BUSINESS CASE ANALYSIS

Business Case Analysis

Business Case Analysis

Introduction

Coast4Life Inc. was incorporated federally on June 3, 2000, and is in the business of offering ocean cruises along the Canadian west coast, with stops at interesting ports of call in British Columbia. The business has a September 30 year end. In 2007, the original owners sold all their Coast4Life shares to the senior management group. Between 2001 and 2010, the company grew steadily from 135 to 574 employees and from $9.4 million to more than $55.7 million in revenue.

Vision

Coast4Life will be the first choice for vacationers who are seeking a safe, enjoyable and unique cruise experience in the northeastern Pacific Ocean.

Mission

Coast4Life meets the needs of North American vacationers by offering safe, enjoyable and unique cruises along the coast of British Columbia at affordable prices and at a high-quality level of service. Coast4Life also strives to minimize the effects of cruising on the ecology along the BC coast and maximize the safety of customers, staff and marine life by ensuring that the ships used are well maintained and that environmental and safety regulations are not only met, but exceeded.

Quantitative analysis

The main revenues in the Coast4Life are generated for the most part from cruise ship passengers, and the ability to attract and maintain a clientele is therefore essential to its financial success. However, cruise fares are actually just another component in the convoluted mosaic of financial relatives around the cruise activity, quite far currently from the relatively cheap or initial all-inclusive vacation packages offered in the 1970s, with a growing number of schemes for generating onboard revenue. The time when onboard stores provided a couple of items to entire passengers' luggage, some souvenirs and duty-free goods was left behind long ago. Never to return. Nowadays, cruise ships offer an expanding variety of shipboard stores and boutiques, spa and individual care services, taking photos agencies and art auctions at charges that compete with land-based establishments. Most of them supplied and organised by concessionaires and subcontractors.

Company has also introduced diverse practices to attract customers to spend its money, for instance, in extra-tariff and alternative restaurants and bars, satellite telephone services, cybercafés, and diverse revenue-generating schemes in passengers' cabins (interactive multimedia and TV, minibars, etc.). In addition, while numerous persons proceed on a cruise with the aim of doing not anything more than relaxing and unwinding; other customers are involved in taking part in all sorts of ...