First up, Martin, I'm sure you are aware of the tremendous growth in the popularity of the MBA degree over the past couple of years. Applications have been steadily rising at most b-schools nationwide. Stern, however, has made quite a mark. Its total number of applications has risen 91% since 1993 (when it was 2,214) to the present, where the number in front of me reads 4,235 ...

Actually, this year [for the Class of '99] we received a total of 4,244 applications.

That's quite a feat. Only Berkeley and Stanford's applications have increased to a greater degree [102% and 97% respectively]. Can you tell me why you think this is happening? Is it the due to the efforts made on the part of the school or is it the economy .. a combination of the two perhaps?

It's a whole bunch of things. Part of it is the effort on the school's part to increase the quantity and quality of people who apply and are accepted to the program. We've made a real effort through our outreach programs, which are seminars and informational sessions that we've done at 35 cities internationally and domestically .. everywhere from Atlanta, Ga., to Zurich, Switzerland. We'll be in places like Bangkok, Bogota, Frankfurt, and Jakarta, San Francisco, and Washington D.C. The outreach programs are sometimes independent informal seminars, or question and answer sessions. Or they can be part of the MBA forums, in which many schools participate.

I think our increased visibility and our enhanced academic rankings at NYU at large has had a halo effect on the business school. Couple that with the fact that New York City has begun to be perceived as a much better place to live and work -- you know, where the quality of life has improved -- and that has really helped us. So it is a combination.

How big is this year's class and how many people does the school need to admit to fill it?

The last couple of years our target has been about 410. This year we were able to accept a little over 19%. Our yield runs 50% to 60% usually.

Has that changed at all?

The selectivity has changed a lot. I mean, three or four years ago we were taking between 35% and 40% of the people. And this year we are under 20%. In fact, in 1993 we took 48%. Now, four or five years later, we're taking under 20%. We would suspect that our yield should go down but it has held steady at around the 50% mark. Last year it was 53%. This year it will be lower. I would suspect that it would be lower because we're competing for a much more selective student.

What are this year's application deadlines?

For the next class that would be applying for September of 1998, they need to have their application in by Mar. 15. Our deadline for the full-time domestic and international candidate is Mar. 15. If they're looking for a scholarship however, they must apply by Jan. 15. We use a rolling admissions process.

In addition to the full-time you have a part-time program?

No. We have an evening program which has always been highly-regarded. There, we take people both for the fall and for the spring. The fall deadline for the evening program is May 15, and for the spring it's Sept. 15. The evening program begins at the same time as the full-time program (if you're starting it in the fall) and is taught by the same faculty. The only difference is that the majority of the classes are taught in the evening and most of the students are a bit older and have more work experience. Instead of having three to four years of professional work experience, they might have seven to eight. The spring semester starts usually about the third week in January. This coming semester of January, 1998, the semester starts on Jan. 20. In the evening program, we take a smaller group. We take 225 people, not 425.

And what's the turnaround for response for the full-time MBA program?

We start receiving applications as early as November and December, and we try to respond within eight to ten weeks from the time we receive the packet.

What connotes a completed application, one that has everything for you to properly assess it?

We look at, like most other schools, a whole variety of things. The candidate has to be a graduate from an accredited undergraduate institution. He or she has to have at least two years worth of work experience -- and that's a requirement because we feel that the more work experience our students have the more they bring to the classroom. By and large, we do not accept anyone that doesn't have at least 24 months of professional work experience. Also necessary for a complete application package is the GMAT score, around two references, and we usually ask for three essays.

I noticed you didn't stick the interview in there. So I take it that's not required?

Interviews are not required but it is by our invitation only.

Can you list these variables in order of importance?

We really look at the whole individual. Its hard to prioritize. We probably don't weigh one variable more than the other. But obviously if one thing is weak we like to see something strong to offset that weakness. If, for example, an applicant's undergrad GPA is weak and their GMAT is strong, then we look for an explanation for that.

What do you feel is a below acceptable GPA?

It really depends on how that GPA corresponds on other parts of the application. The average GPA here is 3.3. We, of course, have GPAs above and below that though. If we have someone who had a 700 GMAT and a 2.0 GPA, you gotta know whether that person was immature during their undergraduate career, whether they were working 35 hours a week, etc. If it's out of character then we'd want to know why and that would inspire me to try and set up an interview with that person.

Is there a pre-application process at Stern?

