The world economy is staring at a huge recession (maybe bigger than 2009!) due to the distressing impact of the Covid pandemic. International Monetary Fund (IMF) and a few rating agencies are projecting a deep recession in 2020 with recovery in 2021. Even for India, Moody’s Investors Service reduced its projection for India’s GDP growth 5.3% to merely 2.5% in 2020. However, the Indian economy is already showing signs of recovery and globally as well, expectations are that it’ll be a u-shaped recovery by early 2022.
During these times, the imperative question from MBA applicants is whether enrolling in higher education is a good idea. Here is why we think it absolutely is,
- Ride the Storm: A number of firms would be laying-off staff or reducing paychecks because of the recession. Industries such as hospitality, travel and financial services would be the worst affected. Instead of looking for a new job during these turbulent times and staying on at a stagnating firm, it is wise to improve your profile, learn a set of new skills. Riding the storm and enhancing your future job prospects is the best thing to do
- Fresh graduates will face a tougher time: The placement scenario is already looking bleak, with firms rescinding or pushing job offers forward. Also, the demand for fresh graduates, especially engineering ones, is lower during slowdowns. Therefore, it is a great opportunity to get your management education and be ready for the opportunities spike late next year or early 2022.
- Learn from the Professors!: In general and more so during recessions, the best minds in the world are called upon to find solutions to the mess. In most cases, they take help from their graduate students for research and work with the industry to advise next steps. Hence, it’s a great opportunity to work on complex and live business problems. It provides a great boost to your learning and resume!
Even the 2008-09 crises provides credible evidence to this effect. According to Graduate Management Admission Council (GMAC), more than 60% of MBA programs received more applications than previous year. Even in India, the Indian School of Business (ISB) witnessed a 20% increase in the applications for the 2009 intake. Placements since 2010 have seen a positive trend.
Considering an MBA top b-schools in India or abroad? Reach out to us at https://strategy4gmat.com/contact/