Should you take the gmat or the gre - article
Posted on
01
Sep 2020

GMAT vs GRE

GMAT vs GRE – the most competitive jobs on the market

by Apex GMAT

July 30, 2020

If you’re on the verge of pursuing a professional career in business administration, finance, marketing, marketing management, accounting, or law, etc. then taking the GMAT or GRE will be a detour along the way to the top. The type of exam you choose matters. There’s a positive correlation between test scores and future earnings; with higher test scores, you may qualify for a more competitive program, and ultimately, a more lucrative career. This article describes applications of the GMAT and the GRE in today’s labor market, as well as their similarities and differences, to help you determine which test is right for you. 

GMAT vs GRE | admissions differences

By far the most important factor to consider is which exam your desired institution accepts and prefers. 

Traditionally, the GMAT is the more common option when it comes to pursuing an MBA or a similar program at a business school. The test is specifically designed to evaluate skills that help MBA admission committees determine not only industry knowledge but also critical traits like risk and time management, problem solving under pressure, and adaptability, all of which are essential for a successful business career.

The GRE’s most distinguishing feature is its suitability for a wider variety of graduate school programs in fields such as business, education, engineering, humanities and arts, life sciences, physical sciences, and social sciences. If you’re targeting a non-MBA graduate discipline, pursuing a dual-degree, or you’re still unsure, then taking the GRE may allow you to kill two birds with one stone. It’s also worth noting that about 90% of MBA programs also accept GRE scores. 

To determine which exam will make you the most competitive, ask the institution’s admissions counselors if they prefer the GMAT over the GRE. Despite many business schools’ claims that they don’t have a preference, around 90% of applicants decide to apply with a GMAT score. This discrepancy might be the result of test takers’ desire to show admissions committees that they have a clear understanding of their graduate program goals and career aspirations. If you aren’t sure which type of graduate program you’re interested in, then the GRE might be the better option. However, if you want to make sure you will be as competitive as possible for an MBA program, then pick the GMAT. In both cases, ranking among the top performers requires rigorous test preparation.

GMAT vs GRE | structure, timing, scoring, costs

 

gmat vs gre

GMAT vs GRE | job prospects

Also consider each exam’s structure to determine which you’re more likely to perform well on.  GMAT prep will involve more focus on the quantitative section, which is more challenging than the GRE’s. MBA committees agree that an applicant’s performance on the quantitative section is one of the strongest indicators for a successful career. Conversely, the GRE’s sentence equivalence and text completion sections require a skilled command of highly sophisticated vocabulary, which may be particularly challenging to non-native English speakers.

The choice between the GMAT and the GRE may affect long term career earnings beginning at the graduate level. Applicants with strong GMAT scores are more likely to receive MBA scholarships, which are usually not available for GRE applicants. Some companies even finance GMAT tutoring and exam fees for their employees or interns as an investment that will yield long term results. When it comes down to actual labour market opportunities, however, the GMAT has an even stronger influence. Many firms, especially in consulting and finance, explicitly require a high GMAT score upon recruitment. 

Lifetime Earnings Difference

Moreover, there is a high correlation between GMAT score and post-MBA salary. Over the course of 12 years working with applicants to the top 10 MBA programs, we at Apex have been able to track their progress from pre-GMAT to their post MBA careers. With data gathered from admission consultants who work with elite programs, as well as financial data from clients who have completed their MBAs, we conducted an internal analysis of the relationship between the exam score and post MBA financial gains. After correcting for other factors, our study suggested that each ten point increment in one’s GMAT score equates to $80,000 – $90,000 (NPV) of extra lifetime earnings.

An investment in GMAT preparation can result in a successful high-paying professional career in the most competitive fields that draw MBA graduates:

  • Finance – Financial Analysts, Financial Advisors, Investment Bankers, Investment Fund Executives
  • Management – Marketing Managers, Business Operation Managers, IS Managers
  • Business Consulting – Management Analysts, Marketing Managers, Business Operations Consultants, Information Technology Directors, Operation Research Analysts and all C-level positions

GMAT vs GRE | working as a GMAT consultant

If you excel at test-taking and exam preparation, your GMAT journey can also lead you to securing a job as a GMAT instructor. The concept of private, one-on-one GMAT prep that Apex’s GMAT tutors offer is built around a customized GMAT curriculum. The goal of this approach is to work with both native and non-native English speakers to build cognitive skills that can be applied in and adapted to diverse working environments, resulting in career success.

