Carnival Cruise Lines: Long and Short Term Strategies
Contents Contents 2 History of the Carnival Corp 3 Mission and Vision Statements 5 SWOT Analysis 6 Business Ethics for Carnival Cruise Lines 8 Social, Cultural, Demographic, and Environmental Forces 10 Social Forces 10 Cultural Forces 10 Demographic Forces 10 Environmental Forces 11 External Forces 11 Economic forces 11 Government, Legal, and Political Forces 13 Internal Operations Strengths and Weaknesses 16 Management Information System 17 Finance and Accounting 19 Competitors’ overview 21 Research and Development 22 The External Factor Evaluation (EFE) Matrix 25 The Competitive Profile Matrix 26 Long-Term Goals and Strategies 27
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Carnival got its start in 1972 with a single ship, the Mardi Gras, a converted ocean liner which featured a number of innovative features along with a festive on-board ambiance unlike any other cruise ship sailing at the time. The success of the Mardi Gras was instrumental in Carnival’s growth. The entrepreneurial spirit and pioneering vision of Carnival’s founder, the late Ted Arison, provided a solid foundation for the company’s future.
Mission and Vision Statements
Our Vision
Our Vision is to be the world’s leader in the cruise line services.
Our Mission
Our mission is to provide the comforts of home away from home, while traveling with the world’s best-known cruise brands. We promise you will dive in a pool of luxury, relaxation and enjoyment. We’ll let superior customer service and friendly employees carry our customers away on the waves of entertainment and fun. We guarantee an outstanding value to match an outstanding vacation experience. Our company’s job is to provide a safe and secure environment to everyone who will join us onboard of our fabulous ships, from the time our customers will set their foot on our deck, and during a journey to a variety of exotic locations. We care about our employee’s growth and will work to nurture their potential as we believe it will lead to our company’s financial growth and success. We base our business on strong ethical standards, and high
Carnival is “The World’s Most Popular Cruise Line” with 24 “Fun Ships” operating voyages ranging from three to 16 days in length to the Bahamas, Caribbean, Mexican Riviera, Alaska, Hawaii, Canada, New England, Europe, and Bermuda. Carnival’s success is attributed to its marketing program directed towards
Carnival Corporation & plc is a global contender with the title of the world’s largest cruise and leisure travel company. The goal of this assessment is to analyze the strengths and weaknesses with the financial ratio analysis of the company along with conducting an internal factor evaluation matrix to view the status of the company in comparison with their top competitor, Royal Caribbean Cruises Ltd.
Health Cruises, Inc. packages cruises to Caribbean islands such as Martinique and the Bahamas. Like conventional cruises, the packages are designed to be fun. But the cruise is structured to help participants become healthier by breaking old habits, such as smoking and overeating. The Miami-based firm was conceived by Susan Isom, 30, a self-styled innovator and entrepreneur. Prior to this venture, she had spent several years in North Carolina promoting a behavior-modification clinic.
The cruise-line industry has changed drastically over the past several years. What was once thought of as a luxury to most people, is now affordable and convenient. The industry now focuses on targeting the working middle class, as well as the upper class. One cruise-line in particular, Carnival, has mastered the informal cruise for the mass market. Carnival offers numerous cruises that are inexpensive and exciting. Nevertheless, Carnival operates internationally with shipyards and ports all over the world. Being an international business, Carnival is affected by many global forces, both controllable and uncontrollable. In order to maintain the corporation’s success, Carnival must be aware of all global forces while
The Carnival Cruise Lines, Inc., was founded by Ted Arison in 1972. (Corporate Information) Ted ran the company until 1990 when he handed over the business to his son, Micky Arison. Micky became the CEO, and then became the Chairman. Carnival is the largest and most popular cruise line in the world, carrying more passengers than any other cruise ship. The Carnival Corporation mission statement is; “Our mission is to take the world on vacation and deliver exceptional experiences through many of the world's best-known cruise brands that cater to a variety of different geographic regions and lifestyles, all at an outstanding value unrivaled on land or at sea.” (Carnival Corporation History)
Carnival is a leader in the cruise industry and it’s highly likely that the consumers would select this company; as it is also a branded company recognizable on the market it allow the process of word of mouth that lessen the power of the consumers from their self.
