Do You Really Need an MBA?

Whether one needs an MBA to succeed in business is a tricky question. At first blush it seems one does not.

MSNBC.com has reported that research done by Businessweek magazine in 2006 "revealed that fewer than one in three high-level executives in corporate America held an MBA." A more recent Pace University poll conducted by professors Aron Gottesman and Matthew Morey found that "only 159 out of 488 top companies surveyed were run by CEOs with MBAs."

Jeffrey Pfeffer of Stanford's Graduate School of Business has been an outspoken critic of the MBA, according to careerbuilder.com. A professor of organizational behavior, Pfeffer and doctoral student Christina Fong authored a provocative study which "concluded that, except for degrees from the most prestigious programs, there is little to suggest that earning an MBA will ensure a successful career," according to careerbuilder.com.

And yet if you visit any job-search website you will find companies that seek out candidates with an MBA. This is especially true for positions in investment banking and consulting, and for high-level jobs in health care, media and accounting.

Also, employees with MBAs continue to earn more. According to In Magazine, a report published by TopMBA.com shows that, "in the U.S. financial services industry, an MBA degree garners employees 141 percent more per year in salary than non-MBA graduates with four years of experience."

What is it about the MBA that makes it sought after?

According to Thomas MacKay, Assistant Director of Information Technology at Christopher Newport University, an MBA provides communication skills and training in pragmatic, analytical thinking. In an article published in CIO magazine, MacKay writes that the degree also "gives you credibility with your business peers" and is your ticket to the "inner circle" of upper-level management.