Complete Guide to Online MBA Degrees
One of the oldest graduate degrees available, a masters of business administration (MBA) is designed to equip students with in-depth knowledge of fundamental business concepts and help them develop advanced skills in management, negotiation, and strategic thinking. Online MBA degrees are a popular choice for individuals hoping to become effective business leaders, change professions, or embark on an entrepreneurial career.
MBAs are in high demand, and earning this degree can significantly increase a graduate's employability. Aside from helping applicants land a job, this credential may also provide working professionals with opportunities to advance their careers. According to Heather Morgan, an MBA graduate who frequently writes about topics in leadership and self-development, "MBA holders are the type of leaders that top organizations are looking to promote to positions of greater authority and responsibility." It's, therefore, no surprise that MBA graduates can go on to hold high-level positions, such as chief executive officer, chief financial officer, and project manager.
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Admission Requirements for an Online MBA
Students need to complete 36-60 credit hours to achieve an online MBA. Admission requirements vary by program, but are typically similar for traditional and online degrees. In general, students need the following prerequisites and materials to apply:
- A bachelor's degree with a minimum 2.5 GPA
- 2-3 years of relevant work experience
- GRE or GMAT scores that meet specific program requirements
- A resume and personal statement describing a student's interest in earning an MBA
- Letters of recommendation from mentors or teachers
MBA Program Courses and Curriculum
Students enrolled in an online MBA degree program study business concepts in marketing, finance, information technology, and supply chain management, to name a few. Coursework in an MBA curriculum typically covers foundational business principles by integrating assignments and lectures with practical exercises, such as presentations and team projects. These are meant to give individuals hands-on experience of what it's like to work in a real-world setting. While classes vary by program, below is a list of common courses students may take.
If you are most interested in studying global business relations and strategy, consider an MBA in international business.
Concentrations
Many online MBAs allow students to focus on a particular area of business administration. Concentrations build on core coursework, offering the chance to delve deeper into a subject in order to gain specific knowledge and expertise. Below are some common tracks that may be especially beneficial for students with career goals in a particular business field.
Online MBA students who choose this concentration want to learn how they can manage a business or an organization's cash flow. This concentration involves completing coursework in various accounting subjects, including auditing, taxation, and cost management. Graduates are typically prepared to take on accounting roles in many different industries.
Like accounting, finance is a business field that focuses on managing costs. In addition, however, students who study this subject learn how to identify investment opportunities, manage risk, and increase profits for clients. With this training, they are well-positioned to work in the banking industry as hedge fund managers, financial planners, or risk analysts.
Students electing to concentrate on HR would like to be trained in identifying, recruiting, and retaining employees. By taking classes in areas such as conflict management, negotiation, and cultural intelligence, these students prepare to work as mid- to senior-level HR managers.
Marketing is essential for all kinds of businesses, whether it involves advertising a new product, planning future growth, or attracting partners. Students in this concentration should gain an understanding of human behavior and learn how to conduct market research using various strategies. Graduates may go on to work as marketing managers or advertising executives.
Individuals electing an organizational leadership track in an online MBA program typically gain an interdisciplinary education by taking courses in data analytics, communication, and ethics. Students also focus on developing strong interpersonal and leadership skills. Gaining diverse expertise helps prepare those in graduate school to pursue a wide range of business careers after earning their degree.
You can also explore full, graduate-level programs in accounting, finance, human resources, marketing, and organizational leadership.
Is an Online MBA Worth It?
The value of any higher education will depend, in part, on an individual's financial circumstances, personal goals, and other commitments. Overall, an online MBA can be a suitable choice for individuals hoping to advance their careers or gain job security. As Morgan continues, "In today's uncertain business environment where cutbacks and lay-offs can be necessary, it is crucial to have every edge available to market yourself." However, in addition to a brighter job outlook, students may also want to consider the following potential benefits and disadvantages of enrolling in an online MBA program:
Potential Advantages
An MBA may yield a high salary. Based on the 2021 Graduate Management Admission Council's Corporate Recruiters Survey, MBA holders earn a median annual salary of $115,000 per year, which is 77% higher than those with a bachelor's degree.
This is a versatile credential that can open employment opportunities in multiple sectors. Employers in a range of industries — such as tech, healthcare, energy, and government — rely on business operations, making the job outlook for MBA holders quite favorable.
