24 Occupational Outlook Quarterly • Winter 2008–09

Dina Itkin

Dina Itkin is an 

economist in the 

Office of Occupational Statistics 

and Employment 

Projections, BLS. 

She is available at

(202) 691–5713 

or itkin.dina@bls.

gov.

When Jon Barron graduated with a bachelor’s degree in 

business, he had many career options. He just didn’t 

know which one to pursue first. 

Barron was not alone. By the time most business majors earn 

their undergraduate degree, they understand business operations, 

have quantitative and reasoning skills, and are prepared for many 

entry-level business positions. The problem for these graduates, 

however, is that they’re not always advised where to apply what 

they’ve learned in the classroom to the workplace. 

It is often challenging to identify and evaluate career options 

because business is a broad field. Ultimately, Barron chose a 

job as a consultant because it offered him an opportunity to gain 

experience in a variety of business functions. 

Career 

beginnings 

for business 

majors
Winter 2008-09 • Occupational Outlook Quarterly 25

Keep reading to learn more about consultancy work and two other common ways 

for recent undergraduates to gain experience 

in business: as a financial analyst and in a 

management-training program. This article 

describes some of the tasks that these workers 

perform, projects they complete, and skills 

they develop during their first years in a new 

career. It also provides data on the wages that 

a business major might earn when starting 

out. Another section lists additional businessrelated occupations. Resources for finding 

more information are at the end of the article.

Career options for 

business majors

Business is, by far, the most popular field of 

study among undergraduates. According to 

the U.S. Department of Education’s National 

Center for Education Statistics, more than 

318,000 of the nearly 1.5 million bachelor’s 

degrees awarded in 2005–06 were in business. 

This was nearly double the number of degrees 

awarded in any other field of study. (See table 

1 on page 26.) 

Career preparation may be the primary 

reason that business is a popular major for 

undergraduates. Business majors’ coursework 

in business strategy, statistics, accounting, 

finance, and operations management gives 

them skills in quantitative analysis. Research, 

writing, and presentation assignments enhance 

their ability to gather, analyze, and present information. Many projects are done in groups, 

so students learn to work cooperatively. 

This training is important to employers, a 

fact reflected in the competitive salary offers 
26 Occupational Outlook Quarterly • Winter 2008–09

that business majors receive when they enter 

the job market. National Center for Education 

Statistics data show that after a year in the 

workforce, business majors earned about 16 

percent more than the average salary for all 

majors. Statistics from the National Association of Colleges and Employers provide a 

snapshot of how salary offers vary by specific 

business field of study. (See table 2.)

Earnings potential contributes to the 

decisionmaking process in choosing a career. 

But so can experience potential. Of three 

popular choices among entry-level business 

majors—business consultant, financial analyst, and management trainee—each provides 

an opportunity to gain relevant skills for a 

long-term career in business. 

Business consultant 

Business consultants, also called management analysts, help clients improve business 

performance, efficiency, structure, or profits. 

These workers identify the clients’ business 

problems and analyze data and other information to recommend solutions. Business consultants in some firms also serve as mediators, 

resolving conflict between managers. Other 

core tasks may include developing records 

management programs and helping to implement new systems or organizational changes.

Throughout a project, consultants often 

collaborate and discuss ideas. At Jon Barron’s 

firm, for example, most consultants work in 

teams of two to five people. A typical project 

might involve brainstorming, independent 

research, and team analysis. After Barron and 

other consultants develop a recommendation, they present a report explaining how the 

team broke down the problem and outlining 

the next steps. His team also must justify 

the amount of money that the client will be 

charged. 

Barron enjoys putting his degree in 

finance to use in analyzing business problems from a financial perspective. During 

one consulting project, Barron’s team had to 

determine how to improve inventory management for a retailer that was using 10 different 

paper suppliers. “Our team observed and analyzed the client’s operations for 1 month and 

decided that the company needed only 1 paper 

supplier,” he says. “We renegotiated a contract 

and analyzed the new relationship with the 

contractor.”

