MBA is a degree which remains green all the time, as its diversified degree and some sector or the other always performs well until there is a total burst. However there are ups and downs in every things of life, if I remember the year 2008 that was the time when world was in great shock and has gone into the recessionary phase and the whole financial sector was in great turmoil , the big giants like Merrill Lynch, Bank of America, Lehman Brothers all have failed badly , the whole world was in great shock and the job cuts are rampant, and many of the pass-outs in 2008 to 2011 not able to get a proper placement and Mba colleges have struggled to place them, so it’s always been suggested that when you are making an investment look at time and market scenario ,however it is myopic to look at the immediate return after two years, but the initial start matters.
Looking into the present economic scenario it can be rightly said that 2017 shall be going to be one of the most successful year for MBA aspirants and anybody taking an admission in 2015 shall be reaping an additional fringe benefit of the macro economic factors. MBA is a degree which has a direct influence of the economic factors as if the economy is in a positive phase then the economic activity increases and the job creations are more so more managers are required at that time .
Let’s see why enrolling for an MBA in 2015 shall provide extra cushion to the MBA aspirants
- The vibrant environment – The Indian economy is over all moving in a positive phase , the GDP of an economy, the fiscal deficit and Foreign direct investment all are moving in a positive direction. The budget has strong growth impulses and response of the economy is positive. Moody’s has assigned ‘Baa3’ rating on India, with a stable outlook, which suggests the possibility of an upgrade. Improved performance of mining, manufacturing and services sector has pushed India’s economic growth rate to two—and—half years high of 5.7 per cent.
- Specialized and Core domain knowledge – After 2008 recession, the market has suffered a lot and there is a greater requirement of trained people who have expert knowledge and can better analyse the risk factors of business and who can create a safety net by making use of the financial products like derivative etc, so good MBA Colleges make their students equip with the latest financial strategies and help the corporate by providing better business analysts and managers.
- The stable Government– After a long phase of united coalition government, this time the government came with a clear majority and the government is in a position to take decisive actions with least hindrances. After a new government in place brings hope of stability, companies reach out to hire more students as job market recovers from slowdown of the past three – four years. The MBA colleges which were worried earlier for placement in many cases managed to find summer internship opportunities for all their students in flat three days. The country has seen signs of recession in 2008 which has lasted till 2012, now there is a period of boom which is awaited and the good phase shall be there at least till 2019 or 2020.
- Pre Placement offers – if you look at the pre-placement offers it has improved as earlier the companies which are shying away from PPO are lending their soft hands and giving a PPO as there is a positive indicator of growth in the economy and the business of companies reaching new heights.
- More job Opportunities– The economy is opening up and new ventures, new ideas are making a mark, Investors who are holding their money due to uncertainty are now bullish to invest and the corporate are able to procure funds easily and thus there is a buzz in the business , beside conventional jobs there are lot of openings in startups as thus creating a positive impact overall.
- India a manufacturing Hub– Modi government is initiating “A MAKE IN INDIA” concept and trying to invite more and more companies to benefit up manufacturing operations in India and reap the benefit of cheap labor. Once India will become a manufacturing hub more job opportunities shall be created and more managers shall be required to manage the show.
- More entrepreneurs rather than managers- when the economy activity sprouts there is more of a consumer demand and people start thinking of starting something of their own. MBA graduates start thinking of starting some new business which has a potential and scalability as getting funds is not so difficult as it was in the past as now there are angel investors, start up fund houses and as well HNI investors. The economy is passing through a growth a growth phase and more MBA pass outs start venturing on their own rather than joining conventional jobs, so the positive environment creates more of employers and more jobs in the market.
- Stock Market Performance– The stock market which was sluggish in 2008 onwards have performed magnificently and every time creating a new high. More of FII’s are getting confidence in the Indian Economy and getting investing in the Indian stock market. The stock market is presently hovering at 27000 level is expected to touch 35000 level in two to three year time. Thus People taking admission in 2015 shall have a very prospective carrier growth as there shall be ample of opportunities available in 2017 when they pass out from their business schools.
- Micro finance organizations and soft loans schemes- With the coming of new micro finance organization, people who are starting up small businesses shall be getting finance from business, as well there are lot of startups fund houses and angel fund houses who are readily financing the startup. The non financial organization like SIBDI is also providing soft loans with 3 year moratorium period, so all these working unitedly creating a vibrant environment of more business opportunities, more jobs creation in the time to come.
- Better investment climate– The government is focused to improve the investment in the country by creating a positive outlook , a greater FDI inflow and increasing investment cap on the closed sectors or partially opened sectors, the RBI is also not increasing the interest rate which helps in boosting the business
Looking into all the above mentioned points, i.e. Stable government. Positive outlook, better policies and road to development it is believed that it’s the right time to plunge into an MBA course and come out with flying colors in 2017.
Contributed byManeesh srivastava (Class of 2008, IBS GURGAON )