An online MBA offers students flexibility and the chance to complete coursework at their own pace. Online learning is ideal for non-traditional students, such as working professionals, who need to fit classes around a busy schedule.
Potential Drawbacks
This degree can take longer to complete than other graduate programs. Many MBAs require students to have 2-3 years of work experience before enrolling. With an additional two years to finish coursework, it could take up to five years to earn this credential.
An online master's may not offer the same networking opportunities as a campus program. Given their limited interaction with peers and faculty, distance learners in an online MBA may be less likely to develop the kind of relationships that can help land a competitive job.
Is an MBA a Good Fit for Me?
Individuals who enjoy solving complex logistical problems, collaborating with others, and taking on leadership positions may find an MBA program to be both rewarding and fulfilling. In addition to providing advanced training in various business fields,this degree pushes students to build a professional network while also refining their own managerial style. Indeed, the data analytics firm, Burning Glass Technologies, identifies communication, building relationships, and planning as baseline skills that can help individuals succeed in business professions. Given that these are precisely the skills that an MBA aims to develop, students with a natural ability to excel in these areas or those confident enough to challenge themselves to grow into a leadership role are likely to be a good fit for an MBA program.
Beyond one's personality, an MBA may also suit students who come from diverse educational backgrounds. For instance, individuals who hold degrees in social science or STEM fields typically have the necessary training to pursue an MBA program.
Careers You Can Pursue With an MBA
Given that MBAs vary considerably from program to program, not all students graduate with the same job opportunities in terms of employers, starting salaries, or industries. For instance, certain programs can lead to careers with prestigious consulting firms, while others can lead to high salaries or a chance to work in the non-profit or tech sectors. Below is a list of potential career opportunities for graduates, along with job outlook and salary data from the Bureau of Labor Statistics. While it is possible to land these careers with a bachelor's, an MBA can improve a candidate's competitiveness and may even be required by some employers.
Scholarships for an MBA Program
Students interested in a graduate business degree can use university scholarships and private grants to help pay for their degree. The first step to apply for financial aid involves filling out the Free Application for Federal Student Aid (FAFSA). This form requests an applicant's personal and financial information to determine how much aid they're eligible for. While the FAFSA can also be used to apply for financial aid in the form of federal loans, scholarships are often a better option as students don't have to repay them. Below is a list of scholarship opportunities for individuals enrolled in or planning to enroll in an online MBA program.
ACIP awards four students $2,000 annually to help fund their degree in a business-related field. Applicants must have a minimum 3.0 GPA and at least two years of completed college coursework.
Black, minority, and female students in the first year of their MBA program can apply for this award of up to $35,000. To be eligible, applicants must also apply for a summer associate program in one of three Goldman Sachs divisions.
Individuals who demonstrate a passion for investing can receive $15,000 cash through this merit-based award. This scholarship is open to students regardless of their demographic background.
Students pursuing or planning to pursue an MBA can apply for this award worth $5,000. Applicants need to be current SHRM members and have an undergraduate degree that reflects a 3.0 GPA or a graduate degree with a 3.5 GPA.
How Do I Choose an MBA Program?
As mentioned above, MBAs can differ in terms of employment outcomes. But they may also vary based on curriculum, specialization tracks, and costs. Those interested in this degree should consider the following factors before deciding which program to enroll in.
FAQs
Additional Resources
Individuals interested in an MBA program can explore the following resources for more information on education and employment trends in the business world:
- American Management Association offers training, certification, and resources to business professionals. MBA students can become members and use these resources to develop their skills and build a corporate network.
- Association of MBAs advocates raising educational standards in postgraduate business programs. This organization has been active since 1967, publishing research and insights to aid students, business schools, and employers.
- Graduate Management Admission Council publishes annual reports on business school trends, such as application demographics and employment outcomes. It also provides students with resources to complete the GMAT exam and other assessments.
- Society of Human Resource Management focuses on improving HR practices and promoting better workplaces. To achieve its mission, this organization produces research, holds conferences, and offers certification to professionals. They also regularly publish research on hiring trends.
- United States Association for Small Business and Entrepreneurship is a professional organization of teachers, scholars, and practitioners that seeks to advance entrepreneurship education.This organization offers a platform for members to take part in professional development exercises, conferences, and knowledge sharing.
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