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Cruise ship business - Essay Example

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International tourism has owed to these figures that are projected to increase in the future. According to WHO 2011, people travel for leisure, tourism business as…
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Cruise ship business in Qatar Cruise ship business in Qatar The cruise line business has posted an average growth rate of 8.2% back in the early 1980s to date (CLAI, 2010). International tourism has owed to these figures that are projected to increase in the future. According to WHO 2011, people travel for leisure, tourism business as well as recreational facilities. Cruise industry analysts reveal that the industry market capacity has been used up to 70% with a further 5% increase expected to be seen in 2015 (Tony, 2011). Such figures indicate that there is major potential to venture in this field. With its high economic score of 71.3, on average Qatar cruise ship have a market size of 732,000 per year. A population size of 1.7million people with only 0.5% unemployed reveals that the service sectors are well versified with manpower. A look at business venture in this area shows that 10% corporation tax is charged for foreign companies and nil for local companies. The Qatar tourism authority has opened avenues for making visitors experiences pleasant and efficient as they cruise in the country. The government involvement ensures great security around its ports and has been boosting the much welcomed economic growth area. Qatar has a full capacity of ships and other vessels at the targeted port of Doha, with the 12 berths present. The year 2014 will attest the opening of the new Doha port that will allow for the growing demand of vessels around this area (Jeff, 2007). Due to the high number of visitors in the country every year, the cruise business has been expanding with many investors targeting long distance voyage e.g. seven seas voyager. The short distance cruise of up to a week has not been exploited around this port. The eye capturing view of the capital city is one of the sites that make a cruise business worthwhile along Doha port. Along its 7.5km stretch, Doha has very many tourist sites worth seeing e.g. historical museums, escapades, water sports et cetera. The market area for the capital city is ever increasing with the projected new port construction to accommodate more room for tourists (Qatar economy, 2011). The cruise industry is soon becoming flooded as more people can afford the prices from the previous high prices decreases. The cruise ship prices have also excruciated from 10 to 40% the initial price of a ship with capacity of 5300 people. The targeted for the cruise industry would entail a smaller vessel to maintain the high class clientele as well as privacy of the business around Doha. Precisely the cruise industry faces challenges of seasonality and Qatar is likely to experience the same. However, the industry is projected to reach 30million capacity in 2023 from a figure of 19million currently (Tony, 2011). With the ever rising insecurity in piracy, the targeted business is a short cruise that is highly unlikely to encounter such problems. The main attraction in Doha, the fortress and other islands around the capital city will be targeted to keep the business afloat.
Cruise line international (CLIA) Cruise Lines& Ships. Retrieved 31/1/2012 from:
Government of Qatar economy retrieved from on 31/1/2012
Jeff, P., Gulf business, Volume 11(12), Motivate Pub., Indiana, 2007. Pg. 95
Tony, P., 2011, the future of cruising, retrieved from on 31/1/2012 Read More
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