Consultants gain experience working with 

a variety of industries and businesses. Some 

consulting firms specialize in an industry or 

business function, such as logistics, marketing, or human resource management. Other 

Table 1

Top 10 bachelor's degrees conferred in 2005–06, by academic discipline

Academic discipline Number of degrees conferred

Total 1,485,242

Business 318,042

Social sciences and history 161,485

Education 107,238

Health professions and related clinical sciences 91,973

Psychology 88,134

Visual and performing arts 83,297

Communication, journalism, and related programs 73,955

Biological and biomedical sciences 69,178

Engineering 67,045

English language and literature/letters 55,096

Source: U.S. Department of Education, National Center for Education Statistics.
Winter 2008-09 • Occupational Outlook Quarterly 27

Table 2

Average salary offers for selected bachelor's degree candidates by major and job function, 

January 2008

Job function

Major field of study

Business 

administration, 

management

Logistics, 

materials 

management

Marketing, 

marketing 

management

Finance Accounting All majors

Consulting $58,885 $54,000 $52,900 $54,300 $56,222 $55,844 

Financial and treasury analysis 50,167 54,000 49,300 52,796 52,682 52,212

Management trainee 

(entry-level management) 39,285 46,848 36,600 39,900 45,200 42,396

Source: National Association of Colleges and Employers, Winter 2008 Salary Survey. 

firms provide general consulting services. For 

Barron, whose firm’s clients include many 

types of businesses, it was the opportunity 

to develop expertise in a variety of areas that 

attracted him to the job. “I get to work with 

companies ranging from retailers to automobile suppliers to golf club manufacturers,” he 

says. 

Working as a consultant is appealing to 

business majors because the pace is often 

fast and the tasks frequently change. But 

entry-level consultants must be prepared to 

perform less interesting administrative duties, 

too, such as processing expense reports and 

preparing client bills.

Outlook and wages. Total employment 

of management analysts is projected to grow 

22 percent between 2002 and 2016, according 

to the U.S. Bureau of Labor Statistics (BLS). 

This rate is much faster than the average for 

all occupations. 

Strong competition for jobs is expected, 

because business majors are attracted to the 

work’s potential for being challenging and 

financially lucrative. Qualified applicants have 

diverse educational backgrounds and, sometimes, work experience.

Management analysts earned a median 

annual wage of $71,150 in May 2007, according to BLS, more than double the median wage of $31,410 for all occupations. (A 

median wage is the wage at which half of all 

workers in an occupation made more than that 

amount and half made less.) 

Variation in wages is due to differences 

in experience, employment across different 

industries and geographic areas, and other factors. The lowest earning 10 percent of management analysts—a group likely to include 

recent bachelor’s degree recipients—had 

annual wages of $40,860 or less. The highest 

earning 10 percent made $131,870 or more 

per year.

Qualifications and advancement. To succeed in their work, business consultants need 

to be self-motivated and analytical. Strong 

skills in oral and written communication, 

proficiency in spreadsheet and presentation 

software, and creativity also are important. 

“On the job, I have to organize my thoughts to 

guide the client to my point, and not just state 

an opinion,” says Barron. “I have to represent 

the firm and communicate with diverse audiences of different ages and levels of expertise.” 

In traditional management consulting 

firms, entry-level consultants often start out 

as research analysts and progressively get 

more responsibility. Consultants who aspire 

to higher level positions often work toward 

becoming a partner or director in the firm. The 

length of time for advancing depends on the 

firm as well as the worker.

Financial analyst

Financial analysts identify trends, develop 

forecasts, and assess the risks of various 

investment decisions. They use spreadsheet 
28 Occupational Outlook Quarterly • Winter 2008–09

and other computer software to organize and 

analyze economic and business information. 

On the basis of the results of this analysis, 

they write technical reports that might include 

investment recommendations.

There are many types of financial analysts, but they are grouped into two basic 

categories: buy-side and sell-side. Buy-side 

analysts work for institutional investors, such 

as mutual-funds investors, hedge-funds investors, and insurance companies; they devise 

investment strategies for a portfolio of stocks, 

bonds, and other financial products. Sell-side 

analysts help securities dealers, such as investment banks, to sell their products.

Some financial analysts, called ratings 

analysts, evaluate the creditworthiness of 

companies or governments. Other financial 

analysts perform budget, cost, and credit 

analysis as part of their responsibilities.

Financial analysts at large firms may specialize by industry, region, or type of product. 

Analysts must develop and maintain expertise 

in their specialization and be aware of regulatory, policy, or other changes that may affect 

the firm’s investments.

Meredith Porter recently graduated with 

a degree in finance and has put her training to 

work as a buy-side financial analyst in the information technology field. Like the job tasks 

of many entry-level financial analysts, hers are 

largely routine. Typical duties include keeping track of financial statements and invoices, 

compiling and updating reports, organizing 

data, and reviewing records for accuracy. Any 

discrepancies she discovers may require additional research to solve the problem.

Some financial analysts work independently; others work mostly in teams. Even 

those who work independently, as Porter 

Financial analysts study 

trends and recommend 

investment decisions.
Winter 2008-09 • Occupational Outlook Quarterly 29

usually does, require the knowledge of other 

experts in their firm—and this is especially so 

for newer analysts. “I regularly consult with 

the senior analysts and the contracts and operations team to ensure that what I am doing 

is correct,” Porter says. 

