MBAs: Russians want them either cheap or expensive
Due to the financial crisis the MBA student profile in Russia is changing. Medium-cost MBA programmes (up to €15,000) are less popular nowadays. According to the International Management Institution, only expensive, highly rated programmes and the cheapest options (up to €5,000) will remain successful.
Research shows that the most expensive MBAs in Russia (€38,000 and €90,000 for a 18-month course) have no problems finding students. At medium-priced business schools a 5% dropout rate has been noted.
Every year 5,000 students enrol on an MBA programme in Russia. About a third are sponsored by their employers. Over 60% of these companies intend to reduce their spending on staff training.
In a survey among 500 managers and specialists choosing to do a business education programme, 41% said they would not start any earlier than 2010.
Trends in MBA
Russians choose Financial Management, Investment Management, IT-Management, Marketing, and Logistics if they decide for an MBA
Financial Management is the specialization most Russians choose if they decide to study for an MBA (43%). Second in popularity is Investment Management (14%), followed by IT-Management (12%), Marketing (12%) and Logistics (11%).
According to the Russian monthly magazine Study & Career, 82% of the respondents say the most important reason to do an MBA is ‘to acquire new knowledge’. A second motivation is to update their knowledge. Developing career prospects and earning more money are other important factors.
Every year 5,000 Russians get an MBA degree. Among MBA specialists in Russia, there is a discussion on whether it is better to do an MBA in Russia or abroad. According to the Russian Foundation of MBA Alumni, it is better for Russians to study in their own country.
MBAs abroad are too oriented towards western ideas and principles, the foundation says in an interview with the magazine. Which means that once back in Russia, MBA graduates would encounter difficulties when applying their western knowledge within Russian companies.