Fewer Applicants Points to Shift in Preferences
The degree in Master of Business Administration (MBA), which
was a craze with most students in the country till recently, seems to have become
passe. An enquiry into the drop in the rush of applicants for the Common
Aptitude Test (CAT) in the recent years has revealed that students are no more charmed
by the programme and have started considering alternatives.
The number of CAT aspirants kept rising every year and peaked in 2008 when a total
of 2.7 lakh students registered for the test. However the number dipped steeply
to 2.41 lakh the next year which was a sharp break in the accelerating figures of
CAT takers. The figure continued to drop steeply in CAT-2010 when 2.04 lakh students
registered for the test. This year, the registration for CAT-2011 which ended
on October 4 had a total of 2.05 lakh candidates registering.
Explaining the declining trend of the demand for CAT Biswaroop Padhi who has been
preparing students for entrance exams like CAT for the past 7 years said, "The overall
aspiration to pursue an MBA degree among students has decreased as they are uncertain
of good placements after the programme. This phenomenon began in 2008 when MBA students
failed to get lucrative jobs. For example two major sectors which used to recruit
MBA students - telecom and finance are not doing so well as they used to two years
ago. So, most students are now clear that they do an MBA only if they get admission
to a top rung institute which ensures a good placement."
"This trend of less enthusiasm to study MBA has also been reflected in MBA institutes
in the state whose admissions are based on GSAT. While the number of GSAT takers
has increased in the past few years, there had been around three thousand seats
lying vacant in various institutes in the state. This clearly shows that students
have become choosy about good management institute which would ensure them job security.
A similar trend is also visible in many other states of the country."
Candidates from other disciplines just as efficient:
Expressing similar views director of PTI education Ahmedabad Sameer Rai added a
few more points. Rai said that apart from the global economic recession, due to
which the placements for MBA students have lost their lustre, there is an increasing
awareness among students and industries that a person qualified in other disciplines
with a good communication skill can perform as efficiently as an MBA. "With the
increasing fees of the MBA programmes even in average institutes, students are considering
other options," said Rai.
However giving a slightly different perspective to the trend, a member of faculty
at IIM Lucknow Himanshu Rai who was convener of CAT-2010 said, "I would rather say
that the number (2 lakh students) is a realistic number. This is the number of students
who understand, and are clear with what they want.
"What happened in 2008 was an effect of the reports of very high salaries offered
to MBA students in the two preceding years. This attracted many students who thought
jobs and good salaries are guaranteed through an MBA degree. Now students are realizing
that this is not true."
Courtesy: Times of India
