A Comparison of the GMAT and the GRE

GMAT and GRE Consideration at Business Schools

While most business schools will accept either the GMAT or the GRE as an admissions test, historically, the GMAT has been much more widely taken by aspiring graduate business students. Those students pursuing an MBA or EMBA tend to prefer the GMAT to the GRE, as almost all of the GMAT's annual test-takers intend to study business at the graduate level. This is not surprising, as the GMAT was specifically designed to assess an applicant's readiness for graduate business programs, whereas the GRE was intended as a more general graduate school entrance exam accepted by a wider range of programs. The preference business school applicants maintain for the GMAT is reflected in business school class profiles, which focus almost exclusively on GMAT numbers by regularly and most prominently reporting accepted students' GMAT scores. Most institutions do not list the average GRE scores of accepted students, and it can be quite difficult to obtain information on GRE score ranges for business programs without contacting the admissions department directly.

However, while the GMAT has widely been the admissions test of choice among graduate business students, the popularity of the GRE has increased in recent years. While the GMAT is still favored by business school applicants, the GRE has established itself as a viable alternative worth considering, and it's helpful to understand the similarities and differences between the two tests to decide which one is the best exam for you and your future career endeavors.

GMAT and GRE Waivers

Though standardized test results are required for admission to most business schools, some institutions have programs that do not mandate either the GMAT or GRE, and others grant waivers for students who meet certain prerequisites. Each business program maintains its own criteria for waiving GMAT or GRE scores, and applicants should carefully review program requirements, which are subject to change. Almost all programs that offer waivers require a separate personal essay demonstrating academic readiness. 

Dartmouth Tuck offers a test waiver for applicants who have a minimum of two years of post-graduate professional work experience. Chicago Booth offers a GMAT/GRE test waiver only to current students or graduates of the University of Chicago. The University of Virginia Darden School of Business offers a test waiver to applicants who can demonstrate at least three years of professional work experience, combined with a strong record of undergraduate/graduate achievement and/or professional certification in a quantitative field such as a CPA or CFA. In order to qualify for a test waiver at Cornell Johnson, applicants are required to submit a personal statement describing their individual circumstances and why they are confident they can succeed in the program. MIT Sloan requires applicants to submit a statement explaining why they are unable to complete the GMAT or GRE to be considered for a test waiver. The University of Texas offers a "merit-based" test waiver that can only be submitted for consideration if an applicant has not already submitted test scores. Michigan Ross allows applicants to submit "alternative demonstrations of academic readiness," including a master's degree in a certain discipline, other academic or professional qualifications, or completing the Executive Assessment. The Rutgers University School of Business will similarly consider GMAT or GRE waivers for applicants with either a terminal degree or eight years of management-level work experience.

The requirements for GMAT/GRE waivers vary by business program and may not be offered every application cycle. If you are planning on requesting a test waiver, it is imperative to do your research, be aware of important submission dates, and submit all required materials in a timely manner. Simply submitting a request for a test waiver is no guarantee of receiving one, and applicants should be sure that this is truly the best path forward for them, rather than just hoping to avoid taking the GMAT or the GRE.

Differences between the GMAT and GRE

The GMAT and the GRE assess many of the same skills, but the two tests differ in structure, content emphasis, administration, and scoring. Both exams underwent significant revisions in 2023, resulting in shorter exam lengths and offering test-takers the option of completing either exam at a testing center or online.

The GMAT is a standardized test intended to assess the verbal, quantitative, and data literacy skills needed for success in a graduate-level business program. It is 2 hours and 15 minutes long, not including the single optional break, which test-takers may take after completing the first or second section. The test is question-adaptive, which means the difficulty of the test changes in real time based on the answers you provide. It consists of three sections (Verbal Reasoning, Quantitative Reasoning, and Data Insights), and these may be completed in any order the test-taker chooses. Test-takers may bookmark questions and return to review them or change up to three answers in a section, provided there is still enough time. The GMAT may be taken at a testing center or online from the comfort of one's home. Taking the GMAT at a testing center costs $275 and taking it online costs $300. The GMAT features an optional Business Writing Assessment section that may be taken online for an additional $30. Test-takers receive a total GMAT score (range of 205-805), in addition to a Verbal section score (range of 60-90), a Quantitative section score (range of 60-90), and a Data Insights section score (range of 60-90). For those who complete the optional Business Writing Assessment, this is scored on a scale of 0-6 in 1-point increments.

The GRE is a standardized test that assesses skills critical for success in graduate programs, including business and law programs. The GRE is 1 hour and 58 minutes long, and no breaks are given. The GRE is section-adaptive, which means that your performance on the first section of a given kind will determine the difficulty of the second section of that kind. The GRE consists of five sections: two Verbal Reasoning sections; two Quantitative Reasoning sections; and one Analytical Writing section. The Analytical Writing section is always completed first, although the Verbal and Quantitative Reasoning sections may be presented in any order after this. One of either the Verbal or Quantitative Reasoning sections is an unscored or experimental section, although test-takers will not know which one it is, and should therefore complete each section to the best of their ability. The GRE can be taken at a testing center or online from one's home. Taking the GRE costs $220 whether you take it at a testing center or online. Test-takers receive a total GRE score (range of 260-340), as well as a Verbal scaled score (scale from 130-170), a Quantitative scaled score (scale of 130-170), and an Analytical Writing score (scale of 0-6, with half-point increments).

Average/Median GRE Scores of Graduate Business Students

The methodology used by U.S. News & World Report to rank business schools is based partially on GMAT scores, but it is important to note that this does not account for or include GRE scores. While in recent years U.S. News has begun reporting GRE scores more consistently, these are only available to those with a U.S. News Business School Compass subscription. The GRE scores reported below are either the average or median scores (depending on how the schools report the data) for each school's most recent entering class. Based on data from 2024, the GRE scores for specific business programs are as follows:

• Harvard Business School, median GRE score of 326
• Stanford, average GRE score of 327
• Dartmouth Tuck, average GRE score of 322
• Yale School of Management, median GRE score of 330
• NYU Stern, average GRE score of 328
• Chicago Booth, average GRE score of 324
• Northwestern Kellogg, median GRE score of 325
• UC-Berkeley Haas, median GRE score of 323

As with the GMAT, higher-ranking business programs report higher GRE scores, which means you still must achieve a very high score in order to be considered a competitive applicant, regardless of if you are taking the GRE or the GMAT.

Validity Study of the GRE

Very little research has been done on the GRE as a predictor of business school success, but a doctoral dissertation that deals with the subject was written by Charles Blake Bedsole at the University of Georgia in 2013. Bedsole studied data from 749 students at three institutions and concluded that the GRE was a "significant predictor of final MBA GPA" and "accounted for slightly more variance" than the GMAT.

Choosing the Right Test

When it comes to deciding whether to take the GMAT or the GRE, there is no right or wrong answer; it is all about which test you prefer and on which test you perform better. The best way to decide between the two exams is to take practice versions of each and ultimately choose the one that is the better match for your academic strengths. Students whose verbal skills outpace their quantitative abilities may wish to consider the GRE due to its greater emphasis on essay writing and verbal reasoning problems. Most admissions consultants believe the GMAT is a better option for the majority of business school applicants, but students who struggle with the GMAT may gain an advantage by taking the GRE. What matters is taking the exam that is the best fit for you, as this will allow you to submit the highest test scores possible to business programs. Whether you complete the GMAT or the GRE, high test scores are a guaranteed way to set your application apart and ensure you are a competitive applicant at the business program of your dreams.