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Serenique is an AI-driven online mental health counseling startup that created a custom large language model (LLM) for mental health counseling. Serenique has achieved significant market success, but to drive growth, the company wants to expand into online couples counseling. Seeing a rapidly growing market, the company is evaluating three strategic options: developing an in-house AI-powered module; acquiring DuoHarmony, a startup with a solid foothold in the online couples therapy market; or partnering with a traditional counseling company called Amity to combine AI with human expertise. The options vary in cost, level of control, integration effort, and speed to market. Serenique must decide the best option for enhancing its capabilities to enter online couples counseling.

All cases are developed solely as the basis for class discussion and are not intended to serve as endorsements, sources of primary data, or illustrations of effective or ineffective management. For pedagogical purposes, the author might have fictionalized individuals, conversations, strategies, assessments, or other details. To order copies or to request permission to reproduce materials, call 847.491.5400, or email cases@kellogg.northwestern.edu. No part of this publication may be reproduced, stored in a retrieval system, made available to any LLM (e.g., ChatGPT), used in a spreadsheet, or transmitted in any form or by any means—electronic, mechanical, photocopying, recording, or otherwise—without the permission of Kellogg Case Publishing.
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