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Everything that you need to know about the GMAT
Posted on
03
Jul 2020

5 Minutes with the GMAT: Everything You Need to Know

5 Minutes with the GMAT: Everything You Need to Know (and nothing you don’t)

Scoring, Timing, Sections, Purpose, Costs, & more

If you are reading this, you are probably well on the way to pursuing a high-quality master’s program from a prestigious business school. First things first: you will need to take the GMAT to fulfill your application requirements. Furthermore, you will have to perform well on it, especially if your grades from college/university aren’t strong.

ABOUT THE GMAT EXAM

The General Management Admissions Test (GMAT) is considered the most trusted, proven, and well-understood predictor of academic success for MBA programs. The exam is crafted and administered by the General Management Admissions Council (GMAC) to measure a candidate’s verbal, mathematical, integrated reasoning, and analytical writing skills. You can also register for the GMAT through their official portal or browse through some practice questions here.

The GMAT test is a multiple-choice, computer adaptive test (CAT) – this means that an algorithm selects each following question based on the test taker’s ability level and performance on previous questions. If you are new to this concept, the most important feature to understand is that when you answer a question correctly, the following question will be even more challenging. Conversely, if you answer a question incorrectly, it will give you an easier one next.

WHAT IS THE GMAT USED FOR?

The GMAT test is primarily used for admissions to more than 2,100 institutions, universities, and MBA programs worldwide that offer business and management disciplines. Keep in mind that many business schools screen applicants based on a range of criteria, but GMAT scores are among the most important screening metrics used. Others include undergraduate GPA, work and other relevant experience, application essays, recommendation letters, and personal interviews. Strong GMAT results are necessary, but certainly not sufficient to gain admission to the best MBA and business oriented grad school programs like Masters of Finance (MFin), Masters of Accounting (MAcct), Masters of Business Administration (MBA), Juris Doctor & Masters of Business Administration (JD-MBA) and PhDs in all these disciplines. Remember also that, while the GMAT is important, it’s certainly not a measure of who you are as a person and is one part of a many faceted application. 

An investment of time and resources into the right GMAT preparation program or plan will result in a higher score on the test, which has a direct correlation with your admissions success, and will have a positive impact on your business school experience and future professional career.

STRUCTURE, SECTIONS, TIMING, & SCORING

The GMAT test consists of four sections with categorized problems aiming to assess a different skill set. Each part differs in terms of score range and the number and types of problems:

  • Analytical Writing Assessment (AWA) 1 task | 30 minutes | scored from 0 to 6 (0.5-point increments)
  • Integrated Reasoning (IR) 12 questions | 30 minutes | scored from 1 to 8 (1-point increments)
  • Quantitative 31 questions | 62 minutes | scored from 0 to 60 (1-point increments)
  • Verbal 36 questions | 65 minutes | scored from 0 to 60 (1-point increments)

There are several other factors worth mentioning:

    • The total score of the GMAT ranges from 200 to 800 in increments of 10.
    • Despite the official scoring guides, the maximum you can score on the Quantitative and Verbal Reasoning sections is 51.
    • The test taker can opt for two breaks totaling 16 minutes (8 minutes each).
    • The total time to take the GMAT test is 3 hours and 23 minutes including the two breaks.
    • GMAT test takers can choose the order of sections when taking the exam:
  • AWA » IR » first break » Quantitative » second break » Verbal
  • Verbal » first break » Quantitative » second break » IR » AWA
  • Quantitative » first break » Verbal » second break » IR » AWA

GMAT SCORING & VALIDITY

While you’ll get your unofficial score when you complete your exam (for all sections besides the AWA Writing), you and your designated schools will receive your official GMAT score within 20 calendar days of the exam, and it will be valid for the following five years. In order to determine what score will be good for you, you should consider both the average (mean) score and the range of scores of applicants admitted to your desired university.

