Ritika Janiya
In 2024, applications for graduate business school courses have surged, even with economic uncertainty affecting job markets worldwide. This surprising trend was revealed in a new report by the Graduate Management Admission Council (GMAC). Despite higher tuition fees and ongoing debates about the value of an advanced degree, students seem more interested than ever in attending business school.
Why the Big Rush for Business School?
According to the report, applications for business graduate programs went up by an impressive 12% compared to last year. This is a big jump, especially considering that applications had been dropping for the past two years. It appears that more people are willing to invest in higher education, even as the global economy shows signs of slowing down.
One of the main reasons for this boost? Many schools are now offering more financial assistance to help students cover the cost of tuition. With scholarships and grants on the table, business school has become more affordable for a larger group of people. GMAC’s surveys in previous years highlighted cost as a big hurdle for students considering an advanced business degree. So, with more financial aid available, it’s no wonder that more people are applying.
Back to the Classroom: In-Person Programs are Hot Again
The report also showed that the biggest increase in applications happened for full-time, in-person programs. Nearly 60% of these types of programs saw more applications. This marks a shift from the last few years, when online and hybrid programs were more popular due to the COVID-19 pandemic. Now, students seem eager to get back to campus, meet their classmates face-to-face, and experience the energy of classroom discussions.
Some programs saw even higher growth. Full-time, two-year MBA programs, for example, reported an 80% increase in applications, while one-year MBA programs saw 64% growth. These numbers indicate that students are excited about traditional MBA programs, which have long been a staple for business school education. Other fields, such as accounting and management, also saw big jumps, with three-quarters of these programs experiencing an increase in applications.
Online and Hybrid Programs Still in Demand
Even though there’s a renewed interest in in-person learning, online and hybrid programs are still popular. GMAC reported that 58% of online programs and 52% of hybrid programs received more applications this year. Flexible MBA programs, which allow students to study at their own pace, were also in demand. For students balancing work, family, or other responsibilities, these flexible options are essential.
The increase in applications across all types of programs—full-time, part-time, online, and hybrid—suggests that students want choices that fit their unique situations. The business schools’ response to this demand has been positive, with many programs adopting innovative learning methods and adding online elements to traditional courses. This approach allows students to customize their education, whether they want to study in a classroom, online, or a mix of both.
A Return to Business School During Economic Slumps?
It’s not unusual to see a spike in applications for graduate programs during economic downturns. When jobs are uncertain or hard to come by, people often turn to further education as a way to enhance their skills and boost their career prospects. This trend has been observed in past recessions, with many people returning to school to wait out tough economic times and re-enter the job market with new qualifications.
Joy Jones, CEO of GMAC, believes that this recent spike in business school applications might be part of this “counter-cyclical trend,” where education gains popularity when the economy struggles. “This year’s record growth in applications hints at a pendulum swing toward graduate business education,” she explained. According to her, flagship programs like full-time MBAs and master’s degrees in accounting and management are especially popular.
However, she also credits the efforts of global business schools for this growth. Many schools have worked hard to make their programs more appealing by incorporating new technology and offering flexible options for students. These efforts are helping schools attract a wider range of applicants, who might not have considered business school before.
Domestic Applications on the Rise
Another interesting detail from the report is the rise in domestic applications—those submitted by applicants living in the same country as the program they’re applying to. This could be a sign that more people want to stay close to home for their studies, especially in uncertain times. By studying domestically, students may feel more secure, avoiding international travel and any visa-related complications.
This shift could also reflect a growing belief in the quality of local business schools. With many top programs and resources available at home, students might feel they don’t need to look abroad for a good education.
What’s Next for Business Schools?
Business schools around the world are likely thrilled by this new wave of applications. After a few challenging years, it’s a relief to see that students are once again eager to invest in their education. However, this surge also brings challenges. Schools will need to ensure they have the resources and staff to handle the higher number of students while maintaining the quality of their programs.
As business schools continue to innovate, students can look forward to new ways of learning that go beyond traditional lectures. With online options, hybrid programs, and immersive, in-person experiences, business education is evolving. This flexibility means students can find a program that fits their personal and professional goals, making graduate education more accessible to a broader audience.
