Oh yes. I just commented on "market saturation" elsewhere - partly, this is very similar to what I wrote there. Initially, hiring some "professional managers" works well (and, relatedly, expanding sports programs, adding "amenities", etc.). For an individual institution, bringing in this type of "business-thinking" obviously generated results.
For example, with the amenities etc. - this was a type of marketing they could do! There's only one "Harvard", "Princeton", etc. ... and, really, for any school, mostly you're avoiding changing "market segment" (in terms of acceptance rate / more generally, the target customer... I mean, student, demographic), but, you can attract applications through various kinds of "differentiation". "Oh, we may not be , but look at this Michelin-starred food court we just built!"
But, there are limits. "Exponential" is not forever - locally or globally (in time &/ space). It's nonsensical. Yet, MBAs, and so many others in the modern world, expect and seek "exponential". This is not unique to humans, arguably, but that's a massive other topic I'll avoid. Ultimately, when a handful of institutions start, they get results. Then, others are basically forced to respond ... or get forced out of the market. And, you're left with a bunch of wreckage - including institutions getting so sidetracked from their core missions, you wonder why the hell they're still labeled with "university".
It was a frequent enough irritant the last time I was in a more academic setting (as recently as several years ago). Everyone kept waiting for a class to be announced as meeting at the football stadium. Many parents, students, faculty, etc. were annoyed. But, not the wealthy donors, the top admins, etc.
Let it collapse under the weight of business school BS, it'll be ... cathartic. All the business school nonsense, that was such a boon... turning around and biting us in the ass. Haha, it's the story of homo sapiens.