Exit Strategy: Get Your MBA
October 14th, 2008
At our orientation this year I commented on how, in light of the current financial debacle, this year’s class was fortunate from a timing standpoint in that they were embarking on their MBA, MS in Tax and/or MS in Industrial Technology degrees (whether it was by intentional design or blind luck) now rather than later.
The Wall Street Journal just published the following article on this very topic.
Escape Route: Seeking Refuge in an MBA Program
Check it out. Your thoughts?
I am curious to learn more about the reasons some of you are here. Pray tell.
Prof. Carr Oct. 15, 2008 addendum: And here is a local SLO Tribune article that appeared in today’s paper, Ethics and Responsibility Are Hot Topics for Students at Poly’s Orflea College of Business, that relates to this post and also features several of your classmates. Good job Nic, Amy and David! And a good pic of the three of you as well.
Entry Filed under: China
7 Comments Add your own
1. whitedusk | October 14th, 2008 at 6:41 pm
The article did highlight a few important points :
1) Possibility of a tighter job market after graduation.
2) A stable job now may not be there after graduation.
3) An MBA is alot of money and effort.
Fundamentally it is really a matter of interests + desire and less because of the economical climate in the world today.
I got into a few MBA programs for this year’s intake (before news of the financial mess erupted) but I deferred to 2009 due to my own financial issues. Graduating in 2010 sounds wonderful to me now… 2009 will be a bad time to look for a new job.
2. Chris Carr | October 15th, 2008 at 9:10 am
Whitedusk,
Good points. I agree.
3. Bradford Anderson | October 15th, 2008 at 12:18 pm
Think of the tremendous opportunities available to MBA graduates in the current economic climate. Students (and graduates) who leverage their knowledge will be able to find work in the new areas of demand.
This market is driving the need for financially savvy individuals who can:
(1) Handle cash management for companies (investing in instruments which provide prudent risk/return);
(2) Engage in financial risk analysis (because the rating companies can’t serve as the only source of risk analysis). These folks need to know how to dig deeper than the surface of a financial statement, prospectus, or 10K filing;
(3) Engage in creatively raising capital in stressed markets. This means thinking beyond the “good old” issuance of common stock or bonds, and considering joint ventures, reverse mergers, foreign currency transactions, etc.;
(4) Handle fiduciary investment analysis (e.g. 457, 403(b), 401(k) funds/plans); and
(5) Implement policies and procedures to hedge risk. (What will be the next troubled sector/industry? Perhaps commercial real estate, insurance, and/or annuity plans/retirement plans/pension plans holding “junk”).
4. Bradford Anderson | October 15th, 2008 at 12:26 pm
MORE JOB OPPORTUNITIES FOR MBA GRADUATES:
With the massive infusion of cash into the financial industry, and the conversion of Goldman Sachs into the 4th largest bank holding company, there is going to be a massive consolidation of the banking industry. If you are interested in MERGERS AND ACQUISITIONS and can perform due diligence, there will be a demand for M&A expertise in the banking sector.
5. Chris Carr | October 15th, 2008 at 1:37 pm
Dr. Anderson is spot on in his comments and analysis.
6. Michael Mossman | October 15th, 2008 at 3:39 pm
I read the WSJ article and the SLO Tribune article today. Both articles were very interesting and this topic is going to develop over the coming months.
The banking and investment industry is going through some major job cutbacks and changes right now. It is going to be interesting to see what happens to jobs at companies who are not in the banking or investment industry such as Intel, Caterpillar, Wal-Mart, etc. These companies stocks are taking a hit, just like all stocks, but they are getting by for now.
Considering the current situation in the US, I have not heard much about MBA students leaving the country to take international jobs. I would consider moving out of the country after the MBA program to take a good job in a good location. It is going to be interesting to see if working oversees becomes more popular for MBA graduates in the coming years.
7. Chris Carr | October 16th, 2008 at 8:53 am
On Michael’s point about opportunities and incentives to go and work abroad during these turbulent times, see today’s Wall Street Journal article, Financial Jitters Spur Interest in Jobs Abroad.
I also have a number of posts on the blog you will each need to read and respond to as part of your predeparture work that relate to this topic.
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