Return on Investment - Education Funding

Return on Investment - Education Funding

Part 1 - Decision to Pursue MBA

Since last decade, globalization and information age has transformed human world into a global village. Today, employers and employees are both tied to an interdependent relationship, which is transparent and short term in nature. The decision to pursue an MBA program is the consequence of various monetary and non-monitory considerations to be made by an applicant of MBA program. Decision to pursue MBA program will have help to get a relatively better job with numerous opportunities for growth and career advancement. The decision process can vary from person to person depending upon each individual's priorities and objectives. In a typical scenario, such decision depends upon an individual's post-school socialization, casual conversations with friends, relatives, community programs and market trends.

These are few of countless sources, which may incline a person towards pursuing an MBA course. In addition to this, personal determination and career planning can help the person to add effectiveness to this decision. Nonetheless, the person will conduct a cost-benefit analysis of pursuing an MBA program and weight it against the opportunity cost to choose short courses or diplomas to make quick steps into the practical world. Table 1 illustrates cost-benefit analysis, which can help a person to make sound decision regarding the pursuit of MBA.

Costs/Expenses

Value $

Benefits

Tuition fees

28,000

Better employment choices

Text books and stationary

800

Higher opportunities for career advancement

Support material

700

Competitive reward and compensation

Travelling expenses

1,000

Increased exposure to practical world

Total Expenses/costs

30,500

 

Table 1: Cost-benefit Analysis

Typically, the decision to pursue MBA program will be comprised of the above mentioned cost-benefit analysis. In case of foreign residents, these expense may include accommodation, living and miscellaneous expenses, as well. Once cost-benefit analysis is done, the person can compare it with the associated opportunity ...