Is a Business Degree Worth It?
Updated September 3, 2024
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Each year, hundreds of thousands of students graduate with business degrees. Business is one of the most popular subjects at all degree levels. A business degree — particularly one with a specialization — can give you a competitive edge. Business degree seekers can specialize in growing fields like accounting, finance, or marketing. Many degree programs also help you develop critical thinking and communication skills, as well as offer project-based opportunities with local companies.
Business schools continue to evolve to meet changing needs. In response to student demands, business schools are creating more affordable, flexible, and specialized programs.
Is a business degree worth it? Use this career resource page to determine what business degree you should pursue in order to reach your career goals. Discover the average cost of a business degree, and learn what you can do with this credential.
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10 Reasons Why a Business Degree Is Worth It
Some degree programs help students develop skills for specific jobs. In a business degree program, students learn information that they can use in both their personal and professional lives.
Consider the following advantages of earning a business degree:
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1
Diverse Career Opportunities
There is no limit to what you can do with a business degree. These degrees pave the way for careers in almost any sector, including healthcare, finance, and technology. -
2
In-Demand Career Opportunities
The Bureau of Labor Statistics (BLS) projects business and financial operations occupations will grow faster than average between 2023 and 2033. Your degree may lead you to in-demand and fast-growing roles, such as financial manager or logistician. -
3
High Salary Potential
The BLS also lists high average salary potential for several business-related occupations, many of which only require a bachelor's degree. For instance, financial analysts, personal financial advisors, and management analysts earned median annual salaries just shy of $100,000 in 2023. -
4
Practical Skill Development
Business degree programs build real-life skills, such as oral and written communication, problem-solving, and teamwork. -
5
Transferable Skill Development
The skills you develop in a business program can move with you from one industry to another, regardless of your career. -
6
Leadership Development
Learn to oversee teams, manage projects, and position yourself as an effective leader in a business degree program. Many employers seek candidates with leadership qualities even for non-leadership positions. -
7
Knowledge of Global Business
Business programs often touch on domestic and global business topics. Learn how diversity and culture interact with business and the economy. -
8
Network Growth
Expand your network through your program's internships, mentorships, and extracurricular activities. You can also learn valuable networking skills. -
9
Flexible Education
Many business programs offer flexible learning pathways, including online or hybrid classes, asynchronous learning, and part-time or accelerated schedules. Diverse options allow professionals to choose an educational route that works for them. -
10
Entrepreneurship Potential
With a business background, you can gain many of the necessary skills to become a successful entrepreneur. Building leadership, networking, and finance abilities can prepare you to own a business.
Should I Major in Business?
Whether or not you should major in business depends on your schedule, budget concerns, and professional goals. The industry features many personalities, and no one personality trait determines your success in business. However, business majors often share similar personality traits.
If you want to pursue a managerial position or become an entrepreneur, you may benefit from having the below common characteristics that business majors share:
- Adaptability
- Assertiveness
- Collaborative spirit
- Confidence
- Courage
- Curiosity
- Creativity thinking
- Independence
- Malleability
- Passion
- Persistence
- Resourcefulness
- Strong work ethic
- Eagerness to learn
Which Business Degree Do I Need?
The degree you obtain often determines your career qualifications. For example, a mid-level supervisor position may require a bachelor's degree or higher. Each degree can build on the next until you earn a terminal degree. Meaning, you have the opportunity to earn a bachelor's degree and later pursue a master of business (MBA) or even a doctorate. Higher degrees often yield better pay. The following section details each business degree and potential job outcomes.
Associate Degree
To earn an associate degree in business, you need general education credits and introductory courses that may include accounting, business law, management, and marketing. You can earn an associate of science (AS), associate of arts (AA), or associate of applied science (AAS).
People choose to pursue this degree because of its affordability and short duration — on average, associate degrees take two years to earn. An associate degree from an accredited college can transfer toward a bachelor's degree. Associate degree holders also secure entry-level careers as administrative assistants, office managers, or sales support specialists.
AS degree programs focus more on sciences and math, while AAS degrees emphasize career readiness. AA degrees have a more liberal arts focus.
You must have a high school diploma or GED certificate to apply for admission to an associate program.
Bachelor's Degree
According to the National Center for Education Statistics (NCES), colleges awarded 2 million bachelor's degrees in 2021-2022. Business degrees made up about 19%, or 375,400, of all the degrees awarded in that year.
Business majors can earn bachelor of science, bachelor of arts, or bachelor of business administration degrees. Regardless of the type of bachelor's degree you choose, you can expect to spend four years studying business. Degree seekers can enter a business bachelor's program straight out of high school or transfer after earning some college credits. This 120-credit degree can lead to a career as an accountant, project manager, sales manager, office manager, or entrepreneur.
Master's Degree
In about two years you can obtain an MBA or other master's degree in business. According to NCES, 23% of all master's degrees awarded in 2021-2022 were in a business field.
MBA degree holders commonly go on to become executives. Master's degree programs require students to earn about 30-36 credits. Courses often include business statistics, financial reporting, marketing strategy, and professional ethics. Business internships and/or final capstone projects can provide practical business experience. MBA programs provide various specializations to prepare you for specific careers.
Applicants need a bachelor's degree from an accredited college, not necessarily a business degree.
Doctoral Degree
If you want to pursue a career in research or academia, consider earning a Ph.D. in business. Ph.D. courses often focus on micro and macroeconomic theory. A doctor of business administration (DBA), which emphasizes practical applications to business problems, often appeals to working business executives.
