Carnival Cruise Lines: Exploiting a Sea of Global Opportunity

794 Words4 Pages
1. Global Forces which has contributed to the growth of the Cruise Line Industries: · Increase in lower middle class and upper middle class financial status with increased discretionary spending capabilities can now plan and spend for fun trips like rich folks · More ports accessibility which includes exotic beaches and resorts for usage. · Safer navigable water areas due to reduction in piracy and improved security assurances from benefiting countries · Better cruise package offers, theme parks availability – casinos, tax free shopping and on board entertainment (possible due to improved shipping building and entertainment technology industry) 2. Specific steps taken by cruise industry to benefit from global social changes: · More and more countries becoming free of authoritarian or totalitarian rule and becoming democratic allowing improved lifestyle and freedom in people movement and their security which in turn has led to more ports accessibility which includes exotic beaches and resorts for usage · Increase in people life style, financial condition, increased discretionary spending capabilities (after basic physical need satisfaction) · Currency differences between developed and developing countries and lower employment rules assisting cruise industry in hiring large amount of citizens from low wage countries with a promise of improved work benefits and opportunity than their host country can offer, thus providing improved services to customers 3. National differences that affect operations: · Usage of lower tax advantages offered by countries other than country and area where cruise industry operates – treated like international business without borders · Taking advantage of ship building industry subsidizes offered by different country governments in order to boost their employment rate through building industries 4. Some of the
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