Reliance Baking Soda: Optimizing Promotional Spending (Brief Case) Harvard Case Solution & Analysis

Product Customization

As per the decision criteria, if Anna Regnante go for customizing Reliance Baking Soda (RBS) then it will provide the company to improve and enhance the profitability as well as increase in the market share for the Reliance Baking Soda. In addition to this, will also increase the brand image and customer satisfaction but the implementation of this strategy may contain some risks for AnnaRegnante. The main challenge that it may face whiledetail market search will be, effectively understanding the needs and requirements of the customers. The customization of the product will also increase the morale of the employees and enhance their performance but it can largely impact the environment. For achieving the product customization, Anna Regnante must utilize all the resources and capabilities of the company effectively as it is most important to achieve the desirable results for RBS.

Decrease the price of the Reliance Baking Soda (RBS)

If Anna Regnante decrease the price of the Reliance Baking Soda (RBS) then as per the decision criteria it will improve the profitability of the RBS but the overall market share may not muchbe effected by decreasing the price of the RBS. Moreover, it is less risky to implement as well as it will provide the opportunity toimprove the competitive position of the RBS in the industry.Additionally, it may also impact the customer’s satisfaction as there aremany customers in the market that not very price sensitive.

Vertical Integration

According to the decision criteria if AnnaRegnante adopts the strategy of vertical integration for optimizing promotional spending then it will enhance the profitability and may increase the market share for the Reliance Baking Soda if implemented efficiently.

As well, this strategy must need detail analysis of the current resources and capabilities as presently company do not have much resources and asset that are necessary for the execution of the vertical integration for RBS.


From the analysis of the decision criteria, it is recommended that the alternative 1 will be most suitable and applicable choice for the RBS in order to attract and influence the customer towards the product and increase in the profit growth of the product. Furthermore, this would help Anna Regnante to achieve its objectives about the long term growth plans for the RBS.

Additionally, it is also recommended that Anna Regnante needs to develop the product customization strategy for improving promotional spending in a way that it reflects the quality of their product that mustdifferentiate from the other companies in the industry so, that the larger amount of audience purchase the product.

The strategy of the RBS customization must be aligned with the goals and objectives of the Stewart Household Division. In addition to this, it should maximize the profit and enhance the awareness of the Hanson Production among the customers.

Action plan

  • Anna Regnante must need to involve all the team members of the Stewart Household Division in the implementation of the strategy as it is important to communicate and describe them about the changes in the product. In addition to this, it will also help Anna Regnante to motivate and encourage its employees towards higher performance in order increase the market shares in the industry for RBS. It is also vital to determine the level of participation of all the employees and train them in order to achieve desired results.
  • The second step in the implementation requires to create the awareness about RBS customization among the customer by using the social media that may involve different online and offline marketing tools. It is also vital for Anna Regnante to train its marketing staff so, that they can learn how to communicate effectively with the customers and how to answer their queries. She can also introduce difference promotional activities for optimizing the promotional activities that will help to enhance the profit growth for RBS (Exhibit 2).
  • Another step in the process of implementation requires to analyze the product offerings of the competitors that can be the substitute for the RBS in comparison with RBS offerings in order to differentiate themselves in term of product uses.
  • It is also important to determine the budget that is required for the implementation. The projected budget  for the year 2008 is given below.......................

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