05/01/2009 | MBA Applications, MBA Programs

Asia states its case for MBAs

By: Ross Geraghty

Despite the 2002-3 downturn in MBA salaries and hiring, recent years have seen a significant upswing in the number of business schools offering places, worldwide MBA salaries and job availability for MBA graduates.

Nowhere is the pressure felt greater perhaps than in Asia. With its booming population and, in many cases, a booming economy, the Asian market is rapidly meeting its destiny as the most important market in the world. Of course China and India dominate those proceedings but it is important to note that alongside famous examples like Hong Kong, Singapore and Japan, other nations such as Malaysia and South Korea are quietly building a strong need for and provision for international quality MBAs of their own.

Developed and modern, Asian business schools are steadily improving their ability to provide for local students as well as offering a rigorous, accredited and competitive education for those from overseas. The presence of INSEAD in Singapore, where 15 Japanese students studied in 2007, has stimulated a trend of foreign schools opening campuses in Asia, and lead to a stream of schools following that lead. For example the UK’s University of Nottingham and Monash University from Australia now have campuses in Malaysia that offer the same accredited courses but at a fraction of the cost (sometimes to 30% of the fees in the home countries).

INSEAD is one of over 80 schools to come to Toyko this year as part of the QS World MBA Tour, www.topmba.com, held in the Sheraton Miyako Hotel Tokyo from 17:00 – 21:00. Antonio Fatas, Dean of INSEAD says the schools one-year program has diversity in terms of nationality and experience of both participants and faculty.
“Our graduates find the accelerated nature of the program to be an advantage in terms of its related return on investment and lower opportunity cost.”

Asia’s relative cost-effectiveness is a key benefit for international students looking to enhance their marketability with an affordable and rounded approach to their international business experience. The opportunity to steep themselves in a culture very different, in many cases, to their own, to learn another business mindset and to pick up some fluency in an Asian language is also extremely beneficial. As leading recruiters of international companies such as Sej Butler, Recruitment Director of IBM Europe, say, “a second language is not essential but is very beneficial. We are looking for people not only with good qualifications but also a well-rounded approach to business.” Where better to pick up such knowledge than in the world’s most rapidly changing region?

Biren Patel, former director of the QS World MBA Tour in India, says, “With the expansion of the middle classes in India and China, as well as other countries in the region, the need for educated business leaders has never been greater. With the Asian economies growing at double (or more) the rate of the western economies in the past decade or so, it has resulted in a growing disposable income for large sections of societies. With this comes a growth in both tertiary services and the traditional industries and hence the need for talented managers and leaders has been growing rapidly. The MBA can often fill the gap at a stage of one’s career when one rises to middle management. In the case of Asia, an increasing number of professionals from a technical background – such as I.T or engineering, want to acquire softer skills in management in an effort towards a career switch post-MBA.”

Not only are Asians looking overseas to study at business schools (the top 5 destinations are USA, UK, Australia, Canada and France) but aspiring MBAs from those countries are strongly considering Asian schools too. In the 2007 QS Applicant’s Survey, Singapore is the sixth most popular destination for overseas students while the other nations, such as Japan, have also seen increases (see table 1). More and more recruiters are now keen to hire locally from the region thanks to the choice of top schools such as National University of Singapore, International University of Japan, Hong Kong University and Waseda Business School on their doorstep.

TABLE 1
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