CAT and GMAT are both MBA entrance exams to get admission in top MBA colleges. CAT 2022 will be conducted on November 28, 2022. After qualifying CAT, candidates will become eligible to get admission in 20 IIM while candidates who qualify GMAT will also be offered admissions into some of the top Business Schools worldwide. CAT is conducted by the Indian Institutes of Mangement while GMAT is conducted by Graduate Management Admission Council. 

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Candidates are often unable to decide regarding which entrance test to appear in – CAT or GMAT. The entrance tests are essential if aspirants wish to take admission in prestigious management colleges. However, each test has its own merits and limitations. This article provides a comparative analysis of the two exams CAT and GMAT, based on several factors including their Scope, Level of competition, Examination pattern, Admission process post-test, Validity of Score, Number of attempts, etc. The main objective behind this comparison is to assist candidates in making an informed decision.

CAT vs GMAT - Scope

CAT vs GMAT - Scope

Some of the prominent points which distinguish CAT from GMAT are stated below:

• CAT is conducted by one of the older IIMs every year on a rotational basis to select candidates for admission to PGP, PGDM and other courses. CAT 2021 will be conducted by IIM Ahmedabad
• Other than IIMs various other colleges like FMS, SPJIMR, and JBIMS also accept CAT scores.
• CAT Scores are accepted by nearly 1000 B-schools in the country.
• GMAT is conducted by Graduate Management Admission Council
•  GMAT Score is also utilized by IIMs and several other business schools for admission to certain seats (for example seats reserved for NRI/Foreign candidates). However GMAT has a wider scope globally as many reputed international universities accept GMAT scores
• Overall, around 300 colleges accept GMAT score.

Level of Competition Comparison

CAT vs GMAT - Level of Competition

Every year around 2 Lakh candidates appear for CAT. After qualifying CAT Cut Off i.e. around 99+ percentile for the top IIMs candidates will have to clear the GD, PI, and WAT rounds. Other than that various other factors like Gender Diversity, Work Experience is considering while deciding the final merit list. 

CAT Expected Cut Off 2021

In the case of GMAT, its score is accepted by various prestigious institutions i.e. national and international. Therefore, the ratio of applicants to seats is heavily in favor of the GMAT, and your expected chance at success (and hence your return on investment) is better in case of the GMAT, versus CAT. Therefore, the pressure while taking the GMAT often feels lower than in the case of the CAT.

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Exam Pattern Comparison

CAT vs GMAT – Exam Pattern

The pattern for both the tests varies highly. The differences between CAT Exam Pattern and GMAT exam pattern, based on several factors is tabulated below.

Marking Scheme Comparison

CAT 2021 Marking Scheme

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GMAT Marking Scheme

• GMAT has a set standard of marking unlike other exams.
• Candidates are marked between the range of 200 to 800. Marking pattern of each section is also different:
• 0 to 6 for Analytical writing assessment, 1 to 8 for integrated reasoning amd 6 to 51 for verbal reasoning and quantitative reasoning. 

Quick Links for GMAT Preparation:

Level of Difficulty Comparison

CAT vs GMAT - Level of Difficulty

• Overall, difficulty level of CAT is higher than GMAT. GMAT has a well defined syllabus which makes it relatively easier in terms of preparation whereas, CAT syllabus is not as well defined as GMAT, hence the time invested can be more too. The uphill task in CAT is the LRDI section, which has been very high on the difficulty level from past two years. On the other hand, GMAT has the IR section which is much easier than LRDI in CAT.
• Also, quantitative aptitude section of GMAT is slightly easier than CAT. On the other hand, Verbal Section of GMAT can be challenging for Indian test takers who are non-native English speakers. Vocabulary used in verbal section questions in GMAT are of comparatively advanced level. Therefore, for aspirants who find English a tough nut to crack, GMAT will not be a cakewalk.
• GMAT is an adaptive test i.e. the difficulty level of your next question depends on your performance in the previous question. Thus, GMAT is a test of ability as it constantly adapts and refines the test to your ability level. CAT has an objective level of difficulty for all its examinees. 