All business doctoral programs take 3-5 years to complete and usually require a final dissertation. Doctoral coursework covers quantitative and qualitative research methods, academic writing, and a dissertation.
At a minimum, you need a bachelor's degree from an accredited college and often GMAT or GRE scores to apply.
Which Field of Business Should I Study?
While you can study general business to get a broad overview of the field, you could alternatively choose a specialization to prepare yourself for a specific career path. Many business programs offer multiple concentrations for students to choose from. Below are some common MBA specializations.
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Hospitality Management
Ideal for future hotel managers or travel coordinators, an MBA program in hospitality management can help students develop industry-focused leadership, finance, and marketing abilities. This concentration also develops skills in communication, supply chain management, and customer service. -
Marketing
A marketing concentration can help students build advertising, content marketing, and public relations skills. Learners work with data to analyze and improve marketing campaigns. Graduates may become public relations specialists, marketing managers, or market research analysts. -
Risk Management
Risk management teaches learners how to predict and problem-solve risk in business or for clients. Degree-seekers interested in becoming investment bankers or financial managers might choose this specialization. -
Healthcare Administration
A healthcare administration concentration targets policy, finance, and biostatistics for hospital managers, nursing home administrators, and insurance underwriters. Students also explore microeconomics and macroeconomics and their influences on the healthcare industry. -
Global Management
Global management degree-seekers learn about international business operations and the roles culture, economics, law, and ethics play. Strategy, supply chain management, and international finance are critical areas of study.
How Much Does a Business Degree Cost?
| Degree Type | Average Annual Cost |
|---|---|
| Associate | $12,299 |
| Bachelor's | $27,969 |
| MS | $28,022 |
| MA | $22,545 |
| MBA | $31,862 |
| DBA/DPA | $26,569 |
| Ph.D. | $41,643 |
As you might expect, associate degree programs cost the least on average. MBA programs are often more expensive than other master's degree programs in business, and Ph.D. programs cost the most.
While these figures represent averages, other factors can influence what you pay for your business degree. For instance, taking courses part time may lower the annual cost of your degree, but it may also lengthen your program and increase your total expenses. At public institutions, non-resident students typically pay higher tuition and fees, unless they qualify for tuition discounts or financial aid.
Taking advantage of scholarships and employer tuition assistance can lower your college expenses.
Business Salaries and Careers by Degree Level
$61,000
Average Salary for Associate in Business Admin
Source: Payscale
An associate degree can open doors to entry-level positions in business. You can find a job as a bookkeeper, payroll specialist, or executive assistant. Salaries vary based on the field and your position. According to Payscale, executive assistants made an average of $64,050 as of 2024, while bookkeepers earn an average of $48,190 per year.
Associate degree holders can also pursue careers as account managers, administrative assistants, and benefits coordinators.
What you specialize in during your bachelor's program can determine your career path. A bachelor's degree can prepare you to become an accountant, account manager, budget analyst, fundraiser, or social media manager. Your earning potential also depends on the specific occupation.
The BLS reports that project management specialists, who must have at least a bachelor's degree, earned a median salary of $98,580 in 2023. Human resources specialists earned an annual median salary of $67,650.
$98,000
Average Salary for MBA
Source: Payscale
Master's degrees can lead to executive and supervisory positions. These degree holders work in finance, education, healthcare, hospitality, and technology. The exact position you secure depends on various factors, like the strength of your network and your specialization. MBA degree holders can become human resource managers, information managers, and medical and health services managers.
According to the BLS, the median salary across management occupations was $116,880 in 2023. A manager's salary can vary greatly though depending on experience and field. For example, the lowest 10% of medical and health services managers earned $67,900 in 2023, per the BLS. The highest 10% made $216,750.
Top executives at large companies often hold MBAs and have many years of experience. These professionals make a median salary of $103,840 in 2023, per the BLS.
$94,000
Average Salary for Ph.D. in Business Admin
Source: Payscale
Doctoral business degrees attract professionals from diverse fields. A DBA suits business executives, including executive directors, directors of human resources, and business consultants. Those who aspire to work in academia usually pursue a Ph.D. in business. By obtaining a Ph.D., you can pursue a career as a professor or researcher. According to the BLS, business school professors made a median salary of $97,130 in 2023.
Frequently Asked Questions About Majoring in Business
How do you know if a business major is right for you?
The right business program is an affordable and accessible pathway to a specific profession. Review your business program's costs and coursework to determine its compatibility with your budget and career interests. Earning the right business degree can launch your career in areas such as accounting, education, human resources, media, and sales.
Can business majors make $100k?
Business majors can make six-figure salaries. However, entry-level business professionals tend to earn less. More than 13.5 million people work in business, according to the BLS. The median annual wage for business bachelor's degree-holders was $71,000 in 2022. Most business professionals work in management or business and financial operations positions.
What are the cons of a business degree?
Because business is a popular college major, graduates face a lot of competition in the workforce. A business education also offers a broad education, making it more important to narrow your career prospects with a specialization. Additionally, a college education requires a big financial and time commitment, which may make you wonder if a business degree is worth it.
Can I get a business degree if I'm bad at math?
Even if you struggle with math, you can excel in your business degree program. Business degree programs require coursework in accounting, economics, finance, and statistics. However, these courses typically do not require complex math.
What is the hardest business degree to get?
Doctoral degrees in business require advanced academic writing and research skills that can challenge even the most adept learners. Concentrations and majors that may pose additional challenges include accounting, business economy, and information management.
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