We generally don't have that. If somebody will call and say to us: 'what are the requirements to get in?,' then we'll give them a profile about what the average GPA is, the range of GMAT for the middle 80%, the range in work experience .. And from there, they can compare themselves with that. But generally we don't discourage anybody from applying here.

How much weight does the GMAT carry for an application?

Certainly there's a high positive correlation between those people who do well on the GMAT and those people who do well in school. It clearly holds weight. A high GMAT score may help us take someone who we feel has a weakness somewhere else.

Do you keep a cutoff number, or threshold in your head when looking at applicants' GMAT scores?

Well, the scores keep on getting higher. Our range last year was 580 - 700 [for the middle 80%], and this year, the 80% range will be 600 - 720. So the bar is raising. So if we see somebody that falls well below that average, that will surely be a concern to us.

How many times is it "safe" to take the GMAT without losing credibility at your school?

We don't put a number on it. We encourage people to take the exam as many times as they feel is necessary. We don't average the score, we only look at the highest score. We do begin to wonder, however, when a person has scored a 730 and continues to retake the GMAT. What are that guy's priorities?

So, you mentioned briefly that interviews at Stern are not required?

They are not required but we generally interview almost everyone that we admit because if we have some questions or there are some people that we need some more info about, or just people that we're really interested in seeing .. we will call them to come in and be interviewed by the school or set up an alumni interview abroad. We will make an effort to interview 100% of the people we accept into the program next year. Last year we probably did (interviewed) about 95% of the people we accepted.

Do you feel that applicants put themselves at a disadvantage if they don't interview?

I don't think so. Almost everybody we invited said yes one way or the other. So we think it's an opportunity for us to get to know the individual and ascertain their maturity, focus, and academic ability. We think it's a plus. But, if it's somebody we can't get to in another part of the world, that will not hinder them.

So am I right to infer that the chances of getting dinged are much higher if you do not get invited to interview?

The majority of people that we call in for an interview are probably going to get taken. If we don't invite them .. if we can't get to them or we're sure enough about them being a positive addition to the Stern School, then we won't invite them. But I think you're right, the majority of people who get a call to come in for the interview should expect their chances to be good.

Do you, specifically, interview?

I have, yes. It's not my primary responsibility, though. I would say I interviewed about 20 or 25 people this year.

So, in addition to yourself, the others that interview are part of admissions staff as well as alumni?

We use a lot of people: admissions professionals, alumni, students as assistants in the admissions department, and other second-years that we know are pretty discerning of character and personality traits.

Many applicants become superstitious when they are interviewed by a student.

First of all, we're very selective in the people we choose for that. There is no difference (between the weight a student evaluator's report holds versus the admission director's). We choose people who like the school and who know about the chemistry of the school to carry out our interviews. With alums, we use those that we know and we've met and we really feel good about. So we tend to use the same people and we value their judgments.

How long do the sessions usually last?

Generally they last a half an hour, maybe 40 minutes.

What do you ask, generally?

Well, we have the application ahead of the interview. So it's not somebody who we don't know, you know? We know about them a little bit because we've already read the candidate's application. With that said, we can dispense with the "who are you" time and tend to be more focused on the "why" part. We're looking for vocational maturity .. somebody who has an idea of what they want to do with their life or who clearly addresses why they are switching careers. We want to know whether the candidate has thought about what an MBA is really about .. and has thought about NYU and why they may fit with the school. And certainly when we interview international students, we want to make sure they're comfortable studying in a foreign country and are comfortable with their English.

Has the essay format changed at all?

The format hasn't changed that much. It's usually three questions. We do change the questions every year, which is why when we encourage people to reapply we also advise them to not just reactivate their old file. We try to get people to spend some time thinking about the Stern MBA and how they can contribute to the program. We want to see organized thoughts when they do fill it out.

What do you look for in the essays?

Basically we're looking for someone who can answer the questions in a succinct, focused manner -- someone who spent time thinking about their response and answers the questions. I look for somebody who demonstrates a thought-out plan of how they want to answer the questions and can express themselves in a coherent and intelligent manner.

What mistakes do people commonly make in essays?

I think you probably hear this from everybody, but the major blunder is that they just don't answer the question. Maybe they're using canned responses or they have their own agenda, or ramble .. But they'll just miss the question entirely. Sometimes people write what they think we want to hear instead of communicating about who they really are. That's a mistake.

