Choosing an Online MBA Program
According to the National Center for Education Statistics (NCES), an MBA is the most popular of all master’s degree programs. NCES statistics show that more than 205,000 people earned MBAs in that year alone, a number that continues to increase. Earning an MBA degree equips graduates with specialized knowledge and skills that may give them a competitive edge in the job market.
Many factors go into selecting the best online MBA program for a student’s needs. For many, tuition is the most important consideration, but during a school search, students may also want to research each school’s financial aid options and other student resources. Additionally, students often select a school that offers the particular concentration or elective courses they are interested in pursuing to achieve their professional goals.
Students may have a preference for how their online courses are delivered. Some programs offer hybrid course delivery, with requirements completed online and in person. Other programs are fully online. In addition, students may have a preference regarding the style of their individual courses. Synchronous classes are live, while asynchronous courses allow students to watch lectures and complete coursework on their own schedule.
Finally, accreditation is an important factor to consider. The Association to Advance Collegiate Schools of Business (AACSB) accredits online MBA programs and ensures that the curriculum and faculty meet predetermined standards of excellence in higher education.
Is an Online MBA Taken Seriously?
Students may wonder whether an online MBA is worth pursuing or if they will lose any advantages that graduates of traditional programs might have.
The answer is that yes, for the most part, today’s recruiters, human resource directors, and hiring managers understand that an online degree is respectable if it is from a reputable, accredited university is the equal of a traditional degree. If an online master’s in business program has been regionally accredited, it shows that the curriculum has been evaluated and proven to meet the same accepted standards for academic rigor as on-campus programs. It also demonstrates that courses are taught by competent, experienced instructors, and that students are reaching desired learning outcomes, such as developing specific skills and abilities relevant to the degree. Some hiring managers may even appreciate the stamina and determination that goes into earning a degree online, especially if the student maintained a full-time job in the process.
Common Online MBA Courses and Concentrations
The following is a list of common core courses for an online MBA degree. Many of these can be taken either as a standalone course or as a concentration.
Finance
Sometimes referred to as managerial finance, finance is a required course in most online MBA degree programs. Coursework focuses on the practical application of financial concepts, enabling future managers to make sound financial decisions. Topics covered include financial analysis, capital investment decisions, and the valuation of financial and real assets. The curriculum for an MBA with a concentration in Finance might include core and elective courses in financial markets, quantitative modeling, and fintech (the application of technology to financial services).
Financial Accounting
At the master’s degree level, students taking this course learn to interpret numbers, evaluate the financial health of an organization, and predict likely outcomes for financial decisions. The program curriculum for a specialization in Financial Accounting includes courses in managerial accounting, taxation, and auditing. Sometimes, the curriculum is designed to prepare students to become Certified Public Accountants (CPAs). We also have a list of the best online MBAs in accounting if you are especially interested in this niche.
International Business
International business provides a broad survey of key concepts such as cultural and political forces, world economics, theoretical frameworks, and government involvement in business. Students pursuing an MBA in international business will study management, economics, finance, and marketing from the perspective of global organizations. Some programs may offer elective courses in business law, supply chain management, cultural studies, or global operations, and may require a capstone project.
Management Information Systems
A class in management information systems covers IT hardware and software, network administration, database administration, and telecommunications. People interested in assuming leadership roles in the field of technology may consider a concentration in this topic. The curriculum combines many elements of a general MBA program with specialized IT courses.
Marketing Management
The fundamentals of marketing are intertwined with many other facets of an organization’s operations, and this course offers students a broad overview of marketing management principles. Topics include strategic planning, buyer behavior, target markets, positioning, and pricing. Students pursuing an MBA in marketing may be required to take 12 or more credit hours of courses such as consumer behavior and market data analysis.
Operations Management
Operations management (OM) involves the systems and processes used to produce and deliver goods and services. Online OM courses focus on applying concepts like data analytics, lean management, and quality management to improving an organization’s operations. Students pursuing an OM concentration will also study topics such as supply chain management, forecasting, process design, and strategy.
Organizational Behavior
Organizational behavior focuses on people — how they interact with each other and their work environments. In general, a class on organizational behavior will look at the impact individuals, groups, and organizational structures have on human behavior in the workplace. Among the many topics covered are motivation, conflict, leadership, and change management.
Cost of an Online MBA Degree
The cost of an online MBA can vary widely. For the top 25 schools on our most affordable online MBAs list, the total cost of tuition for a two-year program ranges from $3,855 to $7,408. When students widen their search beyond the most affordable online schools, they'll find some online programs totaling as much as $107,000 or more.
