Earning an MBA is, in most cases, a good idea, but do you need a concentration?
Unlike undergraduate studies, you don’t have to choose a major when you earn an MBA. In fact, you can graduate with a non-specialized MBA that is designed to equip you in a variety of fields. However, that’s not always the best idea.
Many schools offer a concentration or a major to help you focus your studies. But is choosing to specialize better than opting for generality?
MBA Concentrations
Before you decide to pursue an MBA concentration or not, you have to understand what a concentration entails. There are a wide array of concentrations offered at top business schools. Some of the most popular concentrations include:
- Accounting
- Economics
- Finance
- Entrepreneurship
- International Business
- Operations Management
- Marketing
- Real Estate
- Supply Chain Management
- Strategy
- Computer Sciences
At schools like the Booth School of Business, MBA concentrations build on the fundamentals taught in the program to help students dig deeper into their chosen career field. The specializations are used to signal more in-depth knowledge in a particular area of interest. Each concentration is made up of a few elective courses devoted to the topic of your choice. At the Booth School, students have 11 elective courses they can use to pursue different concentrations.
Benefits of MBA Concentrations
Choosing an MBA concentration offers three main advantages:
- Tailors Your MBA: By selecting a concentration, you can tailor your MBA to your specific interests and career goals. It helps you make the MBA experience exactly what you want it to be.
- Increases Your Skills: When you choose a particular concentration, you boost your knowledge and skill set in a given subject. This, in turn, will boost your resume and make you a more attractive applicant in your chosen field.
- Shows Interest: An MBA concentration is particularly important for the job market after graduation. It can help you stand out in a crowd of other gifted MBAs and show that you’re truly serious about your industry and career.
MBA Concentrations and Your Career
The question is, “Does an MBA concentration really make a difference for your career?”
Even if you’re not sure of your post-MBA career plans, a specialization is a great way to explore an area of interest that will round out your general management education. Choosing a concentration can also shape the trajectory of your career.
However, selecting a major doesn’t mean you’re locked into a particular career path for the rest of your life. There is room to grow within and outside of your concentration. In particular, you can grow laterally into other functions as your experience, knowledge, and interests evolve.
A specialization shouldn’t be viewed as something that sets you on a career path you can’t get off of. Unlike in your undergraduate study, with or without a concentration, an MBA will prepare you to work in almost any business field. A major will just give you an extra boost within a particular industry. It’s not required, but if you know what you want early on in your MBA studies, then it can give you a leg up over the competition.
Concentrations & Top MBA Careers
According to the U.S. News, the top six fastest growing and in-demand jobs for MBAs are as follows:
- Financial Advisor: consider a concentration in finance for this job with a 30% projected growth rate.
- Fundraiser: look for a concentration in nonprofit or government sectors, along with concentrations in management and even finance. Look for soft skills such as likability, influence, and persuasion.
- Medical & Health Services Manager: An MBA in healthcare would be especially useful, as well as a concentration in operations management and strategy.
- Logistician: Logisticians coordinate with others to accomplish a task, so a concentration in operations management, project management, and strategy are good ideas.
- HR Specialist: Human Resources professionals spend their days communicating and managing. A well-suited MBA could earn a concentration in HR or management.
- Marketing Manager: A concentration in marketing is essential for this career, but concentrations in analytics and strategy would also be helpful.
Most Popular MBA Concentrations
According to PayScale.com, which reviewed four MBA concentrations for popularity, a concentration in Finance was the most popular option with 4.73 times more MBAs choosing that path. The second most popular concentrations was Marketing at 2.9x followed by Human Resources (2.52x) and Technology Management (1.52x).
When compared to the Graduate Management Council’s 2016 mba.com Prospective Students Survey Report the most popular industries for post-graduate employment include: consulting (32%), finance and accounting (31%), and products and services (25%). Considering those industries, there are a few obviously popular MBA concentrations.
- Finance and Accounting concentrations are two of the most popular options since they relate specifically and clearly to careers in those fields.
- A concentration in strategy is a logical choice for those interested in a career in consulting, though concentrations in economics and/or management would also be useful (depending on the industry).
- As for a career in products and services, popular specializations should be based on the particular job desired. A concentration in computer sciences would make sense for a job at a tech product company such as Apple or Amazon.
MBA Concentrations with the Biggest Payout
If you’re looking for a concentration that will give you the biggest payout, PayScale offers the inside scoop on the highest paying MBA concentrations. According to their 2015-2016 College Salary Report, they ranked 47 different MBA focuses to help you predict your future salary.
The best paying MBA concentrations are as follows:
| Rank | Concentration | Early-Career Pay | Mid-Career Pay |
| 1 | Strategy | $93,100 | $148,000 |
| 2 | General & Strategic Management | $84,000 | $144,000 |
| 3 | Finance & Real Estate | $78,900 | $143,000 |
| 4 | Economics | $68,100 | $136,000 |
| 5 | Finance & Economics | $64,900 | $134,000 |