MBB vs. $125,000

I've been offered an MBB position out of undergrad (all in comp probably around $90,000)

Alternatively, I also have an offer straight to a post MBA-level industry position (F500 company) paying about $125,000

What should I take (esp. in regards to exit opps, bschool opps, prestige, working environment, lifestyle, learning, etc.)

Thanks.

 

I would do the position at the F500 company unless I had a hard on for consulting. The MBB position is more prestigious because of the brand name and might have slightly better exit opps, but the lifestyle and pay at the F500 are probably loads better.

These types of questions are usually pretty silly, wayyyy to little info provided to make an educated decision.

 

Is the F500 offer in an industry you find interesting? Subjective, but still worth asking. I would take the MBB and go to F500 later, but that's only because I'm in F500 and want out. You know, the grass is always greener mentality.

 
gamenumbers:
this sounds like bs to me. there's something fishy going on there. 125k for doing what? is that number based off commissions? (sales job) or is it based off some currency conversion? why is mbb paying you 90k? you're obviously not telling us something important here, and why anybody would give an undergrad a post-mba job?
alexpasch:
^^A quality undergrad from a top tier uni. is more than qualified to do a post-mba level job at an F500 company because MBAs from the top tier tend to go to banking, consulting, etc.

Yeah I also should've asked if you like the industry of the F500, that is key to your decision. If you really like the industry then it's a no brainer.

90K, all in, it's base 70k + expected bonuses, relocation. Few others have been offered similar prospects.

Industry is tech and telecom, which I'm really interested in. However, I feel like consulting will give me better exposure, and have heard that a consulting year is worth 2 or 3 in industry. From the people I've talked to I'd be expecting 40 hour workweeks at the F500 and around 60 hours + travel at MBB. Just wanted to know whether the increased learning opportunities and exit opps were worth it.

 

^^A quality undergrad from a top tier uni. is more than qualified to do a post-mba level job at an F500 company because MBAs from the top tier tend to go to banking, consulting, etc.

Yeah I also should've asked if you like the industry of the F500, that is key to your decision. If you really like the industry then it's a no brainer.

 

MBB. Is an extra 35K a year for two years (less than 50K total after tax) really that important? You don't put your salary on your resume; future employers won't know or care that you were in a post-MBA position (and FYI, post-MBA positions are still entry level). MBB will have better exit opportunities including b school. If you really want to do tech & telecom, make sure you work on a few cases in that industry.

 

I would totally second EnricoPallazzo above. MBB would be pretty interesting in terms of learning and in terms of the diversity of experience. Industry jobs tend to be less dynamic (I may be wrong in this instance), and also the skill sets you develop may become too narrow and may not be immediately transferable to other firms. At this stage of your career you should be looking at gaining more breadth of knowledge rather than going deep into one industry - that can happen later. All the best and keep us posted on what you decide to take up

 

If you got a job at an F500 with that kind of salary you must be a superstar, and superstars will [should] shine anywhere. If you like the company, take it, you are 1 step ahead.

I don't agree with the comments telling you take the lesser salary (especially $35K less). I probably sure industry experience will be valuable anywhere you go; and being a F500 is pretty good in your resume.

 

What's your end game? Where do you plan on being 5 years from now? If MBA is in your plans, I would take F500. If you plan on coming back to the industry, and this F500 industry is an area of interest to you, I would still take F500. Yes, 2 years at MBB would mean 4-6 years "in the industry", but if you're being offered a post-MBA position, that means you're skipping that "4-6 years" plus MBA anyways. You're saving yourself a lot of time. Unless the industry/function is something that you wouldn't want to do in the long term, taking MBB makes little sense. Even if you take the MBB path, if the industry/function is something you're interested in, you'll find yourself in that F500 position, just 5 years older. I had a similar choice to make a while ago (though not straight out of UG)--I ended up taking MBB. Although the industry was really interesting, the function was not an area in which I thought I would excel. Moreover, although "interesting", the industry was not my top choice. I was fully aware that I might end up just wasting a couple years of my life, but it was a price i was willing to pay for the chance of doing something I really wanted to do. If this is also your case, then yeah take MBB, but otherwise, MBB makes little sense.

