The Role of International Branch Campuses in Global Business Relations

The expansion of higher educational institutions across geographical borders in the form of international branch campuses has skyrocketed over the past two decades. While the financial rewards of exporting educational opportunities to an all-new pool of students offer ample incentives, they're far from the only reason schools are setting up shop in far-off locations. This piece takes a closer look at the phenomenon of international satellite campuses, the role they play in global business relations, and one innovative business school that's leading the way.

The 411 on International Branch Campuses

While there’s no hard and fast definition of an international branch campus (“IBC”), most authorities -- including the Institute of International Education -- agree that every IBC comprises a core set of characteristics. Each IBC is:

- located in a region outside of its home campus country
- has a “bricks and mortar” presence, including classrooms, laboratory and research facilities and a library, in the host country
- is in some part owned by the home institution
- confers degrees in the name of the home institution
- comprises a student body in which the majority are residents from the host country or an alternate third country
While overseas branch campuses are not entirely new, they have become a massive phenomenon over the past couple of decades. In fact, according to the University World News Global Edition, the number of IBCs nearly doubled in one noteworthy three-year period.

And while the U.S. leads the list for exporting its educational offerings through IBCs, more and more countries are capitalizing on the concept. The United Arab Emirates, China, Singapore, Qatar and Canada, meanwhile, are popular host campus locations.

So to what can we attribute this meteoric trend? As international barriers continue to break down, societies, cultures and economies are experiencing unprecedented opportunities to connect. Factor in growing demand for high-quality educational opportunities in many countries with emerging markets, and the higher education sector was and continues to be ripe for the exponential growth of IBCs.

IBCs and Global Business Relations

We’ve already highlighted four of the top benefits for students of attending IBCs, but what about the benefits for the global business world -- particularly at a time when the interconnectedness of global markets is at an all-time high?

While IBCs are often discussed merely as strategies for reaching new students, their potential is far greater. In fact, for many progress-minded universities, global expansion is less about peppering the planet with disconnected satellite campuses, and more about fostering a global network which will satisfy the demand by today’s employers to find students with the multinational experiences and global skills necessary to survive and thrive in the competitive global marketplace.

In short, when both universities and students embrace mobility, the result is a global flow of knowledge into which today's businesses can easily tap.

Learning From One Thriving Example

Hult International Business School not only embodies the attributes characterized by leading IBCs, but elevates the experience to a different level. In addition to the school's domestic campuses in Boston and San Francisco, students also complete international rotations that can take them anywhere from Shanghai to Dubai.

In fact, Hult's cutting edge b-school model features a unique globe scanning program thanks to an international campus network comprising six different locations: Boston, San Francisco, London, Dubai, Shanghai and New York. Not only can students move easily between these campuses, but they can do so quickly: in one year alone,

Hultlstudents can learn in up to three different locations in order to best prepare for the global stage.

There’s a reason Hult lays claim to being the world’s most international b-school: the student body includes 140 nationalities, not to mention a faculty that’s taught and worked all over the world. It's also the world's largest ranked graduate business school. But Hult isn’t about just creating business leaders through extending its global reach. It also prioritizes fueling disruption which can foster essential evolution.

Consider this eye-opening fact: a staggering 40 percent of the world’s current Fortune 500 companies will have disappeared by 2021. Those looking to stay the course will need leaders with a keen understanding of international dynamics, as well as a commitment to innovation.

Just how successful is Hult’s approach? Out of a field of 100 schools, its revamped one-year MBA program -- designed with input from global business leaders -- received the Association of MBAs’ coveted Innovation Award last fall.

As the global marketplace continues to gain traction, the takeaways are clear: tomorrow’s business leaders will need a new skill set to rise above the challenges...and the competition. The schools most likely to succeed will follow Hult's example in promoting mobility and other outside-the-box innovation initiatives.

Photo Credit: Hult International Business School