CAT vs GMAT vs GRE Exams for MBA: Major Differences for Indian Students 2025

There are over 400,000 students around the world who take the GRE, GMAT, SAT, ACT, IELTS, TOEFL and CAT exams each year. Each exam has different academic and career goals.

For some students, deciding which one of the three exams to take can be highly daunting, and each of these exam’s structure and level of difficulty as well as what programs they can gain access to has made the numbers growing or remaining quite constant as everyone is left confused and concerned.

The real issue here is taking some time in deciding which test fits your aspirations plus highlighting your strengths. So whether you are aiming for an MBA, business school abroad, or taking a stab at the elite institutes in India, you should put in the time to make sure to not prepare for months for the wrong test.

The challenge here is to demystify what tests provide access to some of your career goals.

What Is The CAT Exam for Business School Admission?

The CAT Exam (Common Admission Test), is the major gateway for India’s premier Indian Institutes of Management (IIMs) and many other top business schools. CAT determines students’ verbal ability, quantitative ability, and data interpretation skills, all of which are critical to studying an MBA for a graduate-program.

When thinking about CAT vs GMAT, you have both similarities and differences in exam type and purpose. For example, the GMAT has an analytical writing section and the CAT does not, and CAT scores have limited use to Indian institutions.

If you are sifting between accepting CAT or GMAT for your MBA program in your future, it is important to know what your career path looks like. This includes the common GMAT-GRE discussion when considering programs in India and globally.

If you are more inclined to apply to graduate management admission programs internationally, your score may be more beneficial from the GMAT (including the updated GMAT Focus). However, if your aim is more specific to Indian schools like the IIMs, then the CAT will suffice because CAT scores are accepted by Indian institutions.

Understanding the basic differences between exams, such as test fee and exam range will help you to make the right choice for your career.

Who Should Take the GMAT Exam?

The GMAT exam, or Graduate Management Admission Test, is specifically built for candidates seeking to pursue an MBA or postgraduate management program at leading business schools internationally. If you’re looking for elite schools that prioritize GMAT scores, such as Harvard, Stanford, or INSEAD, then the GMAT is usually a better fit than the GRE-test.

Furthermore, the new GMAT Focus edition provides an improved test, which includes newly revised sections like data insights and more adaptive questioning. Make a note of the GMAT test-taking tips as well.

If you are contemplating whether the GMAT is the right test for you, it is ideal if you are applying to programs that take good quantitative and verbal reasoning skills seriously and those that consider analytical writing. A good GMAT score, while also in the data insights section, is an important component to show capable quantitative and verbal reasoning in a competitive MBA application.

Business schools that take the GMAT test view the GMAT as a good predictor of success in a rigorous management program. Ultimately, your choice of GMAT versus GRE comes down to the programs and schools you are targeting. The difference between the GMAT and other entrance exams like the CAT is really about the potential for international recognition, and similar in terms of program focus.

Why Should International Students Go for the GRE for MBA?

Typically, international students take the GRE, because it is accepted by graduate programs all over the world. This includes business schools, while the GMAT is only focused on management programs. The GRE offers the versatility to apply to any graduate-program, not only management. 

If you are trying to decide between GMAT vs GRE, the GRE is a standardized test acknowledged worldwide, so it is obviously the best choice for international students in consideration of the top programs around the world. 

The main benefit of the GRE is that it is accepted by thousands of graduate programs, including MBA programs, many of which accept GMAT scores. GMAT was purposely designed as an adaptive test for business schools while GRE facilitates students registering for almost any program. 

As an MBA applicant if you do not know whether to take the GMAT-GRE, it does come down to your unique career goals. It should be noted that to apply to graduate programs in business, many business schools accept both GMAT-GRE scores, so be sure to look at the baseline score you might need, and start your preparation.

What are GMAT vs GRE Key Differences?

The most notable distinction between the two tests, GMAT vs GRE, is the orientation of the two tests. Broadly speaking, GMAT is focused on business school admissions, while GRE tests are more broadly acceptable for graduate schools.