 

"Superstars will shine anywhere". What nonsense, and I only hope that OP isn't naive / arrogant enough to believe that. There is a reason the best basketball players go to UNC, the best banking candidates go to GS, etc. There is a huge difference between an institution that is great at maximizing the potential of its most talented individuals and one that isn't. Fact is, the institutions that are best at that are elite professional services firm.

Two phrases: 'learning curve' and 'career velocity'. Those are the only things that matter and MBB will blow F500 away in both metrics, regardless of what your F500 recruiter is telling you.

Good luck regardless of what you do, but FWIW back in college I chose arguably the most 'prestigious' non-professional services F500 firm on the planet over MBB and it was the biggest career mistake I ever made.

 

MBB would not be a better choice for B-school. Actually in a post-MBA position you will probably get more responsibility and will build a more impressive resume, for the first couple of years anyways. Nevermind that the extra free time will let you dedicate time to extra-curriculars: mentoring inner city kids, or leading the building team a habitat for humanity, or something like that. Also F500 companies have great and I mean GREAT training programs

More is good, all is better
 
Best Response
Argonaut:
MBB would not be a better choice for B-school. Actually in a post-MBA position you will probably get more responsibility and will build a more impressive resume, for the first couple of years anyways. Nevermind that the extra free time will let you dedicate time to extra-curriculars: mentoring inner city kids, or leading the building team a habitat for humanity, or something like that. Also F500 companies have great and I mean GREAT training programs

I don't think that this post or the poster is stupid / not thinking logically... but that said, I completely 100% disagree.

Unless the f500 is google or apple (and even then it's borderline), my personal opinion is that there is no question whatsoever MBB would be better for business school. Despite the fact that I'm not to0 crazy about 2 year consultants who think they know everything about every business at the age of 24 cause they spend some time at McKinsey making PPTs, the reality is that MBB is the single best possible thing you can do for going to business school in almost 100% of circumstances (maybe being a war hero is better...).

If you start at MBB all you'll need to do is perform in a satisfactory way for the next few years and you'll end up at a top MBA program.

 

How about Chevron or Exxon? I worked on a $ 6 bln international development at Chevron, my part of the project was about $1.4 bln. Nevermind that I work with technology that is second only to military.

More is good, all is better
 
2x2Matrix:
Argonaut, you might have had a great experience, but the fact that one dude at Chevron had an awesome experience that could potentially impress recruiters at HBS doesn't change the fact that on the whole MBB place better. Plus, though the dollar value of your part of the project sounds like it might be noteworthy, the kind of technology you work with (unless you're actually designing it) is cool but irrelevant. Bain ACs and McKinsey BAs work with Excel and PPT - not exactly groundbreaking stuff - and still place well.

There are exceptions to every rule, and if you end up at a F500 you absolutely can get into an elite business school, but we're talking populations here. On an aggregate level, MBB analysts have much better bschool placement than F500 dudes, even though there are a plenty of F500 guys who get in to top places, too.

I haven't said that mbb place badly (frankly I don't know, I never even had enough interest to research their placement stats) , and they may even be better on average than F500, but in this particular dude's case I REALLY don't see how they will offer him an experience of such superiority that it would be worth extra nearly 40% of the pay they are offering him and extra 20 hrs a week of his time.
More is good, all is better
 

Personally, I'd probably take the F500. Top Bschools are looking to build a class with different experiences - not just made up of MBB consultants, GS bankers, and megafund PE. Just look at what happened to PE at HBS this year, a bunch got dinged, as top bschools want a diverse class and are focused on it now more than ever.

I think it'd be easier to shine and be a top guy at the F500, especially if the work is something you enjoy doing. In consulting a lot of your enjoyment depends on whether the case you're on is any good. Sure cases rotate and you get to change rolls, but sometimes you get stuck with a dog that lasts a long time. One of my good friends is at MBB, and is thinking of leaving because he's stuck on a case he hates, which just was extended another year.

 

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