Per Financial Times, interesting strategy/outcome - basically many of the international programs that have been lagging behind the top European and most US schools in tuition costs will likely raise their prices. Which kind of makes sense - if a school is priced at a third or a quarter of a price of their piers abroad, that cheapens it and almost implies lower quality. However, it if charges the same as other comparable schools or perhaps even more, that is a vote of confidence in some way and an indicator that - we are as good because we charge as much.
This has a few implications:1. Cheap schools will likely be raising the tuition prices where they have not been raised yet, likely causing high ranked schools to try to separate themselves from the mass (bad news)
2. Scholarships likely be more available (good news)
3. Schools are very bureaucratic, so they will likely take a while to actually put this into place and likely will be doing it in phases/stages
4. There are still some deals to be had out there! (Canada and Europe mostly)
Apparently HEC Paris had a similar experience with raising their fees/tuition. Should we all panic and try to get the MBA's while they are cheap?
Quote:
Six years ago McGill University’s Desautels Faculty of Management took the unprecedented decision for a Canadian business school to raise its MBA fees to a level that would make the course self-funding. The rise, from
C$22,000 in 2010 to C$79,500 by the time of the 2015 student intake, was a risky strategy for the Montreal-based university, which had previously relied on grants from the Quebec government to cover the MBA course costs. However, rather than undermine demand, the almost fourfold increase in fees has seen a rise in the number, global reach and quality of student applications.
This year Desautels is on course for a record number of MBA applications, up 15 per cent on the previous 12 months, according to Don Melville, director of the MBA and masters programmes. Raising the price has raised the perception of the MBA’s value, he says.
“When tuition fees are so far different from other schools, the question is what is wrong,” Mr Melville notes.
Rising tuition fees are an issue, particularly in the US, where students now face paying back six figure sums for two-year MBA courses at top schools, even before other essentials such as books, health insurance and other living costs are factored in. The average fee in 2016 for the top 25 US schools is $118,468 (£81,000) — 81 per cent higher than in 2006, according to Financial Times rankings data.
Full Article:
https://www.ft.com/intl/cms/s/2/521a2402 ... z47TZthOQk