Difficulty Level of CAT Question Paper

The difficulty level of CAT held in 2020 is mentioned in the table below: 

Quick Links:

• CAT VARC Paper Analysis 
• CAT DILR Paper Analysis
• CAT Quant Paper Analysis

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CAT vs GMAT - Admission procedure after the test

Selection Process is an integral part of MBA admissions.The process comprises of various stages in both the tests.  After GMAT, admission procedure in most of the top colleges and universities consists of basic essay writing, sending letter of recommendation and interviews.

On the other hand, in CAT, you need to appear for:

• Group Discussion
• Written Ability Test
• Personal Interview.

CAT’s admission process is comparatively tougher than universities under GMAT. Dedicated preparation for group discussion and personal interviews is required after CAT. In GMAT, candidates with good command over the language will have a distinct edge in the selection process.

Top IIMs Selection & Admission Criteria:

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CAT vs GMAT – Course Fee Structure

• Funds required for pursuing an MBA program is a major deciding factor. Institutes under CAT have a relatively low course fee structure than those under GMAT.
• The highest fees you need for MBA in India is 20-22 lakhs, for IIM Allahabad, Bombay or Calcutta. Also, with a good CAT score, you can get admission in institutes like FMS (Faculty of Management Sciences), Delhi University, where fee is as low as 10000 per year.
• But on the other hand, under GMAT your fees can be around 40-50 lakhs or even more. You can always try your luck at scholarships to reduce the expenditure. 
• In this context, it is important to note that most students opt for education loans to pursue MBA at top business schools.
• However, taking a loan to pursue an MBA abroad can be tricky because of the fluctuating foreign exchange rates and high cost of living in those countries.

Also Check CAT Participating Institutes

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CAT vs GMAT - Profile requirements

• Candidates’ profile plays a crucial role for pursuing MBA after taking both the exams. For management programs offered by IIMs, you do not necessarily need a work experience. However it sure will give you an edge, but it is not mandatory.
• Besides, IIMs check your percentages in Class X, Class XII and Score in Graduation, and these do play an important role in selection. So, to get into an IIM, you do not only need a good CAT score, but a good academic record overall.
• On the other hand, most of the international universities do require at least 2 years of work experience. Mostly, there is no emphasis on your scores obtained in classes X and XII. Also, it should be noted that the quality of education and work experience does matter for top universities like Harvard. Therefore, experience in high profile companies, can help you land in top colleges accepting GMAT score.

CAT vs GMAT - Number of Attempts and Validity of Score

• Number of attempts available under both the exams is an essential factor too. CAT Exam is conducted only a year, which means that you have to appear in the exam on the date, place and time decided by IIMs. And in case you fail to deliver your best on the day, you will have to wait a full year for next CAT.
• However, appearing for the test is quite flexible in GMAT. The test is held within a definite window of dates, and you can choose any date to appear in the exam. Also, you can take GMAT 5 times in an year, and improve your scores. So somehow if you couldn’t perform well on any given day, the next attempt will not be a long stressful wait. It should be noted that you can retake the GMAT after 16 days of a previous attempt.
• CAT score is valid only for 1 year, which means that if you appear for CAT in November 2021 then the score thus obtained can be used for applying for programs in only. But GMAT Score has a validity of 5 years from the date of qualifying the exam. This is certainly a big advantage that you get with GMAT.

For a better understanding, some of the differences between CAT and GMAT are tabulated below:

Final Verdict – CAT or GMAT?

• Now, that you have seen an in-depth comparison of all the factors to take into consideration, it will be easier to take an informed decision. Both the exams have their shares of flexibilities and limitations.
• If you cannot not afford to take a very huge amount of loan and a costly international MBA, then CAT is an obvious choice. Also, for freshers who want to immediately pursue an MBA after graduation, CAT is the preferred option. Top 3 IIMs do come in top 100 institutes worldwide, while with GMAT you can get world’s best institutes.
• GMAT is a better choice if your performance in classes X and XII was average. Appearing for GMAT is obviously more flexible and the score are also valid for a longer duration with a wider acceptance. 
• The decision to take GMAT or CAT may involve a lot of factors. Candidates must choose the test after analyzing all the alternatives. MBA is a once in a lifetime opportunity, so take a well thought out and calculated decision for a successful career ahead. Good Luck!

Download CAT Sample Paper for Preparation:

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