The increased competition combined with stagnate customer base is forcing Carnival to consider ways to change its operations in order to stay profitable. The changes to consider include increasing marketing for the cruise line industry as a whole, in order to garner growth for the entire industry and bring the number of vacationers choosing cruises above 2%. Another option for Carnival is to change its product and image in order to diversify itself from its competition. A third option f

Carnival Corporation has continuously spent large amounts of money on advertising and promotions, yet the percentage of vacations spent on industry cruiselines remains low at 2%. Another problem is that industry capacity is increasing while the number of customers is remaining stagnant. As a result, a price war may ensue within the industry and Carnival’s profitability will decrease. Carnival will also have difficulty as new competitors emerge that cater to specific market segments, since Carnival’s products do not target a specific type of customer. The company wants to maintain, or increase, current profitability levels.

Opportunities ?Untapped vacationers population (93-95% of North America)

Some topics in this essay:
Royal Caribbean, Carnival Corporation, Alternatives Options, Currently Carnival, Windstar Seabourn, North America, Weaknesses Unfocused, Caribbean Disney, Cruise Lines, Carnival Carnival, cruise line, carnival cruise, royal caribbean, customer base, cruise lines, carnival cruise lines, market segment, marketing strategies, price war, carnival corporation, premium luxury, cruise line industry, competitors royal caribbean, specific market segments, strong ties travel,