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MBA Programs Combine To Post 11% Decrease

Enrollment in master of business administration programs serving Orange County fell 11% over the past year while the number of graduations was up at some schools.

The 40 schools that offer local programs had about 3,600 OC students as of September, compared to just more than 4,000 at the same time last year.

That followed an uptick in 2013, when the number of MBA students in the programs grew 1%.

School representatives say more students tend to enroll when the economy declines. Enrollment tends to decrease and some students drop studies in economic recoveries as jobs become more plentiful and the need for professional development seems to decline.

Enrollments also wax and wane based on new programs being developed and the availability of discounts and company tuition reimbursement programs for prospective students, the schools said.

Enrollment has declined four of the past five years, according to Business Journal research and the most recent data.

Total enrollment in Southern California was down by 7.3% to about 14,350. Last year, there were about 1,100 more students in SoCal MBA programs.

The Business Journal provides an alphabetical directory of MBA programs instead of a ranked list.

Silver Lining

The directory covers four main categories:

• OC students enrolled

• OC students graduated

• Southern California students enrolled

• Southern California students graduated

Overall, 21 schools—half of those in the directory—showed no change in OC enrollment, usually with no students locally.

Of other programs, 14 showed a decline, three increased, and two declined to disclose numbers.

The three schools with the most MBA students locally are online-only Trident University International in Cypress, with 1,069 students; the University of California-Irvine, with 870 students; and California State University-Fullerton, with 316.

Considering Chapman and Brandman universities’ numbers together—each is separately accredited while part of the same system—would put them in the third spot, with 440 OC students.

Each of the two was down on its own, however.

• Chapman dropped 2% from 253 to 248 students.

• Brandman declined 18.3% from 235 students to 192.

Brandman attributed the decrease to ending a scholarship program that helped launch the degree in 2010. The school offered a discount on its new program when companies also paid part of the tuition.

“Our program is fairly new, and we just finished the last cohorts of early students,” said Glenn Worthington, dean of Brandman’s School of Business and Professional Studies.

Even declines may be positive in some cases—if it means graduates are heading into the workforce.

“We have a lot of satisfied customers out there, our program is competitive, and we still expect to grow,” Worthington said.

He said the school hasn’t raised tuition in the past two years and that across a system with about two dozen campuses in Washington and California, the school targets 20% growth in MBA programs.

More Graduates

Another way to look at the data: Graduations from many MBA programs were up, often by the same level that enrollment was down.

Brandman’s enrollment was down 43 students, but it graduated 45 students last year.

Concordia University in Irvine had similar results. Enrollment declined from 145 students to 129, but it graduated 67 in June compared to 48 at the same time last year, more than the entire enrollment decline.

Still, some schools boosted graduates and enrollment, indicating a strong pipeline of students.

• UCI graduated 64 more students than last year—399—a 19% increase.

• Webster University in Irvine grew enrollment modestly—4.2%, or five additional students to 125—while also graduating five more students this year—45.

St. Louis-based Webster’s regional director in Southern California, Harry Schuler, said enrollments have been stable for several years and that its recent growth is based on employer support.

“During the recession, they pulled back somewhat, and now the purse strings are beginning to open up again,” he said. “More employers are willing to pay for an MBA.”

Schuler said that in general, enrollments rise in downturns because workers who are laid off become students who more aggressively pursue education.

“They have the time, and they have the desire to get ready for the next wave of employment increases when it comes,” he said.

He said that in both cases Webster tries to build relationships with businesses, going on-site at companies to conduct MBA information sessions or making its facilities available for corporate meetings, for instance.

Webster was the only MBA program serving Orange County to grow in every category: OC students enrolled, OC students graduated, Southern California students enrolled, and Southern California students graduated.

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