expensive?

In earlier times, unlike professional courses like Law or Medical courses, an MBA did not have much recognition among the masses nor was it considered much prestigious degree like the other two mentioned above.

It is about the 19th century, when industrialization took place and society witnessed a rise in the demand for leaders who could manage big organisations since such leaders were capable of understanding the relationship between expertise and the world force of a company. MBAs and MBA degrees became prominent in the management field in the middle of the 20th century. When the demand for MBA courses and specialisations increased, the cost of doing an MBA also increased.

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This Story also Contains

1. Why MBA is Expensive?
2. Why are MBAs so Expensive?
3. How can you make an MBA affordable?
4. Top B-Schools MBA Fee Structure

Why MBA is Expensive?

Along with the passage of time, MBA has built a solid reputation among the masses globally. The fact that this degree promises high employability and salary to fresh MBA postgraduates makes an MBA even a better opportunity as a career for students. But everything comes with a cost, so is a top MBA course. Once a student decides to pursue an MBA, along with appearing in top MBA entrance exams, he is expected to know about the hefty amount of fee he has to pay to the institution where he is pursuing his MBA degree.

Despite being an expensive one, this course has gained so much popularity in the last decade as it opens a gateway of numerous opportunities for MBA grads once they complete their degree. That's why MBA is so costly in India. MBA is a 2-year postgraduate programme that can be pursued in various disciplines like- MBA in Finance, HR, Marketing, and IT in India. The program is offered by the top and most prestigious B-Schools across the country and IIMs (Indian Institute of Management), Symbiosis Institute of Management Studies, Symbiosis International, Faculty of Management Studies, etc are some of those Institutes. The fee structure of each Management school differs from that of each other. The fee for an MBA degree in India ranges between 6 lakh to 22 lakh.

Why are MBAs so Expensive?

Here are the factors that play a significant role in making MBA an expensive course, By going through the below factors, candidates can easily understand why MBA is so expensive?

• Expertise of Faculties

It is the responsibility of B-Schools to provide their students with expert faculties who have excellent academic credentials. The knowledge of such experts comes at a cost and taking insights from such professors and mentors is one of the main benefits of pursuing an MBA. Hence, it’s quite reasonable for B-schools to invest in such faculty.

• MBA is not just a qualification

While pursuing an MBA, one doesn’t only pay for their studies but also for the experience that they would miss out on otherwise. Studying MBA could cost more than just a tuition fee especially when one decides to move abroad and study at prestigious Management schools in America or Europe. It is needless to say moving out of your home country to another country for the purposes of study becomes substantially expensive.

• Resources

B-Schools do not provide for faculties and tutorial classes only, rather, these institutes always endeavor to offer their students more and more facilities such as school resources which include- hostel, library, mess, etc. Along with these resources, management institutes are also encouraging e-learning and digital learning models in order to make it easier for MBA students to learn through online programs. Such learning resources come at a cost.

• Student Trips

Apart from studies, MBA students at B-Schools add value to their experience by participating in various kinds of abroad trips to conduct big projects, workshops, programs, career fairs, etc. Such programs also incorporate a huge cost of learning.

How can you make an MBA affordable?

Before enrolling in an MBA programme, one must thoroughly go through ways that might make their journey in B-school affordable. They can go for the options like:

• Scholarships

MBA is an expensive course, hence, to help bear the expenses, there exists an MBA Scholarship. One must research the MBA Scholarship opportunities available to them as it will open the doors for them to pursue a popular yet expensive course and help them to cover a part of their education expenses.

Also, there are available scholarships for students belonging to a particular group or community, which they can avail by fulfilling the basic eligibility criteria for such scholarships.

• Student loan

In case, where one fails to find any MBA scholarships or if no scholarships are available to them, they can also go for student loans with lower interest rates also.

MBA is an expensive course, but at the same time it promises career growth, personal development, and high salary along with great learning experiences.

Top B-Schools MBA Fee Structure

The MBA course fee offered by the various B-schools are mentioned below. Going through the below table, MBA aspirants can get the answer to the question, Why MBA so expensive?