AACSB Report – Business Schools Face “Perfect Storm” Crisis

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Business school deans now need skills of “strategist, diplomat, and master juggler” to survive. Understanding these challenges helps prospective students choose resilient programs positioned for long-term success.

AACSB’s 2025 State of Business Education Report reveals business schools are navigating financial pressures, shifting student expectations, geopolitical disruptions, and AI transformation simultaneously.

  • Operating budgets increased 19% while expenditures rose 21% since 2018-19
  • 76% of leaders agree schools must adopt new financial models for viability
  • Gen Z students demand greater flexibility, personalization, and career alignment
  • International enrollment shifting due to visa regulations and political climate
  • Average dean tenure shortened to 6.2 years (down from 6.8 years in 2020-21)
  • Schools expanding AI-focused programs and executive education revenue

Berkeley Haas aims to double executive education revenue from $40M to $80M in five years. Research how your target schools are addressing these challenges and positioning for future stability.

References:
https://www.aacsb.edu/insights/articles/2025/08/business-schools-at-a-turning-point

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