From Suits To Start-Ups: Why Top MBA Programs Are Changing

Here are some of my personal thoughts on why we are seeing more business schools veer toward supporting entrepreneurial activity.

1. IT’S WHAT THEIR MARKET WANTS

Millennial (and not-so millennial, like me) MBA applicants are demanding support for their entrepreneurial aspirations in increasing numbers. IMO, no single variable has contributed to Stanford’s unprecedented ascendancy than the differentiation that it has firmly established around its entrepreneurial ecosystem.

Ultimately, business schools are…well…businesses. Those who delight their customers get to keep their doors open for another day. Meanwhile, those that do not will undoubtedly have some price to pay down the road for neglecting the wishes of those who pay the bills.

2. (FROM A PR PERSPECTIVE) ENTREPRENEURS : BANKERS = SANTA : THE GRINCH

The economic collapse of 2008 cast a dark cloud over the business schools whose graduates ended up holding many of the smoking guns that blew massive holes in consumer confidence, trust in business and the morale of a nation. Products of top b-schools were (and are–though often unfairly) characterized as lying, cheating, money-grubbing grinches intent on draining the pockets of every tax payer to fund mansions in the Hamptons.

Entrepreneurs, on the other hand, are seen as creators of jobs and keepers of the American dream. Which of these two images would YOU rather be associated with?

3. HEADLINES, HEADLINES, HEADLINES

New companies are just down right sexy; not to mention that they garner a tremendous amount of media attention. When universities can tout founders and top executives behind brands like Google and Facebook, it not only works wonders for the cache of the school’s name but it validates that they (and their alums) really are as good as they say they are. You couldn’t BUY advertising that good.

4. ERASE THE PARADOX, JUSTIFY THE INVESTMENT

The very idea of a “business school” not producing many of the best and brightest people who start and build actual businesses is absurd; it always has been. I’m glad to see so many institutions straightening out that (not-so) little kink.

5. IT’S WHAT THE WORLD NEEDS

The world is starving or ideas, innovation and leadership to help it solve the programs of the next several generations. Business schools are all about finding and developing leaders that make an impact; and right now, there is no greater impact that can be made than building a wildly successful organization that is then able to help thousands (or millions) of people.

6. IT IS THE MOST NATURAL PROGRESSION

The previous point about impact really illustrates that business schools eventually embracing entrepreneurship with such open arms was nothing short of a natural progression when one considers the (eerily similar) mission statements of most of them.

FROM SUITS TO START-UPS

It will be interesting to see if and how this trend develops over the next 10-15 years. Hopefully, I’ll have the opportunity to sail my own ship on this rapidly rising tide.