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Carnival Cruise - Case Study Example

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As a brief backgrounder, Carnival Cruises is the #1 cruise line operator in the world, with roughly 12 cruise lines and 85 ships under its corporate umbrella. It is estimated that as of 2008 they are servicing over 7 million passengers around the world.1. In the global cruise line segment, its main competitors include Royal Caribbean International and Star Cruises…
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Download file to see previous pages The company currently has 21 ships in active service, with one more under construction. On a trivial note, all of their ships have names ending in "of the Seas". The company also operates the well-known Celebrity Cruises line, Pullmantur Cruises, and Azamara Cruises among others.
They are famous for building the largest cruise ships in the world, highlighted by their Freedom and upcoming Genesis class of ships. The Freedom of the Seas is currently the world's largest cruise ship in operation, accommodating over 4,300 passengers and 1,300 crew.
Royal Caribbean offers a comprehensive line of activities which augment the entire cruise experience. These include rock climbing, ice-skating shows, and a specially built "Flowrider", a wave simulator where one can learn to surf. There is also an on-board casino, several bars and lounges, a 400-foot mall, and even scuba diving to boot.
A sample itinerary for a trip to the Caribbean would include climbing Jamaica's Dunn's River Falls, mountain biking in Costa Rica's rain forests, snorkeling with stingrays, horseback riding on the beaches of St. Thomas, diving 800 feet below see level to a research submarine, exploring the Hato Caves in Curacao, and exploring Mayan ruins.
The company's biggest strength is that it has a tremendous marketing arm, and it is very effective in leveraging off the publicity it gains with its high-profile cruise ships. Even the construction of "Freedom of the Seas" was featured on the Discovery Channel. This attests to their very effective strategies in increasing overall market share through word of mouth and mass media.
The cruise's main weakness is that if you are a person who likes privacy, it is not exactly the best choice. Its cruise ships are the largest in the world, and it is teeming with people. If one would like a nice, relaxing time by the pool, this is most likely a remote possibility as many others would most likely be doing the same.
Its clientele and target market include upper middle to high net worth individuals. It is considered very expensive by some quarters. Their clientele has an average age of 42, 7 years younger than the industry average.
Another major player in the cruise ship industry is Star Cruises. It is the third-largest cruise line in the world behind Carnival Cruises and Royal Caribbean. It dominates the Asia-Pacific Market with a combined fleet of 22 ships and over 35,000 berths, and is credited as the primary catalyst for the industry in the region.
The cruise line was founded in 1993 under the Genting Group of Malaysia, with its corporate headquarters in Hong Kong.
In 2000 it acquired Norwegian Cruise Line, and became the first global cruise line in the process
It had a net revenue of $337 million in 2007, up 15.4 % from the previous year
Activities onboard include a multi-million dollar production show, superstar musicians for entertainment, and a murder mystery game. For further entertainment and leisure there is also a golf driving range, a jet current exercise pool, a basketball court, a wine shop, a card room, and ...Download file to see next pagesRead More
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