That may be specific to certain subgroups of students. Unfortunately, that includes most of those intending to major in business, since most frosh intending to major in business enter as L&S undeclared. They need to compete for admission into the business major during their second year: https://haas.berkeley.edu/undergrad/admissions/application-process/ . The GMP and MET programs are exceptions where students are directly admitted as frosh, but they make up only a small number of frosh.
Regarding Michigan, do you have direct admission to the business major there or not?
Not sure what you mean by “normal”, but there are plenty of students of many kinds, probably at least some of whom you may consider “normal”.