What type of recommendation should an applicant avoid -- besides the obvious? For example, is it inappropriate for a candidate to get a recommendation from a professor? Or should they generally be filled out by professionals?

We prefer professionals, somebody that knows them and works with them and can comment on their work and progress at their particular job. And we're looking for two recs. You can submit more, but there's a law of diminishing returns. Generally we like one from their immediate supervisor.

What's the ideal amount of work experience you're looking for?

I don't think there's an ideal amount. We want a minimum of 2 years but the average has gone up to 4 years. That seems to work well. It means that people bring more to the classroom for discussion. Since one-third of the class is international, we believe that they contribute a lot that domestic students are unaware of and that work experience really helps there.

Do you accept, or have you accepted people into your program without any work experience?

It's very rare but we do accept some occasionally. We have a joint JD/MBA program and some students involved in that have no prior work experience. And occasionally the school will accept a very limited number of candidates to the full-time MBA program -- but that's an exception to rule there.

How important a variable are extracurricular activities for you when evaluating a student?

Well they're interesting because they give you a little more insight into the individual, in terms of their motivation and interests. So it is helpful.

Is it a red flag if a candidate doesn't have any extracurricular involvement?

Not necessarily. If they've had a very demanding work schedule after coming out of school, for example, then that may be understandable.

Do you allow accepted applicants to defer?

No. I mean, never say never, but our policy has been that we do not allow deferral. We just found that for us it just doesn't work.

About how many applicants were waitlisted in 1997?

I don't know the exact number and it kinda varied throughout the year because we put some people on the wait list, received something about them and either took them off or didn't. We accept very few off the waitlist. At any one time it might have been 40 or 50.

Does that mean that if you're put on the waitlist that it's a good time for the applicant to start looking at other schools?

We had 10 applications for every one spot this year. The fact that they were put on the list means that we saw something good but we just weren't ready to admit them. But you're right, if somebody is put on the waitlist, the chances are not good that they'll get in. And that's why we try not to put too many people on the list. We view it more as a positive than a negative because we're pretty selective. So there is a positive sign if you're on the waitlist. If we had more places in the class that person would have been accepted.

Do you utilize the wait list frequently? I know that schools view their waitlists differently. What's Stern's position?

Probably not very often. But if there's anything they (waitlisted applicants) think might be helpful -- generally it's too late -- but if they have a very positive review from a supervisor or had an article published or something like that, certainly they can make us aware of it and send it in to us.

Do you encourage rejected applicants to re-apply?

Yes. We encourage applicants to re-apply because each year stands by itself. If they feel something is weak in their application then we encourage them to improve it, whether it be their GMAT, a need for stronger references, a need to do a better job on their new essays for the following year...

Can Stern coursework correspond with other schools under the NYU umbrella? For example, NYU has a notable film school. Is it possible for a Stern MBA to design an entertainment management emphasis along the lines of the UCLA program?

Yes. They can do that. We're exploring a more formal joint program with the Tisch School of the Arts. I would say that within the next year or so that would be a possibility. People can take electives outside of the business school. We also have a concentration here called EMT, which stands for "Entertainment, Media and Telecommunications." And it's a new area for us. It is a specialization for students to take elective courses in cable, television, and the Internet.

Martin, I know that you are also responsible for overseeing financial aid at Stern. Let's talk a bit about that. But first, can you tell me what this year's tuition is?

Tuition will be above $22,000. The exact number for full-time tuition and fees is $25,486.

Is that an increase from last year?

Yes. We just raised it. I think its a 3% raise from last year.

Can you cite any reason(s) for the increase?

Basically, the rationale was to be able to fund endowed chairs for faculty that we already have here, to attract senior level, high quality faculty outside of our program, and expand and continually innovate in the curriculum. Also we raised the tuition in order to expand services in areas like advising and placement that the students felt were necessary.

And what would you estimate the cost of living to be for one year?

The estimated expenses are about $15,000

Do you have any idea, percentage-wise, how many students in the class of '99 received some kind of financial aid to help them cope with this tremendous financial burden?

About 80% of the students get some kind of financial aid in the package and the average is about $20,000

What type of scholarships does Stern offer its students? Can you give me some examples, such as the Dean Scholarship?

We do have the Dean scholarship which is a full tuition scholarship for two years and it is merit-based.

Is the Dean Scholarship open to both international and domestic students?

Yes it is.

