CARNIVAL CRUISE

CARNIVAL CRUISE ANALYSIS



CARNIVAL CRUISE ANALYSIS

PART A

Date

News

Brief

7th September 2012

Gerard Tempest appointed

Tempest had been appointed by Carnival as a COO for UK. Tempest has 20 year experience in Hospitality and an impressive track record.

11th September 2012

Three day sale

The company has been providing discounted deals to the customers. The discount is worth $300

25th September 2012

Carnival profit affected by lower Cruise prices

The third quarter expectation of profits have decline mainly due to lower cost of the tickets.

27th September 2012

Mentor Program

Carnival provides students scholarships and lectures on important of education through its mentor programs

9th October 2012

Bike A thon

Children cycled around the track in order to raise money for St Jude Hospital for Children. The fund is raised in order to fight against paediatric disease.

11th October 2012

Faster to Fun

Carnival launched faster to fun in order to provide priority access benefits to the customers for free. This was determined through survey.

16th October 2012

New York food festival

The Carnival hosted the food Festival in New York City in order to promote healthy lifestyle among the people.

17th October 2012

Carnival Arrived in Australia

Carnival Spirit arrived in Australia to start new voyage.

19th October 2012

Make A Wish - 9 Year Award

Carnival SVP received an award from make a wish foundation for helping 5000 children in making their wishes come true

26th October 2012

135000 ton ship ordered

Carnival placed an order to Italian Ship builder for 135000 ton ship which has the capacity for handling 4000 people

29th October 2012

Ship Refurbished and Donation to New Orleans

Carnival refurbished Carnival conquest and makes a donation to New Orleans to provide relief to the people affected by Hurricane Isaac.

31st October 2012

Two Day Cruise with Special features and Discounts

The Carnival two day cruise from Baltimore with a price of $179 and a lot more amenities to enjoy.

Source: (Carnival News, 2012)

PART B

Introduction

Carnival Corporation is one of the largest cruise service providers of the world. It has 52% of the market shares and fleet of 101 ships with an annual customer base 8.5Million. The company owns 10 cruise lines. The Carnival is one of the most prominent names in the industry of shipping and cruising. Carnival accommodate up to 200000 passengers. Carnival has diversified global business operations along with excellent experience in the industry. The consumer segment favourable to the Carnival is the affluent and aging segment of the economy (Carnival, 2011). The purpose of selecting the company is to provide information and analysis on one of the largest cruise operators of the world.

Background

The company was started by Ted Arison by purchasing Carnival Cruise for 6million in 1974. After 10 years of its operations the company has become one of the top cruise operators of the industry. The first IPO was conducted in 1987 which floated 20% of the common stock in the market generating an inflow of $400 Million. Company started acquiring the companies in 1989. The first company to be acquired was Holland America Line, second acquisition tool place in 1992 of SeaBourn Cruise ...