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Why CAT Exam is Important?

Author : Aparna

Updated On : May 16, 2023


Summary: The Common Admission Test (CAT) is an important entrance exam for admission to the Indian Institutes of Management and other top B-schools in India. The article answers why CAT Exam is important?

The Common Admission Test (CAT) is one of India's most important and highly competitive exams. 

Every year, millions of aspiring students appear for the CAT exam for admission into the top business schools in the country. The CAT exam is the gateway to a successful MBA career. 

The CAT score is considered one of the major criteria for admission to top-notch MBA institutes across India. 

Here are reasons indicating why CAT exam is important? 

Why CAT Exam is Important?

Reasons to take the CAT Exam

Study at Top B-Schools in India

CAT Exam is the gateway to India's top IIMs and other top MBA colleges. The CAT exam is essential to study at IIMs or other best management schools. 

CAT Exam allows students to pursue MBA from top institutes like IIMs, FMS, MDI, SPJIMR, IITs, etc.

Studying at top B-Schools helps you gain good placement opportunities in top companies and secure high-paying jobs.

Check: CAT Exam Pattern 2023

Recruiters favour CAT candidates

The Common Admission Test (CAT) is a benchmark for recruiters looking for MBA graduates from top B-schools. 

The CAT exam is conducted by the Indian Institutes of Management (IIMs) and is considered one of the toughest MBA entrance examinations. 

The CAT exam is not only used by recruiters to select the best MBA graduates but also helps in assessing the overall aptitude of the candidates. 

This helps the recruiters to decide which candidate has the most potential to become successful in the corporate world.

The CAT exam also plays a major role in developing a candidate's career path. A good CAT score opens up many opportunities for the candidates. It helps them get into top-notch MBA institutes like IIMs. This can lead to successful placements in top companies and better pay packages.

Check: Participating institutes of IIM

CAT Exam is one of the few tests accepted by all the IIMs

Indian Institutes of Management (IIMs) are India's pinnacle of management education. 

Their courses are highly acclaimed, and their faculty is among the best-trained in the world. IIMs offer tailor-made courses to meet the changing needs of the corporate world. Students are exposed to the latest management practices and gain a thorough understanding of the complexities of the global business environment.

The IIMs also have a strong alumni network, which provides an invaluable source of contacts and resources for students.

Check: CAT Cut off 2023

CAT offers a level playing field for all students

CAT offers a level playing field for all students because the exam is conducted the same way for everyone. The exam includes the same number of questions, difficulty level, and time frame for completion. 

The test is also objective, meaning it tests a student's knowledge and skills in a specific area rather than their personal opinions or beliefs. This helps to ensure that all students have an equal opportunity to demonstrate their abilities. 

In addition, using multiple-choice questions makes the exam easy to grade, allowing for greater fairness and accuracy when evaluating student performance.

Check: CAT Exam Question Papers

Jobs in the Public Sectors

CAT (Competitive Ability Test) provides an ideal platform for students to assess their ability to compete in the public sector job market. 

The CAT exam is also important for candidates seeking a career in public sector banks and government organizations. A good CAT score is an added advantage for them as it helps them to get into top-notch organizations.

The results of the CAT test indicate the candidate's potential and help employers to make better hiring decisions. 

Check: CAT Exam Preparation 2023

Studying in International schools

A good CAT score also helps the candidates to get admission to some of the best international business schools. 

This helps them to pursue their MBAs from the best institutes in the world and gain valuable experience.

Check: How to prepare for Data Interpretation for CAT?


In conclusion, it can be said that the CAT exam is essential for aspiring MBA students. It not only helps them get admission into the top-notch business schools in India but also allows them to pursue their MBAs from the best international business schools. A good CAT score helps the candidates to get into the top organizations and gain a successful career.

Check: CAT Exam Subjects 2023

Frequently Asked Questions

The CAT is the most important entrance exam for admission into the Indian Institutes of Management (IIMs). 
The best way to prepare for the CAT exam is to focus on understanding the basics of each subject rather than memorizing concepts. You should also practice regularly by solving mock tests and sample papers. Additionally, staying up-to-date with the latest topics and trends in the exam is important.
Yes, there are several jobs for MBA graduates in public sector. 
Yes, the average salary for MBA graduates in India is INR - 7,71,801. 


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