The Disney Cruise has some very interesting facts that many people like to know about. Well, The Disney Cruise is actually 216 feet tall which is pretty tall and 1,115 feet in length, could you imagine just standing next to it? A very important fact you would need to know is how many passengers The Disney Cruise can hold. Well it can hold up to 4,000 passengers! They also have 14 passenger decks for those 4000 passengers. The Disney Cruise can reach up to 22 knots in cruising speed! Those are some cool facts!
* High Capital Requirements: The capital required to start up a cruise line is one of the key factors contributing to this industry’s high barriers to entry. With the average cost of building a cruise ship rising, the amount of capital needed to start up a cruise line is estimated at one billion dollars. Therefore discouraging any new entrants into the industry.
Carnival has to great awards under their belt. First cruise ship to have over one million passengers in one year and also carry five million passengers total. They currently carry over twenty cruise ships that they operate, and that number will continue to grow as long as they are
Answer: Carnival should place a high priority on marketing. They can include more varied activities that should be marketed towards different lifestyles. This will attract more people who would not have considered a cruise in the past. They can offer many promotions that lower the cost of their cruise. The company can also offer a large selection of cruise options, with ports located in many countries around the world. (Source: http://www.echeat.com/essay.php?t=31046).
Lastly, an alternative that can be taken is to build relationships with various large companies with employees who make an income in the target range and make offers to company executives. This method would not downplay the company image because Cunard would be communicating directly with high-income executives and furthermore will not be making any public sales or advertisements. This method would create new potential customers who are directly in the target market of choice using the method of relationship building. This may also result in additional customer retention. This method can be used for both the four and five star ships. In order to attract the target market of the five star ships, Cunard can make an arrangement with a company to offer a deal with their luxury ships as part of a retirement plan.
In 1972, Carnival Cruise Lines (CCL) was found by entrepreneur Ted Arison. Mr. Arison’s vision involved making cruising, a vacation experience once reserved for the rich, available to the all individuals. Carinal Cruise Lines achieved the ability to carry more passengers than any other cruise line, which lead to Carnival becoming the largest cruise line in the world. By 1987, Carnival Cruise Lines earned the distinction, “The Most Popular Cruise Line in the World.”
At the end of the 1960’s, Wilhelmsen and Stephan came up with the profitable idea that the wealthy residents of Florida will consider paying top dollar amounts to cruise to the Caribbean Islands as a great alternative for a week or weekend getaway. After proposing this idea to Norwegian entrepreneurs, Royal Caribbean Cruise lines, was born.
Carnival Cruise Lines is the largest cruise company in North America and carries more than 60,000 passengers a week. The Carnival experience is the standard against what past cruisers judge their later cruise experiences. Carnival has captured the "fun" psychographic and has a strong reputation for an enjoyable, relaxed cruise. Furthermore, Carnival has a strong market expansion strategy for selling the mass-market cruise category and first-time cruisers. They have a clear vision and knowledge about the industry and a commitment to their brand essence, which is fun. Also, as an extension to their branding of the "fun" ships they are the low-price leaders. Because of their strong brand image they are able to achieve double-digit growth in
A pause strategy is the best initial course of action for Carnival Corporation to improve on its health standards, overall safety and public relations. This allows the corporation to consolidate its resources to take more precise action towards its critical issues. Taking a pause strategy approach the corporation can put its growth strategy on temporary hold, keying in on improving ship infrastructure and implementing better safety features. Carnival can begin by issuing more frequent maintenance and upkeep of ships, improving the diligence of sanitization of surfaces, and executing better care and handling of perishables. This strategy gives Carnival Corporation the opportunity to show progressive action towards improving overall customer health and safety. Carnival can then utilize this to apply a marketing strategy showcasing its efforts to continually keep customer wellbeing at its