The future of the MBA in the UK

The MBA has always aroused controversy in the UK. The background to this and some explanations are presented, together with an analysis of what is perceived by some to be a crisis for MBA provision. Whilst the number of programmes has expanded, demand, particularly for full-time programmes, has weakened due in part to the recent recession. The paper offers explanations of these adjustments and some evidence that the MBA is gradually becoming a standard qualification for senior management. It is argued that what appears a crisis is an overdue adjustment of expectations. Graduation salary premia have declined as the supply of places and graduates has increased. As a consequence, most schools will experience pressures to reduce experience requirements and real fee levels. Increased customer price-consciousness will result in a greater focus on costs for business schools and their faculty. A brief history of the origins and evolution of the MBA in the USA and UK is provided, with an emphasis on the importance of the revised US model of the early 1960s for the subsequent success and upward drift of the MBA. A number of tensions and challenges in MBA provision are identified.