Experts have different takes on surge in CAT exam aspirants

DTNext takes a look at the implications the trend will have on students and institutions at large. During the seven-year period from 2008 to 2014, the number of CAT applicants have reduced from close to 3,00,000 to about 1,70,000. This trend saw an upward swing in 2015 and 2016 with the number growing to more than a third from the 2014 levels. To shed light on the current situation DTNext spoke to experts in the sector.

Better job prospects

Subhendu Dey, Director, Rajalakshmi School of Business, said, “This upward trend is on account of brightened job prospects. According to the ‘QS Top MBA Jobs and Salary Trends Report 2015/16’, India witnessed a growth of 33 per cent in job opportunities for management graduates this year, which is two-and-a-half times the global average.” 

Subhendu further elaborated by saying, “Some positive steps taken by the government, added with India being largely unaffected by the global economic slowdown, and increased foreign investments make the prospects look brighter. According to a survey conducted by Michael Page, 80 per cent of the employers have said that hiring activity will range from steady to strong over the next 12 months. This has resulted in a renewed interest among CAT aspirants.” 

On the other hand, the numbers might be a sign of economic slowdown. Rev P Christie SJ, Director, LIBA said, “According to a study conducted by GMAT, the number of students who enroll in post-graduate and management courses witness an increase in times of recession. Studies have shown a correlation between the slowdown in recruitments in other industries and the increase in the number of aspiring individuals looking to hone their skill by enrolling in management courses. Earlier this year, NASSCOM, the governing body that regulates the IT industry, had announced that the industry will witness a 20 per cent decrease in recruitments. This could be the reason behind the surge in registrations for the CAT examination,” The current trend will not affect the chances of aspiring applicants to get placement in their desired colleges. 

“There has been an increase in the registration for CAT examination, but the seats remain the same. However, the government is mulling over a proposal to double the number of seats in IIMs. The government is also in the process of setting up more IIMs in the country. As long as students undertake the proper preparation and put their best foot forward they have nothing to worry about,” adds Rev Christie. 

According to Arvind Mantry, Director, TIME Institute, Chennai, “The surge in the number of students registering for the CAT exam is also reflected in the number of students whohave enrolled with our institute.”

“The CAT examination this year is more transparent when compared to previous years. Details with regard to selection process, question paper structure, weightage allotted to academics and work experience is easily available for the students this year. This could be one of the reasons for the increase in students appearing to CAT.” “Apart from this, the market conditions have shown signs of improving. Management students are greeted with better job profiles and packages. This could also act as a contributing factor to the surge.” adds Arvind Mantry. To allay fears that the rise in application will increase the difficulty of the paper, Arvind Mantry said, “The number of students appearing for CAT has no bearing on the difficulty of the examination. Students are selected strictly based on percentile.”