HOW, WHEN, & WHERE CAN I TAKE THE GMAT?

How & Where?

You can take the GMAT in one of the 600+ physical test centers worldwide (official list available here). The test is administered on a computer, via a platform used worldwide: Pearson VUE. The GMAT is available only at designated Pearson VUE test centers, thus assuring each candidate the exact same experience as all other test takers around the world.

When?

You can take the GMAT test almost anytime that you want, depending on the availability of dates into the test center(s) you have chosen. However, there are some requirements regarding re-taking the exam. You can do so once every 16 days, up to five times within any continuous rolling 12-month period (365 days), and up to eight total times.

Online GMAT Test in the face of COVID-19

As of mid-June 2020, at this article’s writing, you should know that the GMAC is offering an online version of the GMAT test in the face of the global COVID-19 pandemic. Some of its key point of differences compared to the original version are:

  • It excludes the AWA section.
  • The exam’s duration is 2h and 45minutes, excluding one single 5-minute break.
  • You can use a physical or an online whiteboard.
  • You can send your score report for free to an unlimited number of schools.
  • Can be scheduled anytime, 24 hours a day.
  • The online GMAT costs $200 and has reschedule and cancellation fees waived.

You can learn more about the online GMAT test here.

HOW MUCH DOES THE GMAT TEST COST?

The cost to sit the GMAT exam is $250. This includes sending your results to up to five schools of your choice. All additional score reports past the first five schools require a $35 fee per institution.

Rescheduling & Cancellation of your GMAT appointment

In the face of the global COVID-19 pandemic, at this article’s writing, the GMAC has temporarily waived all exam cancellation, reschedule & score reinstatement fees for GMAT test-center based appointments

Regular Rescheduling fees:

  • $50 if requested more than 60 days prior to appointment
  • $100 if requested 15 to 60 days prior to appointment
  • $150 if requested 1 to 14 days prior to appointment

Regular Cancellation fees:

  • $150 with a $100 refund if requested more than 60 days prior to appointment
  • $175 with a $75 refund if requested 15 to 60 days prior to appointment
  • $200 with a $50 refund if requested 1 to 14 days prior to appointment

ADDITIONAL COSTS WORTH CONSIDERING

Apart from the test fee, there are other costs that you may want to consider. GMAC advises people preparing for the exam to utilize the GMAT Official Guide (as do we) alongside other learning aids as additional materials. Please note that the Official Guide is a great resource for problems, but the explanations leave something to be desired, so using only the Official Guide is not recommended.

A large percentage of test takers who wish to score in the 90th percentile or higher (700+) on the GMAT invest in private GMAT preparation as a personalized means to achieving long-term career success. Our firm, Apex GMAT, specializes in offering private, customized GMAT preparation and admissions consulting. We focus on individual learning and a holistic coaching environment where we tackle not only the fundamentals, but the underlying structure and complexity of the GMAT. We do this not just to get you a good score, but to prepare you for your Masters/MBA program and career beyond by focusing on universal critical thinking skills, cognitive heuristics, emotional and behavioral aspects of learning and high stakes performance, and other learning techniques that can be applied widely over the course of a lifetime. We take pride in exactly this personalized approach as a means for every candidate to utilize their strengths better, focus on their weaknesses, and overcome test anxiety through an exclusively designed GMAT curriculum.

A lot of people try to save money on the GMAT preparation process. When you consider that a top MBA can lead to millions of dollars of extra earnings over the course of a lifetime, it makes sense to invest in GMAT preparation. Learn more about this subject with our instructors Mike and Jaymes, here: Why is GMAT Prep so Expensive?

That’s it! Thanks for sticking with us to the end of this GMAT test crash course! If you are looking for a more comprehensive version diving deeper into what the GMAT has in store for you, feel free to check out our GMAT 101 guide.

by Apex GMAT

Contributor: Ilia Dobrev

June 20, 2020

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