Operations Management - Cruise Inc. - Case Study Table of Contents Table of Contents 2 Question 1: 3 Question 2: 4 Question 3: 5 Question 4: 6 7 Question 5: 7 Question 6: 8 References 9 Question 1: How would you measure productivity at NCL? Is productivity measurement important to NCL?…
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NCL generates revenue from every section of the cruise in each and every tour from the company. Every section of the cruise is productive for the firm either through direct or indirect way of generating revenue. This productivity of the firm can be measured from the earning from each activities carried out on the cruise by analyzing the travel partner performances, analyzing cost of sale for the firm and also analyzing the trend of the ticket booking. Analyzing these sections of the firm gives a better understanding of the financial condition of the company. The EBITDA of NCL improved a lot from $6.6 million to $37.4 million in the fourth quarter and a huge increment of over the year from $228.1 million to $324.1 million in the year 2009 (NCL, 2011). Since EBITDA don’t include interest expenses, income taxes and amortization it can also be a good addition if the additional elements are calculated for more accurate productivity measurement. Question 2: Describe the service package offered by NCL to its customers. Visit the “Life Onboard” section of several cruise line websites and the insight provided by the film, “Cruise Inc” to gain a better understanding of service packages offered by cruise lines. ...
The resort vacation experience of the customer on the cruise is the major attraction for the customers. The cabin rates of NCL Pearl ranges from $35 to $2000 per day for each person on the cruise depicts the strategy from the company how they implemented the competitive advantage to grab the market from low to high market segment. The seven specialty restaurants provide foods for every need of the customers with variety of food habits and taste. The company provides over 100 plus activities and services like casino, spa, and art gallery, medical center, laundry and bar to entertain and meet the demand of each and every customer on the cruise (NCL-a, 2011). Question 3: What are NCL’s competitive priorities and why do you believe they follow these priorities? Describe what should be in the service package so that it aligns with the company’s emphasized competitive priorities. The unique services provided by the company to the customers with wide range of services packages are target towards every customer on the cruise. The quality services induce the customers to get familiar with their services and avail a lifetime experience for the entertainment provided by the company. This diversified service provided by the company for every need of the customers and for every customer on the cruise is the major advantage for NCL to attract wide customer base. The competitive price of the cruise and the best buy technique to offer customers guaranteed low price for travelling on the cruise provides a great advantage for the company to attract customers to avail their services (NCL-b, 2011). The club of the company with travel agents for excursion and recommendation of the company for several
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