To compare program costs, it's also helpful to consider per-credit tuition fees. In general, an MBA requires the completion of 30 semester credits (and more if the student needs to take prerequisite courses). For the most affordable online MBA programs, cost per credit ranges from $257 to $385.
Various factors are not reflected in tuition rates that students may need to consider:
- Costs of books and other supplies
- Annual and one-time-only fees charged by many schools, such as for the application, technology, and graduation fees
- Childcare, for students who have small children at home
- Interest that will need to be paid on a student loan, if that type of financing is needed
- Costs associated with on-site meetings, including transportation and accommodations, as some graduate programs require students to be on campus for orientation and/or practic*ms, workshops, and conferences
However, MBA students may be able to offset the cost of their online degrees in several ways. For instance, some newly admitted students may be able to obtain credits from previous work experience, military service, or other professional training. They may also demonstrate their knowledge of certain subjects on assessment exams, which can reduce the number of prerequisite and required courses needed to graduate. Some online MBA students may also qualify for scholarships, fellowships, grants, and tuition discounts—forms of financial assistance that don’t need to be paid back. We've provided additional information about funding an online MBA program below.
Funding an Online MBA Degree
As you're considering various online MBA programs, you'll naturally want to think about the tuition fees and other costs in earning a degree. Keep in mind that students enrolled in accredited online MBA programs are eligible for financial aid. To apply, simply submit the Free Application for Federal Student Aid (FAFSA). Once your application has been processed, you'll be notified if you qualify for federal, state, or school-sponsored aid.
Grants and scholarships are the preferred types of financial aid because they typically don't need to be repaid. Your employer may also offer some type of tuition reimbursem*nt or other financial assistance.
Student loans are another option, but the interest can add a substantial amount to the total cost of an MBA. Before signing on the dotted line, use our student loan repayment calculator to determine the full cost of a loan. Also remember that federal student loans often have lower interest rates and better repayment plans than private student loans.
Scholarships
Students interested in a graduate business degree can use university scholarships and private grants to help pay for their degree. The first step to apply for financial aid involves filling out the FAFSA. This form requests applicants' personal and financial information to determine how much aid they're eligible for. While the FAFSA can also be used to apply for financial aid in the form of federal loans, scholarships are often a better option as students don't have to repay them. Below is a list of scholarship opportunities for individuals enrolled in or planning to enroll in an online MBA program.
Association of Insurance Compliance Professionals (ACIP) Scholarship Program
ACIP awards four students $2,000 annually to help fund their degree in a business-related field. Applicants must have a minimum 3.0 GPA and at least two years of completed college coursework.
Orbis Investment Fellowship
Individuals who demonstrate a passion for investing can receive $15,000 cash through this merit-based award. This scholarship is open to students regardless of their demographic background.
Goldman Sachs MBA Fellowship
Black, minority, and female students in the first year of their MBA program can apply for this award of up to $35,000. To be eligible, applicants must also apply for a summer associate program in one of three Goldman Sachs divisions.
Is Getting an Online MBA Worth the Cost?
When considering an online MBA, financial implications are paramount. Data from a 2020 survey by the National Association of Colleges and Employers shows that newly graduated MBA holders earn about $20,000 more annually than their bachelor's-degree counterparts. Over a lifetime, this increase can significantly boost total earnings, making the degree appealing. However, the high cost of an MBA, which can sometimes be a deterrent, should be weighed carefully.
Critics argue that the steep tuition, the saturation of MBA holders in the job market, and evolving workplace demands post-COVID-19 may diminish the degree's value. Despite these concerns, there are strategies to mitigate costs, such as selecting programs from our most affordable ranking list — which start at tuition costs of just $3,855 — or seeking funding opportunities.
Financially, the benefits of an MBA extend beyond salary increments. Specializations in areas like Healthcare Administration or Marketing can provide targeted expertise, making graduates more competitive in specific sectors. The flexibility of online programs allows working adults to maintain their jobs, ensuring continuous income and career progression while studying. Additionally, the skills acquired in an MBA program are highly valued by employers and can enhance long-term career prospects.
Ultimately, the decision to pursue an MBA depends on individual financial circ*mstances and career goals. For those aiming for higher management roles, the financial investment in an online MBA can be justified by the potential for increased earnings and professional growth, maintaining its popularity as the top graduate degree program.