Outlook and wages. Employment of 

financial analysts is expected to grow by 

34 percent between 2006 and 2016, much 

faster than the average for all occupations. A 

primary impetus for this growth is the increasing complexity of investments. For example, 

as the number and types of mutual funds and 

the amount of assets invested in these funds 

increase, mutual-fund companies are expected 

to need more financial analysts to research 

and recommend investments.

The median annual wage for financial 

analysts in May 2007 was $70,400. The 

lowest earning 10 percent of all financial 

analysts made less than $42,280, and the 

highest earning 10 percent made more than 

$137,210. These data include performancebased bonuses, which are often a significant 

part of analysts’ wages. The wages for this 

occupation varied by industry and geographic 

location.

Qualifications and advancement.

Financial analysts must have strong math, 

research, data analysis, and problem-solving 

skills. Their reports include complex financial 

concepts, so analysts need to understand how 

money markets and the economy operate. 

They must be able to use computers; familiarity with spreadsheet and statistical software 

is especially important. And analysts must be 

able to work both independently and as part of 

a team.

Depending on the nature of their work, 

analysts may be required to get licenses or 

certification.

College graduates with a degree in any 

business field usually have the training that 

employers seek for entry-level financial 

analysts. Regardless of major, though, taking 

some courses may give new financial analysts 

an edge. For example, extensive knowledge of 

finance or accounting may not be required for 

Communication skills 

are important for a 

career in business.
30 Occupational Outlook Quarterly • Winter 2008–09

entry-level financial analyst jobs, but coursework in those subjects is recommended.

Advancement opportunities for financial 

analysts include leadership and management positions. An entry-level analyst might 

advance to a lead analyst, for example, and 

the training and leadership experience gained 

in that role could pave the way to becoming a 

manager. 

Management trainee

Some students who have a bachelor’s degree 

in business choose to get practical experience 

by working in management training or career 

development programs. These programs 

usually last 1 or 2 years and allow trainees 

to rotate job assignments. Each assignment 

is intended to instruct trainees about a different part of the business or industry operation. 

Ultimately, a trainee may be offered a management position in the company. 

These programs are ideal for those who 

are interested in a particular industry but do 

not yet know which business function they 

prefer. At a retail store, for example, a trainee 

might work in all departments—including 

customer service, sales, human resources, 

and the warehouse—before being evaluated 

for a manager’s position in a specific department. In a larger corporate training program, a 

trainee’s rotational assignments might include 

working on cost analysis, legal contracts, program management, and strategic planning. 

Other programs train managers to work 

in a particular area of the company. Management trainees in these programs learn about 

a single operational function in greater depth 

than they would in a more general training 

program. For example, a program preparing 

workers for a career in logistics—the administration of moving and storing goods—might 

rotate trainees through the distribution center, 

purchasing center, and branch offices. 

Chris Murray, a recent college graduate 

who majored in finance, worked as a management trainee. He started as a business 

analyst for a defense contractor and rotated 

through several positions in the company. 

“My job over the first 2 years changed every 

4 months,” he says. He performed a variety of 

tasks in different departments. While working 

with contracts, for example, Murray handled 

Management training 

programs allow 

participants to rotate job 

assignments and gain 

exposure to different parts 

of a business.
Winter 2008-09 • Occupational Outlook Quarterly 31

the correspondence from U.S. and foreign 

customers and worked with his company’s 

export department to ensure that proper procedures were followed in dealings with foreign 

customers.

Outlook and wages. The job functions 

performed by management trainees usually span several occupations. As a result, it 

is difficult to specify a median wage for all 

trainees. BLS does have wage estimates for 

several occupations into which trainees are 

commonly placed, including general and 

operations managers; transportation, storage, 

and distribution managers; compensation and 

benefits managers; and sales managers. 

In May 2007, median annual wages 

for these occupations ranged from $81,410 

for compensation and benefits managers to 

$94,910 for sales managers. Wages varied by 

industry and geographic location.

Across these occupations, annual wages 

for the lowest earning 10 percent of workers 

varied little, ranging from $43,990 to $46,050. 

Annual wages for the highest earning 10 percent of workers in these occupations ranged 

from $126,440 for transportation, storage, and 

distribution managers to more than $146,500 

for general and operations managers and for 

sales managers.

Management trainees, however, usually 

have wages that are near the lowest earning 

percentile. Managers with many years of experience are likely to have higher wages. 

Qualifications and promotion. Management trainees should be energetic, be adaptable, and welcome the challenges of rotating 

Employers value many of 

the skills business majors 

bring to the workplace.
32 Occupational Outlook Quarterly • Winter 2008–09

into different jobs. In addition, trainees usually need patience, negotiation skills, and the 

ability to analyze data. 

