How GMAT Opens Doors to Graduate Business Education

By Gaurav Srivastava, regional director, APAC, Middle East & Africa, GMAC

When applying to most business schools, candidates face a strategic decision: which test to take. Since its launch in 1954, the GMAT exam has been the gold standard in graduate business education admission. Unlike the GRE, the GMAT exam was designed specifically for graduate management education with great input by business school admission professionals themselves. Studies after studies have given proof to why the GMAT remains the exam most closely aligned with the sought-after skills, academic rigor, and expectations of graduate management education.

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Competitive Advantage in Admissions

Business schools report higher confidence in evaluating GMAT scores because many admissions officers know that submitting a GMAT score signals a commitment to management education, a practice often used to distinguish candidates in competitive pools. Furthermore, a predictive validity study over time has demonstrated that when used in combination with undergraduate GPA, the GMAT score is a better indicator of academic success than UGPA alone. There is little doubt that the GMAT has been a highly relevant indicator of candidate success for graduate business degree programs and therefore has remained a key element of business school admission’s holistic approach.

The competitive advantage over GRE has solidified GMAT as the admissions exam of choice at the world’s top business schools. At the top 10 business schools in the United States, for example, the GMAT exam was taken by the majority of applicants, according to the 2025 U.S. News & World Report rankings, and taken by most students getting into schools such as Harvard Business School (63%), Wharton School (64%), and Kellogg School of Management (67%).

Value-Add for Better Career Outcome

Beyond admissions, the GMAT carries weight with employers. Consulting firms, investment banks, and other recruiters frequently ask for GMAT scores during the hiring process, using them as a proxy for quantitative and analytical ability. According to GMAC’s annual survey of global corporate recruiters—many of whom are with Global Fortune 500 companies, the share of those who almost always or sometimes consider the GMAT scores of job seekers rose over the years, from 25 percent in 2020 to 64 percent in 2025. In fact, for India-based employers, the percentage is even higher, with 95 percent of the 2025 survey respondents reporting that they consider business graduates' GMAT scores in some way in hiring decision.

There is a clear benefit of taking the GMAT—enhanced employment opportunity. The unique design of the exam to measure skills relevant to a career in business was informed by GMAC’s longitudinal research on potential employers of business school graduates. We learned that critical thinking, data analysis, and problem-solving skills all call for complex judgments and are increasingly critical to achieving success in today’s business environment. As the above-mentioned survey of employers shows, while skills in using AI tools and technology/IT skills are rising as important future skills, so are data analysis and interpretation. Strategic thinking and problem solving also remain in the top five skills desired for most industries. In other words, not only have business school faculty and admissions professionals found that incoming graduate students need these skills, but employers worldwide also need their new hires to have these skills, which are assessed in the GMAT exam’s Data Insights section. Unlike the questions found in the GMAT exam that evaluate core skills critical to graduate management education and today’s business world, the GRE test sections are not related to any specific field of study.

Global Recognition and Mobility

As candidates consider studying abroad, the GMAT offers global recognition across programs and regions. Around the globe, the GMAT is being accepted in 7,700 MBA and business master’s programs in over 2,500 institutions, nearly twice as many institutions as those accepting the GRE for business education. This ensures that applicants keep the widest set of options open—both for admissions and for career opportunities upon graduation.

Looking specifically at domestic programs, in India, GMAT is the only global B-Schools assessment that has been ratified by the All India Council for Technical Education (AICTE). This means that the GMAT is accepted by over 150 business schools in India, including graduate and post-doctoral graduate programs. GRE, on the other hand, is not ratified by AICTEs. There is no wonder why in a third-party conducted survey on behalf of GMAC back in May 2025, seven out of 10 Indian candidates of business education said they planned to take the GMAT, compared to just 26 percent the GRE, and 54 percent of those planning to take the GMAT said they believed the GMAT allows them to apply to a wider range of desired graduate programs.

In addition, based on GMAC’s latest study, we believe the GMAT is a great option for non-Native English speakers, as it shows that the GMAT exam may be easier to prepare than the GRE due to an overall smaller set of vocabulary required between the two tests.

The Answer to Which Test to Take

While the GMAT undoubtedly helps candidates stand out, that's not the only exam we offer. At GMAC, we have mastered the art of assessment for business education, which is why we also built the Executive Assessment (EA), designed specifically for busy professionals to efficiently demonstrate their business school readiness. It not only requires less prepping and testing time but is accepted by more than 100 business schools worldwide.

Because the GMAT, as well as the EA, is designed specifically for business, preparing for and taking the test is essentially an investment in not only earning the best score, but also in sharpening the valued skills for business school and career development. For those serious about a career in management or business leadership, the GMAT is more than just a test. It not only strengthens a candidate’s application today but also supports his or her professional journey tomorrow. The GRE may get you through the door, but the GMAT shows you belong once you are in.