Business schools, especially the most elite MBA programs, tend to favor applicants with a strong GMAT score, but many of them have recently opened up to using GRE scores. Therefore, if you are considering pursuing a Master’s degree that may or may not be an MBA, the GRE test may provide you with greater flexibility.

For those MBA applicants out there trying to decide between GMAT-GRE, you should know your baseline score and begin your GMAT studying, or GRE studying for that matter. The GMAT is an adaptive test that assesses discrete skills in quantitative reasoning and analytical writing, whereas GRE has more sections and allows for greater variability in scores.

Understand the gap between GMAT attempts as well. The GMAT costs more than the GRE and the content covered on the GMAT is more narrow and focused on business skills. In contrast, CAT tends to be relatively more difficult for Indian students for two reasons: it is focused on verbal ability, and it has quantitative skills like the GMAT.

Therefore, if you are not certain whether to take the CAT or the GMAT, taking a free GMAT mock test or learning the difference between CAT and GMAT tests can help you understand your options. While many Indian MBA aspirants opt to take the CAT, business schools will universally accept GMAT scores worldwide, making it the most versatile option. 

As GMAT and other MBA journeys are only starting, I highly recommend looking at online GMAT preparation company resources, or at least trying a GMAT prep when you try our free GMAT resources to find a comfort level in a program that works for you.

If you are preparing for the CAT, take a free GMAT mock test, and/or thinking about studying for the GRE, choosing the correct test will depend on your career plan and preferred study program.

What is the Difference Between CAT and GMAT?

Fundamentally, the difference between the GMAT or CAT comes down to their focus and target institutions. The CAT is administrated for Indian management programs, particularly for the coveted Indian Institutes of Management (IIMs) while GMAT is a global standard for business school entrance.

GMAT is also an adaptive test, meaning that it adjusts based on your responses while the CAT is linear and the difficulty level does not change. Also, the GMAT contains sections like analytical writing and integrated reasoning are not contained in CAT. You can ace the GMAT with a test guide even.

The CAT fees for Indian MBA aspirants is INR which is less than the GMAT exam fees which can be higher than the CAT fees. The format and duration of the CAT is also less stressful because the exam is 3 hours long for both exams but GMAT test-takers must contend with a more diverse format.

If you’re still undecided about which test to take, going through a free GMAT mock test or figuring out which test meets your career goals better may help you decide which exam is more suited for you.

Your MBA decision will factor into whether you are oriented towards a global business school that accepts a GMAT test score, or if you are going to pursue an MBA in India through the CAT process, and that determines your MBA and what you want to pursue in your career and their particular goals.

CAT vs GMAT vs GRE  

Each of the exams provides its specific focus and purpose in CAT-GMAT-GRE. The CAT is located in India for admission into Indian management programs (IIMs), the GMAT is the most widely accepted for admission into business school with global recognition, and the GRE-exam is accepted for degree programs that can include some business or non-business programs.

Keep a note of GMAT preparation time as well.

The GMAT is an adaptive test (the difficulty adapts based on your answers) taken by global business schools. The GRE-exam is also a standardized test but it is more flexible, as you can apply to various kinds of programs beyond business. Looking at the exams from a viewpoint of difficulty, many people feel the CAT is more difficult, especially students from Indian universities.

For example, the CAT focuses on verbal ability and quantitative skills. As you decide between the three tests, the GMAT or GRE will be more appropriate for those thinking of going to international schools. The CAT is only useful to those thinking about Indian MBA programs.

In deciding, you should think about your career goal and whether you want to go with specialized business study or the flexibility of the GRE. Please also keep in mind that the fee for GMAT is relatively higher than the CAT fee, which would emphasize decision-making.

Conclusion

When it comes to selecting the CAT, GMAT, and GRE exams, understanding your academic and career goals will guide you in your best selection. The CAT is your best option if you are planning on applying to top Indian business schools like the IIMs. On the contrary, the GMAT is highly preferred by business schools worldwide, especially for MBA programs.

Lastly, the GRE is a solid option if you would like diverse applications in different fields of study. Understanding the major differences between the CAT, GMAT and GRE exams can assist you in making the right choice so you have the best chance for success in your MBA applications or graduate studies.

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