SWOT Analysis of Carnival Corporation: Acquiring Princess Cruise Line (2002) - Case Study Example

Only on StudentShare

Extract of sample
SWOT Analysis of Carnival Corporation: Acquiring Princess Cruise Line (2002)

These packages range from air-conditioned transportation to and from the airport to a variety of dinner and entertainment on board as well as 24 hour room service and housekeeping not to mention the scheduling of daily activities to avoid boredom and monotony during the cruise.
Every great success has a weakness story behind it or a dirty linen that needs to be washed somewhere. The same is the case for Carnival Corporation. In 2001, six of its cruise line ships failed to comply with the federal ocean pollution rules set as pertains the discharge of its bilge water. This led to a federal lawsuit that saw the corporation pay $18 million in fines and court restitution fees in settlement. What this meant was a shortage of $18 million and negative publicity as the whole lawsuit was a public affair. This meant a setback in customers and especially those who are environmentalists.
The other negative publicity emanated from the numerous cases of onboard virus attacking several of their cruise line ships during the cruise. These viruses reported in Holland America, Carnival cruise line led to evacuations, cancelation of the sailings and reimbursements which meant additional unforeseen costs as well. The other greatest weakness is the long-term debt of $3 Billion as of 2001 which weighs heavily on the cruise corporation and could render it bankrupt in future if strategies are not taken soon.
Being the “first” and having the largest market share in the industry, Carnival Corporation has many opportunities. According to a research carried out by Boston Consulting Group Study majority of the North American population (85-88%) had yet to take a cruise vacation and this therefore means a great opportunity that need to be tapped into and quickly for that matter.
Cruise ships for a while have been targeting the rich and hence the middle class do not get ...
Download paper

Summary

Carnival Corporation has several strengths and which have enabled it remain in the market despite the competition and the challenges it has faced since it began in 1972. It has had several “firsts” in terms of cruise locations and services being offered which has gained it a…
Author : vicenta06

Related Essays

SWOT Analysis - NYLB.
This function started since 1909 after the New York legislation passed a law which stated that the receiver would have separate responsibility and was appointed by the State Supreme Court of New York (New York Liquidation Bureau, “Home”). Mr.Bing, chief executive officer of the NYLB authored 85 bills that passed the Assembly and around 35 of the bills passed the senate and were signed into law. Among these law included the 2006 law passed by Mr.Bling which stated about the limitation of workers, recovery and clean up workers, compensation claims made by the 9/11 rescues; other law stated...
12 pages (3012 words) Research Paper
Film Analysis Project - Carnival Cruise Lines
The company was the first to initiate the shorter and cheaper cruises. A wide variety of activities are provided on board where the ships are widely known for their Las-Vegas mode of decor and leisure. This one of the reason the ships are popularly known as fun ships (Carnival Cruise Lines, 2012). Carnival.com has been in existence for over 18 years now and it is graded at number 8,333 globally. This is an indication that the website is visited by many people at a particular time period. The website has a value of about USD 8,651,845 and daily advertising revenue of USD 1,229. The website is...
5 pages (1255 words) Research Paper
Environmental Scan & SWOT Analysis
The approach by the company in the last five years has been the milestone in the establishment of a global brand. Through focusing on brand pyramid and dynamics encompassing silky design, pleasurable experience, and the interplay between driving pleasure and serenity, the corporation established consistency and high level alignment in the sector (Anushree, 2012). Additionally, the global financial position has been useful in the strength creation which is vital in the wadding off competition. One major financial indicator is the overall growth of the corporation. From the financial year of...
4 pages (1004 words) Research Paper
SWOT Analysis
The strengths and weaknesses define the internal environment while the opportunities and threats represent the external environment to a business (Ferrell & Hartline, 2011).
...
2 pages (502 words) Essay
SWOT Analysis
Sustainable business practices and strong commitment to corporate social responsibility are other major strengths of Trader Joes. “Trader Joe’s is committed to providing selective products that cannot be found in grocery stores” (“What is Trader Joe’s Strategy?”). In other words, unique products are the major strength of Trader Joes.
...
1 pages (251 words) Essay
SWOT analysis
Their success therefore is on people; the customers, employees and the management (Tesco, 2014). This work seeks to establish the SWOT analysis of Tesco PLC. In light of the same, it will put in place a collection of factors that make it stand out in the market putting in mind that the negative aspects also create challenges that make it more stable.
...
8 pages (2008 words) Assignment
Got a tricky question? Receive an answer from students like you! Try us!