GMAT vs GRE: Which is Required for an MBA in the USA?

Pursuing an MBA in the USA is a dream for many aspiring business leaders. One of the critical decisions you'll face during the application process is choosing between the GMAT (Graduate Management Admission Test) and the GRE (Graduate Record Examination). Both tests are widely accepted by business schools in the USA, but understanding the nuances of each can help you determine which is better suited for your MBA application.

In this guide, we’ll explore the differences between the GMAT and GRE, their relevance to MBA programs in the USA, and factors to consider when deciding which test to take.

What is the GMAT?

The GMAT is a standardized test specifically designed for business school applicants. It assesses analytical, quantitative, verbal, and integrated reasoning skills—all crucial for success in an MBA program.

• Duration: 3 hours 7 minutes

• Sections:

  • Analytical Writing Assessment (AWA)

  • Integrated Reasoning

  • Quantitative

  • Verbal

• Score Range: 200-800 (total score), with separate scores for each section.

The GMAT is tailored to measure skills directly relevant to business management and problem-solving, making it the traditional choice for MBA admissions.

What is the GRE?

The GRE is a standardized test accepted by a wide range of graduate programs, including MBA programs in the USA. It evaluates verbal reasoning, quantitative reasoning, critical thinking, and analytical writing skills.

• Duration: 3 hours 45 minutes

• Sections:

  • Verbal Reasoning

  • Quantitative Reasoning

  • Analytical Writing

• Score Range:

  • Verbal and Quantitative: 130-170 (each)

  • Analytical Writing: 0-6

The GRE’s broader applicability makes it a good option for students considering both business schools and other graduate programs.

GMAT vs GRE: Key Differences

While both tests are accepted by most MBA programs in the USA, there are key differences to consider:

1. Content Focus

• GMAT:

  • Focuses on analytical and problem-solving skills specific to business scenarios.

  • Quantitative section is more challenging, with data sufficiency questions unique to the GMAT.

  • Integrated Reasoning section tests the ability to analyze data from multiple sources.

• GRE:

  • Tests a broader range of skills, making it more suitable for various graduate programs.

  • Verbal section emphasizes vocabulary, which can be challenging for non-native English speakers.

  • Quantitative section is generally considered less difficult than the GMAT.

2. Structure and Scoring

• GMAT:

  • Adapts to your skill level within each section, providing questions based on your previous answers.

  • Total score focuses on the Quantitative and Verbal sections.

• GRE:

  • Adapts between sections rather than within sections.

  • Offers separate scores for Verbal and Quantitative sections, giving a clearer picture of strengths and weaknesses.

3. Cost

• GMAT: $250

• GRE: $220

4. Test-Taking Experience

• GMAT:

  • More focused on logic and reasoning directly applicable to business scenarios.

  • Includes an Integrated Reasoning section not found on the GRE.

• GRE:

  • More general and may feel familiar to those with a strong academic background outside of business.

Which Test Do MBA Programs in the USA Prefer?

Traditionally, the GMAT has been the gold standard for MBA admissions. However, in recent years, a growing number of MBA programs in the USA have started accepting the GRE as well. Some schools even state that they have no preference between the two tests.

Top MBA Programs Accepting GRE and GMAT

Here’s a look at some renowned schools and their stance on these tests:

• Harvard Business School: Accepts both GMAT and GRE without preference.

• Stanford Graduate School of Business: No preference between the two tests.

• Wharton (University of Pennsylvania): Accepts both tests; applicants can choose the one they’re more comfortable with.

• MIT Sloan School of Management: Encourages applicants to submit whichever test best showcases their abilities.

It’s important to check each school’s website for specific requirements or preferences.

Factors to Consider When Choosing Between GMAT and GRE

1. Career Goals

If your goal is to pursue roles in consulting, investment banking, or other fields that highly value quantitative skills, the GMAT may be the better choice. Some employers perceive the GMAT as a more relevant indicator of business acumen.

2. Program Requirements

Research your target MBA in the USA to determine if they have a preference for one test over the other. While most schools accept both, some may emphasize the GMAT in their evaluation process.

3. Strengths and Weaknesses

• If you excel in quantitative reasoning and logical analysis, the GMAT might highlight your strengths.

• If you have strong verbal and writing skills or prefer a broader test format, the GRE may be more suitable.

4. Future Academic Plans

If you’re considering non-MBA graduate programs in addition to an MBA, the GRE offers greater flexibility since it’s widely accepted across disciplines.

5. Practice Test Scores

Take a practice test for both the GMAT and GRE. Compare your scores and assess which test feels more intuitive and plays to your strengths.

How to Prepare for the GMAT or GRE

Regardless of the test you choose, preparation is key to achieving a competitive score.

1. Understand the Format

Familiarize yourself with the structure and question types for your chosen test.

2. Set a Study Schedule

Dedicate consistent time to study each week. Many students spend 2-3 months preparing for the GMAT or GRE.

3. Use Study Resources

• GMAT: Official GMAT Prep materials, Manhattan Prep, Kaplan, and Magoosh.

• GRE: ETS Official Guide, Princeton Review, and online practice tests.

4. Take Practice Tests

Simulate the test environment to build confidence and identify areas for improvement.

5. Seek Help if Needed

Consider enrolling in a prep course or hiring a tutor if you need additional support.

Conclusion

Choosing between the GMAT and GRE for your MBA in the USA depends on your career goals, target programs, and personal strengths. While both tests are widely accepted, the GMAT’s focus on business-specific skills makes it a strong choice for candidates committed to pursuing management roles. On the other hand, the GRE’s versatility makes it ideal for applicants considering other graduate programs alongside an MBA.

Ultimately, the best choice is the test that allows you to showcase your abilities most effectively. With thorough preparation and a clear understanding of your goals, you’ll be well-equipped to take the next step in your MBA journey.