Coursework in business subjects helps 

to prepare students for being management 

trainees. Time management, spreadsheet software, financial analysis, critical thinking, and 

writing skills are especially valuable. Murray 

emphasizes the importance of interpersonal 

communication for trainees in a rotational 

program. “Knowing how to communicate 

with people is essential to being a team player 

and getting work done,” he says.

Good rotational programs help trainees 

narrow their career choices, and their experience may impress future employers. And 

although the programs introduce trainees to 

different management tasks, they also introduce trainees to employers. Often, trainees 

who perform well are asked to stay. 

In addition, these programs help trainees 

determine the specific industry or business 

operation that best suits their skills. 

For example, Karen Olsted discovered 

through a training program that her outgoing 

personality is a perfect match for the retail 

distribution industry. Olsted put her operations management degree to work with a large 

distributor, focusing primarily on inventory 

management.

At one point during her training, Olsted 

followed the advice of one of her professors 

and moved her desk from an office into the 

company’s warehouse. This tactic allowed 

her to suggest improvements based on seeing 

for herself how things were running. “The 

warehouse workers loved it because I was 

accessible when they had a problem,” says 

Olsted. “Once I was there, I was really able to 

get things done.”

Other career options

Business study prepares jobseekers for a range 

of careers. Some business occupations require 

experience in addition to a bachelor’s degree; 

other positions require more education, such 

as a master’s of business administration.

Among the other career options in business-related occupations are the following.

Advertising and promotions managers. 

These workers plan and direct advertising policies and programs. They produce materials to 

promote goods or services for a department, 

an organization, or an account. (For a detailed 

description of advertising account executive 

work in the toy industry, see “Toy jobs: Work 

in the business of play” elsewhere in this issue 

of the Quarterly.)

Budget analysts. Examining budget estimates for completeness, accuracy, and conformity to procedures and regulations, budget 

analysts review budgeting and accounting 

reports to maintain control on expenditures.

Compensation, benefits, and job analysis specialists. These specialists conduct 

programs in compensation, benefits, and job 

analysis. They may concentrate in specific areas, such as position classification or pension 

programs.

Financial examiners. Examiners enforce 

or ensure compliance with laws and regulations that govern financial and securities 

institutions and financial and real estate transactions. Their tasks may include reviewing 

and verifying the accuracy and authenticity of 

financial records.

Insurance sales agents. These workers 

sell life, property, casualty, health, automotive, or other types of insurance. They might 

work as independent brokers or be employed 

by an insurance company.

Market research analysts. By researching market conditions in local, regional, or 

national areas, these analysts determine potential sales of a product or service. They gather 

information about competitors, prices, sales, 

and methods of marketing and distribution. 

And they may use the results of the research, 

such as information about preferences and 

buying habits, to create marketing campaigns 

based on their findings.

Public relations managers. Public relations managers plan and direct programs 

that establish a favorable public image for an 

employer or client. Those engaged in fundraising plan and direct activities to solicit and 

maintain funds for specific projects or organizations.
Winter 2008-09 • Occupational Outlook Quarterly 33

Sales managers. Directing the distribution of a product or service to the customer, 

sales managers establish sales territories, 

quotas, and goals. They also set up training 

programs for sales representatives, analyze 

sales data to determine sales potential and 

inventory requirements, and monitor customer 

preferences.

Securities, commodities, and financial 

services sales agents. These agents buy and 

sell securities in investment and trading firms 

or sell financial services—such as loan, tax, 

and securities counseling—to businesses and 

individuals. They also might advise customers about financial concerns, such as stocks, 

bonds, and market conditions.

For more information

This article focused primarily on entry-level 

options for students with a bachelor’s degree 

in business. Of course, there are numerous 

occupations that provide business experience. 

For more career guidance information, 

visit your local library or career counselor. 

Look in the Occupational Outlook Handbook

(online at www.bls.gov/ooh) for occupational 

descriptions, job outlooks, educational requirements, and more. For wage and employment statistics for more than 800 occupations 

by industry and geographic area, visit the 

Occupational Employment Statistics Web site 

at www.bls.gov/oes. 

Some students with business degrees 

might be interested in entrepreneurship. The 

U.S. Small Business Administration has information to help people start and build a business. For more information, contact

U.S. Small Business Administration

409 3rd St. SW.

Washington, DC 20416

Toll free: 1 (800) U–ASK–SBA 

(827–5722)

www.sba.gov/smallbusinessplanner/

plan/index.html

answerdesk@sba.gov.