IITs are considered to be the best for engineering in India, same way IIMs are considered the best to do an MBA. Now what happens is that, the brightest of the technical minds get in IITS and spend 4 years learning technology. After their graduation a large part of these engineers appear for b school entrance exams and get into IIMs and other top colleges. After getting a management degree they take up managerial roles at various organizations.
Now let’s take a closer look as to what’s happening here. So the students who could have performed best at technical jobs go for a management course and the not so bright students fill that place. Secondly, we have a degree called BBA (Bachelor of Business Administration) which is supposed to be a predecessor of MBA(Master of Business Administration). So BBA graduates are best fit to go for an MBA but those seats are already occupied by the IITians and the NITians. Again the question is why does that happen? The answer lies in the compensation structure in India. In the U.S., an engineer also gets a starting package of 40000 USD and so does a manager. It’s their performance that differentiates them later on. But in India, an MBA graduate is generally paid anywhere from 1.5 times to 2 times compared to an engineer. That’s why a lot of IITians aspire for an IIM, because they believe they deserve a better compensation.