Carnival and Royal Caribbean Cruises - Essay Example

Carnival and Royal Carribean cruises The strategic position of Carnival and Royal Carribean cruises Most businesses develop strategies that focus on achieving the organizational goals. In essence, strategic position refers to the concept in which an organization determines how to effectively compete and serve their customers within the market they operate in (Cunningham & Harney, 2012). It is the ‘how’ in which an organization will be able to position itself within a market as per the resources that the company has at its disposal.

Royal Caribbean Cruises Ltd and Carnival Corporation understand this concept too well as they both work in the cruise industry and have been successful at achieving competitive advantage over their rivals (Hansen, Mowen &Guan, 2009). With this, this essay will analyze the strategic position of Carnival Corporation and Royal Carribean Crruieses within the cruise industry.Royal Carribean International is the preferred cruise brand among celebrities because of its ability to understand the needs of their customers and aiming to perfect their craft.

This cruise company strives to attract international clients through packages and options that range from cruise lengths, innovations of on-board dining and other activities for the vacationing guests (Colon, 2008). In essence, this international strategy applied by Royal Carribean required that the cruise company makes adjustments to some of their vessels so as to accommodate the features that the company sought to add as a way of attracting and retaining customers (United States Securities and Exchange Commission, 2012).

In contrast, the Caribbean Cruises Ltd strategy of achieving strategic position is that of seeking mergers and buying of their rival companies as a way of commanding the market more. As a suggestion, the Carnival should adopt the strategic position applied by Royal Carribean Internation that also includes the differentiation strategy (Engle, 2011). The differentiation strategy requires that a company focuses on product diversification, brand promotion, and venturing into multiple markets as compared to focusing on mergers and acquisitions (Bhatia, 2008).

ReferencesTop of FormBhatia, S. C. (2008). Retail management. New Delhi: Atlantic Publishers & Distributors.Colón, C. (2008). Frommers Caribbean Ports of Call. Hoboken: John Wiley & Sons. Bottom of FormCunningham, J., & Harney, B. (2012). Strategy & strategists. Oxford: Oxford University Press.Engle, C. R. (2011). Aquaculture economics and financing: Management and analysis. Ames, Iowa: Wiley-Blackwell. Hansen, D. R., Mowen, M. M., & Guan, L. (2009). Cost management: Accounting and control.

Mason, Ohio: South-Western.United States Securities and Exchange Commission. (2012). Royal Carribean Cruises LTD. Retrieved on 2 Feb. 2015 from http://www.sec.gov/Archives/edgar/data/884887/000104746913001567/a2213132z10-k.htm