Key issues:

The case is positioned to discuss the stages of new business development and growth.
The two major themes of this case are (a) the personal decisions involved in starting
and managing a business, and (b) dealing with the uncertainties that threaten a
business's profitability and growth.

A major theme of this case concerns the uncertainties involved in running a business in
a highly competitive, fragmented, and turbulent marketplace. Key issues and discussion
points include the following:
1. Personal decisions involved in starting and running a business.
2. Positioning a niche business in a fragmented industry.
3. Operational and environmental challenges for small and growing businesses.
4. Complexities and uncertainties in strategic decision making.

Summary:

Considering all the key issues associated with MIB, resulting due to the lack of strategy
at different phase of the business. Cynthia Riggs started selling items in flea markets to
make ends meet. In 1980, she moved her clothing and "collectibles" business to a retail
site. In 1984, when she could not find appropriate clothing to sell in her store, she began
the transition from retailer to manufacturer. Until now Cynthia Riggs past experience,
qualifications, commitments, skills were enough to handle the business. Since the
business was in a starting base, all the efforts, skills and activities were enough to
handle and operate in a successful way. Until now the proprietorship was working very
well for the business. Cynthia operated a cash-based business that provided a steady
income and had not required terms or start up financing.

For a new venture, Cynthia Riggs went in to the partnership with Janet sturdy. This was
the beginning as appropriate prior calculated steps needed for the business. It was the
stage wherein requires some of the academic knowledge plays a vital role. Since it was
the further enhancement of business with a new venture it requires how to finance, how
business will be executed, and appropriate selection of workforce, operational and
marketing strategy. Since it is clearly visible in the case that Cynthia Riggs had no
experience in establishing the credit or taking debt nor did the partner had. Although
she just able to do it later stage but it took two years of time to do it. This is where the
various tools and techniques were used to provide the calculated path for the new
venture. I don’t think that academic models are meant for only the organizations only. It
is also applicable to the small business houses given that these models are to be
studied and matched according to the various stages of the business.

Due to improper selection as a partner later Cynthia Riggs later on dropped Janet
sturdy as she was not able to do without Cynthia. This again shows the lack of proper
selection for the business. It requires a multi functional, visionary and self driven
individual for the position. It shows clearly the lack of H.R. practices.
Then came another phase where MIB’s administration, R&D and mail order operations
moved to a larger, 3800 square foot facility. Business underwent to go for big and with a
purpose to cater large mass. In these phase all the functional activity underwent for the
contract system. Catalog design, seamstress also underwent for the contract, a key
competency for the MIB. They failed to analyze the data as one third of large women go
for company specializing in plus-size clothing. They failed to locate themselves as a
specialized in their disciplines. They mainly focused on only expansion and failed to
customize. Also lack of information system proved to be very heavy for the business as
its opponents are already upgraded with the latest. MIB fails to understand the concepts
that, since they are entering in to the big rivalry market their traditional approaches are
not going to work. Everything needs to be understood at microscopic level. All these are
very well understood by the various tools to evaluate the marketing strategy. Moreover
MIB is also a very labor-intensive business which is definitely the important question
needed to be solved.
Thus due to lack of proper marketing, financial, operational, H.R., strategy leads to the
poor performance at all the business stage of MIB.
Thus MIB requires to higher the quality professional at all the perspective positions, a
need to create the team work amongst the workers, multi-skill work force, proper vision,
and excellent team for marketing executives. Beyond this MIB need to recalculated the
current market requirements and approaches with the help of its team and some of the
professionals. Also Cynthia needs to decentralize the business and assigned the
responsibilities with the respective department heads.
Thus growing a business requires different skill set and same is needed to be explained
to the future leaders of the organizations and ample training should be given to horn
their skills. Thus a proper strategy at all level, team work, calculative approaches,
training, customization, proper h.r. practices would have led MIB at different position at
what it is now. Cynthia failed to recognize the requirements of different phase of the
business application that led to the downturn performance. Cynthia also limited herself
to certain responsibilities of her specialization that affected the business a lot as well.