About how many of those are available?

Last year, about 3% of the class were Dean Scholars. But about 36% received some kind of financial aid, and that's excluding loans. There are other scholarships as well but they may not be full scholarships.

What type of advice do you have for prospective applicants and current students out there about the best ways to garner aid? Web sites, organizations, etc.?

There are a whole bunch of ways. We have financial aid counselors. We'll also tell them all the government ways to look for financial aid. So we do a lot of counseling with the students. It's posted on our website [http://www.stern.nyu.edu]. It's also explained in our view book as well.

I know that many people view Stern's greatest asset to be its location: close to Wall Street, and a city that has an abundance of company headquarters. The school is sitting right on the pulse of the business world. Do you agree with that assessment?

Yes, I do think it is one of Stern's greatest assets. I think one of the things that attracts people to Stern is the location. We sit about a mile from Wall Street and maybe a mile and a half from midtown Manhattan. It gives our people tremendous access to major consumer products companies and major financial services companies. I hear on the television program CNN Business the anchors saying 'live from the business capital of the world,' and I think that is the case. I think we are the business capital of the world.

So the location must play a wonderful role in Stern students garnering challenging and useful internships?

Yes, it most certainly does.

Has there been any growth in the scope of internships available to Stern MBAs?

We've had about a 20% growth in internships at both small and large companies over the last two years. And the other thing about the location is that we have 200 faculty and 100 adjuct faculty who are professionals in industry. And that's a huge asset. These are people who are 'doing it' during the day and coming to teach during the night .. anything from financial engineering to brand managment.

But there is, of course, a downside to Stern's geographic location .. such as the cost-of-living and housing. What's the housing situation like?

Housing is a challenge for us here and it's something that we're trying to address. Because we're sitting in Greenwich Village, on the cusp of Soho, it's very expensive. Because NYU has become a popular school, it is housing a lot more students throughout the university -- and that makes housing space competitive.

One of the things we're looking to do is buy a building in the area that we can convert into graduate business housing much like the law school has done. I think that in the next two years it will come online and we will resolve our housing issues. The university is building on the site of the former disco club Palladium, and that building will soon become a multi-purpose dormitory space, some of which will be dedicated to graduate business space.

Is the location amenable to families? Do you have any programs in place that function as family or spouse support groups?

We are doing a lot more with married students because we're seeing a small increase in numbers of couples applying. We have started some programs here where we include spouses or significant others. For instance, during orientation we had a cocktail party and invited spouses and significant others. We've also put together a group to help but spouses together with each other so that they can learn about the city together, support each other, and look for jobs together if they need to.

What type of applicant do you feel might be better served at another MBA program? You know better than I that a school/applicant fit isn't one size fits all.

This is not a place for everyone. As the Dean [George Daly] says 'we don't do cocoa in the woods." This is not an ivory tower, bucolic setting. If somebody is looking for that then this is not a place that would be a good fit.

Who are your toughest competitors? In other words, with which schools do you most often compete for students?

Probably Wharton, Columbia, and the University of Chicago. Those are the schools that we tend to compete with most often.

You bring up Columbia, a school that also takes advantage of the New York location, but its campus is lush and has a bucolic, set-apart feel that Stern distinctly does not.

Well, I think Columbia's campus is really an enclave in a big city. The type of campus I'm really talking about would be at Dartmouth College in Hanover, New Hampshire. The people who like it here tend to be very interested in studying in a place that is fast-paced. They have access to a lot that is very internationally and globally focused. This is an urban campus. We think that that's a major plus for us. Exposure, access, and opportunity -- those are the things that Stern students should be looking for. As the old song goes: "If you can make it in New York, you can make it anywhere." And I think that's probably true.

Why don't we end on a light note. I've heard through the grapevine that Stern is the best place to have a "beer blast." Could you tell what that's all about?

I guess every school could probably lay claim to that. Every Thursday night we have a beer blast where the full-time students get together to meet each other and network and socialize together. If they want to carry it further there are a number of other places to visit. This is a very interesting place. There's a lot of camaraderie, and Stern's environment is a supportive one. For example, for "pre-term" this year -- a one week orientation before classes start -- we had 80 second-year students come back to school and cut their summer vacations short to help set up and organize the events. It's too serious here to be a party school. But it is a school where people help each other, challenge each other, and occasionally blow of some steam and party together.

Martin, Thanks much for speaking with me today.