Introduction

Melodie Stewart, a youthful and dynamic individual, is fervently exploring inventive

ideas to expand her business network. Her entrepreneurial journey commenced
recently following a job loss, leading her to offer matchmaking and connection
services to private and government sectors, as well as non-profit organizations. The
business concept revolves around cultivating relationships and connections with
diverse organizations, aiming to position itself as the primary choice when
individuals seek specific information. To kick start this venture, Melodie secured
financial assistance from her parents and obtained a loan from a local bank, all
made possible with the steadfast support of her best friend and partner, Kim
Doherty. Together, they founded Pro-Net, successfully establishing its brand,
trademark, and copyrights (Hurst, n.d.).

Problem Identification
Initially, both Melodie and Kim jointly agreed to collaborate and share
responsibilities. However, due to numerous disagreements and an overwhelming
workload, they opted to segregate their duties. Melodie assumed the final decision-
making authority for marketing techniques, strategies, sales, and promotions, while
Kim took charge of logistics and finance. Another challenge arose as they aimed for
perfection in servicing clients, extending beyond their network capacity. This led to a
state of busyness, lack of focus, and feeling overwhelmed by client demands.
Eventually, Melodie and Kim recognized the need to realign with their core
competences and shifted their focus to providing training services, aligning with
their personal goals. Hence the real, root problem in the case revolves around the
partners’ struggle to adapt to changing market conditions and capitalize on new
opportunities, leading to stagnation and potential business decline.

Case Diagnosis
The central challenge in this scenario is that Melodie and Kim aspired to reach an
extensive client base, spanning from esteemed high-end organizations to smaller
companies with diverse needs and requirements (corporatefinanceinstitute.com,
n.d.). Consequently, they became excessively occupied and overwhelmed, striving to
meet the demands of a broad spectrum of clients.

Possible Alternatives
As per Mintzberg's Organizational Forms Theory, the appropriate organizational
structure is contingent upon its alignment with four external environmental factors,
as outlined by Laegaard and Bindslev (2006):
1. Stability: Assessing the scale of abrupt changes in customer preferences,
technological advancements, and political interventions.
2. Complexity: Evaluating the requirements and essential resources demanded by
the company.
3. Market Heterogeneity: Applying this metric to customers, products, and
geographical aspects.
4. Hostility: Reflecting the presence of competition and the occurrence of conflicts in
the environment.
Other alternatives may include investing in research and development, exploring
new markets, forming strategic partnerships, or restructuring internal processes to
foster innovation.

Plan Evaluation
As per CFI Education (n.d.), human motivation is driven by the satisfaction of various
needs, encompassing physiological requirements, safety, love, and self-
actualization. In this instance, Melodie, upon receiving her business paycheck,
experienced a sense of security and contentment with her salary. Moreover, her
best friend, Kim, provided the love and belonging she sought (Hurst, n.d.).
Additionally, she garnered respect from investors, the bank manager, and clients,
fostering a feeling of heightened self-esteem. Despite these achievements, Melodie
realized she hadn't found the time to pursue her dream of travel and education.
Consequently, Melodie and Kim made the decision to maintain a small business
scale, focusing on their core competency of training (Hurst, n.d.).

Significance of the Case

This case is important as it highlights the critical role of adaptability and innovation
in the business environment. It underscores the need for businesses to
continuously evolve to stay competitive. The case is relevant to the study of
business as it provides insights into strategic decision-making, organizational
dynamics, and the impact of market changes on business sustainability. Overall,
fostering robust relationships and connections with customers stands out as a
fundamental aspect of achieving business success (Efinska, 2020).

Conclusion
Pro-Net ought to embrace greater flexibility and adjust to any shifts or variations in
customers' requests and needs. The company's structure should be uncomplicated
to readily accommodate swift changes and actions. Nevertheless, if Melodie and
Kim opt to maintain a compact business size and concentrate on bolstering their
core competency, a simplified organizational structure proves most fitting for such a
scenario.

References
Corporatefinanceinstitute.com, (n.d.). Maslow’s hierarchy of needs. Retrieved
from https://corporatefinanceinstitute.com/resources/knowledge/other/maslows-
hierarchy-of-needs/
Efinska, H. (2020, November 20). The importance of a case study in business.
Retrieved from https://www.cosmicdevelopment.com/blog/the-importance-of-a-
case-study-in-business/
Hurst, D. (n.d.). Young entrepreneurs - seizing opportunities and new directions.
Acadia Institute for Case Studies.
Laegaard, J. & Bindslev, M. (2006). Organizational Theory. Retrieved
from https://bookboon.com/en/organizational-theory-ebook