We just wanted to highlight something that you may have already seen. MBA scholarships are becoming a bit more prevalent and FT.com quoted MIT Sloan dean David Schmittlein as saying he anticipates a day when all students will receive at least some financial aid. Currently and historically, some groups have been far more likely to receive scholarships. But with the slowdown in MBA demand and the continued pressure on graduate business schools to produce diversified class portfolios, we can see how competition could increase for certain top students.
However, we believe extending financial aid to all incoming students would require one of two things to happen:
1. A major paradigm shift occurs and universities cease to view their MBA programs as cash cows to help subsidize other schools and departments, or
2. The business schools jack up their ‘sticker price’ significantly and follow the model used by the majority of private undergraduate institutions.
Maybe we’re being overly cynical or maybe we’re just wrong on this. (We could be both although that might be a really hard hit to our ego.) In any event, let us know what you think below!