Do B-Schools Prefer GMAT or GRE?

Table of Contents:

1. Introduction

2. Overview of Standardized Testing in MBA Admissions

3. Understanding the GMAT and GRE

4. GMAT vs GRE: Format & Structure

5. B-School Preferences: GMAT vs. GRE

6. Analyzing Acceptance Rates and Score Benchmarks

7. Strategic Considerations for Applicants

8. Impact on Scholarships

9. Employer Perceptions Post-MBA

10. Conclusion

11. Frequently Asked Questions

​When considering pursuing an MBA, one important decision is selecting the appropriate standardized test: the Graduate Management Admission Test (GMAT) or the Graduate Record Examination (GRE). This choice can significantly influence your application and future career trajectory. At Crackverbal, we aim to guide you through this decision-making process by providing comprehensive insights into both exams, helping you determine which aligns best with your goals.

Overview of Standardized Testing in MBA Admissions

The standardized tests are a common metric for MBA admissions. Both the GMAT and GRE are used by business schools to evaluate applicants’ readiness for the rigorous analytical and quantitative challenges of MBA programs. They provide admissions committees with a uniform benchmark to compare candidates from diverse academic and professional backgrounds. Choosing the right exam is crucial, as it not only affects your admission prospects but also has implications for scholarships and future employment opportunities.​

Understanding the GMAT and GRE

GMAT Overview

The GMAT is specifically designed for business school applicants. It evaluates skills deemed essential for success in graduate management programs.​

• Purpose and Structure: The GMAT structure assesses quantitative, verbal skills and data analytics. It is a computer-adaptive test, meaning the difficulty of questions adjusts based on your previous answers.​
• Skills Assessed and Scoring System: GMAT test focuses on critical thinking, problem-solving, and data analysis. Scores range from 205 to 805, with separate scores for each section.​

Here’s what the GMAT structure looks like:

Total Time: 2 Hours and 15 minutes.

Also Read: The Benefits of Online GMAT Classes

GRE Overview

Originally intended for a broad range of graduate programs, the GRE has become an accepted alternative for MBA admissions.​

• Purpose and Structure: The GRE structure includes sections on analytical writing, verbal reasoning (2 sections), and quantitative reasoning (2 sections). It allows test-takers to skip and return to questions within a section, offering flexibility in test-taking strategy.​

• Skills Assessed and Scoring System: GRE exam measures verbal reasoning, quantitative reasoning, and analytical writing skills. Verbal and quantitative scores range from 130 to 170, while the analytical writing section is scored from 0 to 6.​

Here’s what the GRE structure looks like:

Total Time: 1 Hour and 58 minutes.

GMAT vs GRE: Format & Structure

GMAT Focus Edition (2024):

• Total time: 2 hours 15 minutes
• Sections: 3 (Quantitative, Verbal, Data Insights)
• Questions: 64 total

GRE (2023 update):

• Total time: 1 hour 58 minutes
• Sections: 5 (1 Analytical Writing, 2 Verbal, 2 Quantitative)
• Questions: 55 total + 1 essay

B-School Preferences: GMAT vs. GRE Scores

Historical Preferences

Traditionally, business schools favored the GMAT for MBA admissions, viewing it as the standard for assessing business-specific analytical skills. The GRE was primarily associated with other graduate programs, leading many MBA programs to favor GMAT scores in business school applications.

Current Trends in MBA Test Acceptance

Today, nearly all top MBA programs accept both GMAT and GRE scores. This change aims to diversify applicant pools and provide flexibility. For instance, top institutions, like Wharton, Booth, and INSEAD now submit GRE scores, showing increased acceptance, reflecting this trend. ​

Case Studies: What Top MBA Programs Say

Specific schools have articulated their stances on test preferences. For example, some programs explicitly state no preference between the GMAT and GRE, emphasizing that applicants should choose the test that best reflects their abilities and strengths. However, we have gathered some data that suggests certain inclinations.

Harvard Business School:

• GMAT submissions: 69% (down from 74% in 2022)
• GRE submissions: Data not available, but trend suggests an increase

Stanford GSB:

• GMAT submissions: 61% (down from 67% in 2022)
• GRE submissions: 39% (up from 33% in 2022)

Wharton:

• GMAT submissions: 67% (down from 71% in 2022)
• GRE submissions: 37% (up from 30% in 2022)

This data indicates a steady decline in GMAT submissions over the past few years, while GRE submissions have gradually increased. The trend reflects a growing acceptance of the GRE by business schools and a shift in applicant preferences.

