MBA & Master Glossary
Experience Capital
Definition
Experience Capital refers to the skills, knowledge and responsibility acquired on the job – as opposed to education and talent. According to McKinsey, experience capital accounts for around 50% of lifetime career and earnings potential. Women build less experience capital on average because they less often take on leadership and P&L roles. An MBA accelerates the build-up of experience capital through leadership projects, internships, consulting cases and cross-industry assignments.
Example: "Her experience capital from twelve years of project leadership offset missing theory in the EMBA."
Why this matters for your MBA
"Experience Capital" is one of the terms you will come across when comparing MBA and Executive MBA programmes in Germany, Austria and Switzerland — in admission requirements, accreditation details or programme descriptions. On mba.de you can check how individual business schools handle it and compare programmes independently.
Source: mba.de – independent comparison portal since 2003.