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Topic : Salary Structure
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MBA's and Salaries

Created by : Sudeep Tarafdar, Senior Consultant, IBM  | 11 28 2008 16:08:09 +0000
Industry : Management & Strategy ConsultingFunctional Area : Getting Started(Entrepreneurship)
Keywords : MBA Salaries MBA'S
Activity:  959 views;  last activity : 07 06 2010 20:18:09 +0000
Should MBA's be paid high salaries?
  
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To put it in another way : All MBA grads don't get high salaries.  Only MBA grads from high end B-schools get it ( that too not all of them ).

First of all when these guys get an admission to the elite B-schools, it itself is an achievement owing to the huge competition and selection process.  So if 2000 - 3000 students get selected into IIMs or another at par schools from the bunch of 2- 3 lakhs of applications then definitely they are better than rest of the lot.  They have already proved their mettle.  And after a formal education for 2 toilsome years, they are better compared to many of their peers.  They can bring more to the table and contribute in a better way.

No doubt there are many people who can contribute at par levels or even better without an elite MBA degree but exceptions are always there.   And as pointed out by Divya they can, and do generate business n times their compensation, which company will happily accept to pay.
By Nitin Anand, SAP Consultant, J P Morgan  01 05 2010 12:46:10 +0000
 
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Noone pays high salary to the person who is having MBA degree. If we will realise its the work for which they are paid, its their contribution for the company for which they are paid. Even if u will hire an MBA guy from IIM Ahemdabad who u later find is not able to achieve his targets u will naturally through him out of the company. On the other hand if a guy from any small institute whether, MBA or not, is showing good results u will promote him to higher positions.

so its not MBA which matters its ur contribution for company which decides ur high salary 
By wasim akbar lone, Master in Finance and Control(MFC)  03 24 2009 04:14:08 +0000
Arguments in: "MBA's and Salaries"
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off course they shold be paid high salaries...companies r not fool paying them ....they only pay u wen u give them 5 times more business.
By Divya Vyas, entry level, icfai business school  | 04 23 2009 06:03:28 +0000
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Ok they are being paid salaries as high as to Rs1cr but do you realize that they generate revenue in double the amount for the corporates they are hired. This is the reason they are paid high.
By Dayanand Deshpande, Senior Consultant, Ernst & Young  | 11 28 2008 16:14:36 +0000
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They should be paid if they are working towards a particular goal and giving the solution why not they should be paid. CEO's like Jack Welch have the capability that after getting retired also they are earning a lot it clarifies that they have the capability.
By Sudeep Tarafdar, Senior Consultant, IBM  | 11 28 2008 16:08:09 +0000
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I Swear.. why should a company pay merely for the tag called MBA.. the salary is given or achieved for his talent and the skills learned from his education called MBA and not merely a degree. A person with MBA topper may be paid lesser than a person with just passout MBA. Both have MBA degree but they compensation varies with huge difference... So why pay for the word MBA...!! So i feel what really matters is .. how the candidate is well equiped with MBA skills and not from which institute or degree he/she holds.... Thank you, Manish N.

Cheers!!
By Manish N Chugh, Officer Trainee, Stock Holding Corporation of India ltd.,  | 12 04 2009 14:39:40 +0000
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The tag of MBA should not be paid high salary, it should be the work done by the person for which he should be paid. MBA doesn't make a person the best, it does make them better than non MBA grads but finally what matters is their contribution to the company.
By Nikhil Jain, Senior Consultant, Hewitt Associates  | 04 06 2009 08:02:06 +0000
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Waseem it's true.....
By Mohammad Asghar Naqvi (Amrohvi), Head Vertical - Recruitment, confidencial  | 03 24 2009 05:54:02 +0000
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I don't find any reason to pay them high packages of Rs 1cr per annum. What productive they can be.
By Alapati Bhaskar, Senior Consultant, IML  | 11 28 2008 16:12:52 +0000
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