Factors Influencing the Shift

Several factors contribute to this shift in standardized test submissions:

• Test Flexibility: The GRE is accepted by a broader range of graduate programs, offering applicants more flexibility in their career paths.​
• Perceived Difficulty: Some applicants find the GRE’s quantitative section less challenging than the GMAT’s, influencing their choice.​

Test-Optional Policies: An increasing number of business schools have adopted test-optional policies, reducing the emphasis on standardized tests in the admissions process.

Analyzing Acceptance Rates and Score Benchmarks

GMAT Score Ranges at Top MBA B-Schools

Top-tier MBA programs typically expect GMAT scores around 720 or above. Schools like Stanford and Harvard report average scores consistently in the 730s, reflecting the competitive nature of admissions.

GRE Score Averages for MBA Admissions at B-Schools

Average GRE scores for top MBA programs generally range around 160-165 per section. Many institutions provide GRE-to-GMAT conversion tools, helping applicants gauge competitiveness. Typically, a GRE score of around 325 correlates closely with a GMAT score of 720.

Comparative Analysis: GMAT vs GRE in MBA Admissions for B-Schools
While both exams are accepted, the GMAT still holds a slight edge for some top schools For example, Harvard Business School had 69% GMAT submissions in 2023. But here’s a twist: UC-Berkeley Haas is leading the GRE charge with a whopping 53% GRE submission rate!

Strategic Considerations for Applicants: Choosing Between GMAT and GRE

Academic Background: Quantitative vs. Verbal Strengths

The GMAT is known for its challenging quantitative section, which may favor applicants with strong math skills. Conversely, the GRE’s verbal section emphasizes vocabulary, which might appeal to those with strong language skills.​ Aligning your undergraduate studies with the right test choice is critical to achieving your desired score.

Career Aspirations and Industry Preferences

Certain industries, especially consulting, finance, and technology sectors, historically prefer GMAT scores. However, this trend is gradually shifting, and employers increasingly view both tests as valid indicators of potential. Here’s a detailed scoop for you.

Consulting and Finance:

• These industries still have a slight preference for the GMAT.
• Why? The GMAT’s focus on data interpretation and critical reasoning aligns well with these fields.

Tech and Entrepreneurship:

• The GRE is gaining traction here.
• The test’s broader focus and inclusion of an Analytical Writing section can be a plus for creative problem-solvers.

Non-profit and Social Impact:

• The GRE is often preferred in these sectors.
• Its versatility aligns well with the diverse skill set needed in these fields.

Test Prep Resources and Availability

Both tests are widely accessible globally. Preparation plays a crucial role – online GMAT prep courses and GRE online coaching provided by Crackverbal offer structured resources, expert-led instruction, and personalized strategies to succeed.​

Impact of GMAT/GRE on MBA Scholarships

Merit-Based MBA Scholarships

High GMAT or GRE scores significantly strengthen eligibility for merit-based scholarships. Historically, GMAT scores were more commonly considered for MBA scholarships, but now most schools equally consider GRE scores. It’s essential to perform exceptionally in whichever exam you choose to secure financial aid opportunities.

GMAT vs GRE: Employer Perceptions Post-MBA

Recruitment and Hiring Trends

Employers in certain sectors have traditionally favored GMAT scores, viewing them as indicative of strong analytical skills. However, as the acceptance of GRE scores has grown, many employers now consider both tests equally during recruitment. ​

Does Test Choice Affect Long-Term Career Growth?

The choice between GMAT and GRE is unlikely to impact long-term career progression significantly. Employers typically focus more on MBA performance, professional experience, and skill sets rather than the specific test taken for admission.​

Conclusion: Should You Take GMAT or GRE for Your MBA?

Which is better GMAT or GRE for B-school Admissions? In summary, while both the GMAT and GRE are accepted by top B-schools, choosing the right exam involves considering your academic strengths, career aspirations, and personal preferences.

So, how do you decide? 

Step 1: Take the practice test for both exams

• Free GMAT Focus Edition practice test
• Free GRE practice test

Step 2: Analyse your scores

Step 3: Consider test structure

• GMAT: 3 sections, 2 hours 15 minutes
• GRE: 5 sections, 1 hour 58 minutes

Step 4: Evaluate prep time

GMAT: Typically requires more prep time

GRE: Might be quicker if you’re a vocab whiz

Step 5: Check application deadlines

• GMAT scores are available immediately
• GRE scores take 10-15 days

At Crackverbal, our expert guidance through GRE and GMAT preparation ensures you select the right test aligned with your goals and strengths. By investing in structured coaching, like our online GMAT prep courses and GRE online coaching, you position yourself optimally for success in your MBA journey.

Frequently Asked Questions (FAQs)