GMAT vs CAT: Which Exam Should You Take for an MBA?
The decision to pursue an MBA is a significant step in shaping your professional future. However, choosing the right path begins with selecting the appropriate entrance exam. In India, the two most popular options are the Graduate Management Admission Test (GMAT) and the Common Admission Test (CAT). Both exams are gateways to top business schools, but they cater to different aspirations and career goals. This article breaks down the differences to help you make an informed choice.
Understanding the Basics of GMAT and CAT
What is GMAT?
- Purpose: Accepted worldwide by over 7,000 business programs, including top Indian schools like ISB and IIM Executive programs.
- Format:
- Analytical Writing Assessment (AWA)
- Integrated Reasoning (IR)
- Quantitative Reasoning (QR)
- Verbal Reasoning (VR)
- Duration: 3 hours and 7 minutes.
- Flexibility: Offered year-round, allowing candidates to choose their test dates.
What is CAT?
- Purpose: Primarily for admission to Indian B-schools, including the IIMs and other top-tier institutions like FMS Delhi and MDI Gurgaon.
- Format:
- Verbal Ability and Reading Comprehension (VARC)
- Data Interpretation and Logical Reasoning (DILR)
- Quantitative Ability (QA)
- Duration: 2 hours (40 minutes per section).
- Schedule: Conducted annually, typically in November.
Key Differences Between GMAT and CAT
| Feature | GMAT | CAT |
|---|---|---|
| Purpose | Global MBA programs and executive MBAs | Indian MBA programs |
| Test Validity | 5 years | 1 year |
| Exam Frequency | Year-round | Once a year |
| Score Range | 200–800 | Percentile-based |
| Difficulty Level | Moderate, adaptive difficulty | High, static difficulty |
| Cost | $275 (~₹23,000) | ₹2,400 (general category) |
| Language Focus | Strong emphasis on English proficiency | Balanced across all sections |
Which Exam Should You Choose?
Choose GMAT If:
- You aspire to pursue an MBA from global institutions like Harvard, Stanford, or INSEAD.
- Flexibility in scheduling the exam is important to you.
- You’re targeting executive MBA programs or programs with international exposure.
- You have a strong command of English and are comfortable with analytical writing.
Choose CAT If:
- Your primary goal is to join top Indian business schools like IIMs, FMS, or SPJIMR.
- You want to keep costs low while targeting premier institutions.
- You are confident in managing a fixed exam schedule and intense competition.
- You prefer percentile-based evaluation rather than a fixed scoring range.
Preparing for GMAT and CAT
GMAT Preparation Tips
- Focus on mastering verbal and analytical writing sections.
- Familiarize yourself with data interpretation and integrated reasoning.
- Use official GMAC prep materials and practice adaptive mock tests.
- Allocate 2–3 months for structured study.
CAT Preparation Tips
- Prioritize time management as the exam is highly competitive.
- Strengthen your quantitative and logical reasoning skills.
- Practice mock tests and analyze weak areas regularly.
- Dedicate at least 6 months for focused preparation.
Top Colleges in India Accepting GMAT and CAT Scores
Colleges Accepting GMAT
- Indian School of Business (ISB), Hyderabad and Mohali
- IIM Executive Programs (PGPX, EPGP)
- XLRI Jamshedpur (Global MBA)
- SP Jain Institute of Management and Research (SPJIMR)
- Great Lakes Institute of Management, Chennai
Colleges Accepting CAT
- IIMs (Ahmedabad, Bangalore, Calcutta, etc.)
- FMS Delhi
- SP Jain Institute of Management and Research (SPJIMR)
- MDI Gurgaon
- NITIE Mumbai
ROI of MBA Programs
- GMAT-Oriented Programs: International MBA programs typically cost ₹50 lakh to ₹1 crore but offer salaries averaging ₹50–80 lakh per annum globally.
- CAT-Oriented Programs: Indian MBA programs range from ₹10 lakh to ₹30 lakh, with average salaries between ₹20–30 lakh per annum.
