GMAC Advisor

GMAC’s annual Application Trends Survey of over 1,000 programs worldwide uncovered nuances in the demand for graduate management education and identified growth variations by regions, schools, and candidates. A combination of factors—including regional contexts, barriers faced by candidates, and strategies adopted by business schools— influenced the enrollment outcomes. Looking ahead, a survey snapshot of prospective students suggests business schools need to continue to innovate and adapt to the candidates’ shifting journeys.

With the US presidential election over and decided, well kind of, President-elect Joe Biden is moving forward with the building of his new administration. Though many of the faces surrounding the soon-to-be president may not look new as they bring years of policy and political experience into the fold. This week, Biden tapped long-time Washington strategist and operator Ron Klain to serve as White House chief of staff and other cabinet-level nominees are expected to be floated as the United States approaches its Thanksgiving holiday.

How is the demand for MBA and business master’s programs shifting in the context of COVID-19? GMAC’s annual Application Trends Survey uncovered nuances of the global demand for graduate management education and identified growth variations by program locations and types. One of the key takeaways is that decision-making, for schools and candidates, in this pandemic-induced economic downturn is about hedging risk and managing uncertainty. The reconfiguration of the enrollment funnel in terms of a higher number of applications and a lower yield shows that the 2020 application season for business schools was unlike any other.

How are prospective international students considering MBA and business master’s programs for the 2021 application season responding to US elections' outcomes? A pre-election poll suggests that international candidates are more likely to study in the US if Biden is elected president. In addition to direct implications for the US, alternative destinations competing to attract global talent are also likely to experience the impact of this shift in preferences.

Jackie Joyner-Kersee, former UCLA track star and winner of three gold, one silver, and two bronze Olympic medals said, “It's better to look ahead and prepare, than to look back and regret.” After a tumultuous four years, President-elect Biden’s victory in the US presidential election stands to greatly alter America’s future, not just at home, but abroad as well.

While data shows the tremendous classroom and economic benefits associated with welcoming foreign students, the US government seems intent on keeping them out.

With application trends and candidate dynamics evolving across the globe and COVID-19 bringing new challenges, there is a pressing need to amplify the voice of the graduate management education (GME) industry. GMAC has been advocating on behalf of business schools and helping to shape the narrative among candidates, influencers, stakeholders, media, and public policy through the Calling All Optimists program and leveraging earned media.

Canada has been a beneficiary of attracting global talent into its business management programs on the foundation of welcoming immigration policies and an expanding economy. According to GMAC’s Application Trends Survey, in 2017, seventy-five percent of the programs in Canada reported an increase in applications as compared to 41 percent in 2016—a clear indicator of a surge in demand for Canada after the US election. However, COVID-19 and the upcoming election in the US have the potential to reset the equation. Maintaining the momentum may require schools to double down on communicating the value of studying in Canada and delivering on the promise of positive experiences.

What is the impact of COVID-19 on skill demand, hiring projections, and salary trends for MBA and Business Master’s graduates? The GMAC™ annual report based on the survey of corporate recruiters suggests that although graduate management talent is not immune to the impact of the pandemic, employers remain confident about their skills. This confidence is noticeable in the hiring projections, which are likely to rebound in 2021 and median salaries, which are holding at $105,000 for MBA graduates.

How important is the inclusion of social justice in graduate management education? According to a recent survey snapshot conducted by GMAC, nearly two-thirds of prospective business school students agree that the social justice curriculum is Very important or extremely important. The findings suggest that the role of business schools in shaping future leaders who are motivated and prepared to create a more just society is more critical than ever.