I don't think this article shows the multiple advantages and disadvantages of an MBA.
First, whether or not someone needs the MBA depends greatly on the situation of the person. Are they making a career change? (you can't easily change functions without an MBA); did they go to an elite university? (part of the advantage of an MBA is the network - if someone doesn't have that from undergraduate they may need it from grad school); do they want to kick off their career in a job that does require an MBA? (e.g. finance, consulting, brand management?)
Second, let's talk about startups:
--1) Many of the jobs that don't "require" MBAs do require the skills that one gains from working at a top company that requires an MBA. If you look at a lot of successful startups you will find that there are many ex consultants and bankers. Many of the jobs - particularly those at the top - respect the learnings one gets at a place like McKinsey (which requires an MBA past the analyst level). Find a job description at a startup that sounds interesting to you and look at the profile requirements.
--2) Startups don't pay much - employees make money from the equity IF it pans out (and many don't) so having a good chunk of change in the bank is often a prerequisite to working at a startup- especially if one is supporting a family
--3) An MBA can often help someone kick-start their company. Many programs have programs to enable one to start their company during school with funding and support - which often increases the chance of success
--4) Personally I have never heard of people "hiding" the fact that they have an MBA. Yes - at anyplace (startup or corporate) some people will have a chip on their shoulder but they are the ones with the issue - not a good reason to skip the MBA. Also - nobody runs around "talking" about their MBA. You talk about it in the interview and that's it. I don't recommend bragging about anything - it doesn't make for good relationship building
Third, let's talk about the network
--1) One of the biggest advantages of the MBA is the network you build (within your class and by virtue of having gone to the school). I graduated in 2006 and most of my jobs since then have been acquired by talking to an alumnus (in my year or not). Almost anyone who went to CBS (not on his list) will pick up the phone for a quick conversation about a potential job. Want to start a company? Your biggest source of help and potentially funding comes from this network.
Fourth, let's talk about rankings:
1) While I do agree that the value of an MBA declines with the rank - I think it's a bit harsh to say there is no point unless you go to a top five school (I would also question his choice of top 5; I personally turned down Kellogg for Columbia as I thought the latter was a better fit for me). In fact the schools don't even define a top five - they refer to the "top" as the M7.
2) While I do agree that for some people it is better not to go unless they get into a top school (though I usually recommend top ten) it is situation dependent. There are many reasons for getting an MBA and many companies like MBAs from different schools (want to live in Texas? I would highly recommend a McCombs MBA - the network is amazing!).
In short, I think it is a bit short-sighted to state there is no need for an MBA - and that it is only worthwhile from five specific schools. I don't think the MBA is for everyone. I often discourage potential Clients from applying to safety schools - but like most things in life it is important to discuss in context.
If you are considering an MBA and don't know if it is right for you, I offer free consultations and am happy to discuss your specific situation.
pamela@jaffeadvantage.com