‘Kellogg has saved me millions of dollars’
By Chris Lugo ’23, Executive MBA (EMBA) Program
I have wanted an MBA since I was a 22-year-old recent college graduate in my first “adult” job at Genentech. They offered an MBA as part of an executive retention program, but I had already been interviewing at dental schools and never thought business school was an option because I was on track to become a dentist. At the same time I was accepted to Harvard School of Dental Medicine, I was offered a new role at Genentech, which included an option for getting an MBA. In the end, the Harvard name won, and I left my first opportunity to get an MBA on the table.
During dental school, I learned that MIT offered an MD-MBA dual degree. They offered it to dental students as well because we were part of the medical school. Being so immersed in my program, I could not imagine having time to do another degree. Unfortunately, I once again did not take this opportunity, putting the thought of business school aside. I was getting a fantastic education, but none of it revolved around business.
As I started working as a pediatric dentist, I learned many people had a stereotype about my field: “If there is a bad business deal, a dentist will always take it.” I saw many friends and colleagues take high-interest loans for luxury items, buy failing businesses and get swindled with “get rich quick” scams. I wanted to learn more about entrepreneurship and business but could not see a way to go back and get another degree. It was not until I decided to step away from clinical dentistry and focus on managing my five offices that I had some “free” time. I also had no idea how to be a manager. It was not until I talked with one of my associate's husbands about his Executive MBA journey that I knew I could return to school and still work.
Throughout my education, I’ve been drawn to universities and particularly programs that are well-respected and hold high esteem within my corner of work. When I decided I wanted to pursue an Executive MBA, I realized I wasn’t so aware of what programs were considered some of the best of the best. I took various rankings into consideration and was drawn to Northwestern as a reputable institution, but at the time, I wasn’t so familiar with the business offerings at Kellogg nor reputation in the space. Because of its placement in rankings, and other various research, Kellogg seemed like a place I’d be proud to attend, so I submitted my application.
As I interviewed with programs, I got a better feel for what each of the schools was like. As I kept interviewing, I started to feel like I made a mistake. None of the schools were a good fit, and I was very concerned I wasted all my application fees. As acceptances rolled in, I got more concerned I would waste hundreds of thousands of dollars committing to a program that didn’t feel like a good cultural fit for me. Nothing was clicking.
Then, I did my Kellogg interview, and it was one of the best interviews of my life. I felt comfortable, confident, appreciated, and I was able to forge a real connection in the first five minutes. When I got off the call, I immediately told my wife I would go there no matter what happened. Even if it meant I had to keep applying, I was determined to get into that program. The rest is history — I’ll be receiving my MBA and joining the Kellogg alumni family this December.
Most applicants view the Kellogg tuition as a simple return-on-investment calculation: "Will I make more money after I get an MBA?" As a self-funded EMBA student, I understand the challenges of paying for a top-tier MBA program like Kellogg, and before I started, I had the same questions. After two years in the program, one of my biggest takeaways is how much potential savings a student can have by avoiding costly business mistakes using what they’re learning in class.
Halfway through EMBA, I was approached by a private equity (PE) firm that wanted to acquire my business. I received a fantastic offer with a payout of 12x earnings before interest, taxes, depreciation and amortization (EBITDA) which was at the high end of the market value in December 2022. We did the necessary due diligence and demonstrated our value through the vetting process. Then, the market changed, and interest rates increased, so the PE firm returned at the eleventh hour to “adjust” the offer. The following deal was millions of dollars less than the original offer. They supported their new offer with complicated financial terms and revised calculations. Luckily, I had completed Professor Petersen’s course, Finance 2, and could see our EBITDA calculations and valuation were accurate and I understood what was happening from a macro-economic basis. I decided to pass on the deal.
I would have been tempted to take the adjusted deal if I didn’t have a solid foundation from Kellogg in Finance, Negotiation, Accounting, and Leadership. Learning how to spot questionable deals and confidently recognize when something “looks off” is a huge benefit Kellogg has provided me. Today, our company is expanding to a regional presence, and the PE firm that was trying to purchase my group closed its M&A division due to “unforeseen market conditions.”
Even before graduating with my MBA, Kellogg has saved me millions of dollars and is, in my personal experience, well worth the investment.
Read next: How the Kellogg EMBA is helping this Latin American entrepreneur accelerate his business