<p>I would also point out that companies are not always interested in "quality" the way that word is usually defined. What companies are really after is a combination of quality + hireability + cultural fit. Depending on the company in question, the last 2 traits can easily dominate the first one.</p>
<p>I'll give you an example. I was talking to the recruiter of a large Fortune 500 auto-parts supplier that shall remain nameless. He basically said that his company does not like to actively recruit, for management positions, people from schools like Harvard Business School, MITSloan, Stanford, and the like. Instead, they strongly prefer to recruit MBA's who come from local no-name schools. </p>
<p>Why is that? Simple. It's not because those people from those top-tier B-schools are no good. It's almost because they're "too good". First off, those students tend to ask for far more salary than the company is willing to pay. Basically, the company knows that it simply can't match the high salaries that other companies will offer them. Furthermore, the company knows full well that it also can't match the glamour factor and career-acceleration that, say, a major consulting firm or an investment bank can offer. The company knows full well that somebody who gets an offer from this company and also from McKinsey/Goldman Sachs is almost certainly going to take McKinsey/Goldman Sachs. Furthermore, let's be perfectly honest, it's not exactly easy to convince somebody who's lived in the Boston area or the SF Bay Area to move to Detroit. That's a pretty hard thing to sell. To anybody from Detroit out there reading this, I understand that that's a harsh thing to say, but come on, guys, let's be honest, you know what I'm talking about. Detroit is not exactly the most glamorous city in the world. </p>
<p>Even in the rare cases where they are able to nab one of those top B-school grads, they would often times come to the company and get frustrated with the culture and quit. The company is not one in which you can just come in and rocket your way to the top. Things happen slowly, there is a lot of bureaucracy, promotion is often times done via seniority not merit, so talented young people can easily get frustrated and decide that there is better opportunity elsewhere. </p>
<p>The point is, the company is frustrated by the ability to recruit and keep grads from those schools mentioned, so much so that they've decided they're better off just hiring from local no-name schools. Grads from these schools won't ask for unmatchable salaries. They already live in the area so they're no issue with trying to sell Detroit to them. They don't have to complete with the glamorous consulting or banking firms for these students. And they'll probably fit in the company culture. Hence, these students are better for the school, nor really because they truly are of higher 'quality', but because they are better for the company. There's no point in trying to recruit somebody who you can't get and keep.</p>