Carnival Cruise Lines: Business Level Strategy | Free Essay Example

Carnival Cruise Lines: Business Level Strategy

Words: 644
Topic: Business & Economics
Updated:

Introduction

The carnival cruises marketing plan is considered the most successful company. It controls up to 44% of the cruise industry worldwide. It runs ten different cruise lines, and it boasts to be the world’s largest night cruise company. The company operates in the Bahamas, Caribbean, Alaska, Hawaii, Europe, Mexican Riviera, Canada and Bermuda. It operates over 100 ships and serves an average of 8.5 million guests in a year. The company success in becoming a multi-billion is attributed to its intense marketing strategies that use the motto “FUN FOR ALL. ALL FOR FUN” to communicate that cruising with them is just fun.

Generic strategy in primary market

The company does not have a specific source of generating money. It deals with a number of activities ranging from ticket sales, on board gambling, bar revenues, and shore excursions and other amenities. The low prices offered by the company have made them gain acceptance by many economies. The company has adopted a strategy to ensure high security by use of high surveillance to enhance safety of their consumers. It has worked out mechanisms to expand the cruise lines with the aim of curbing competition and increase their profit margins.

Customer satisfaction

The company has ensured customer satisfaction by using new, most recent and innovative ships that have luxurious amenities in them. Amenities enjoyed by customers include entertainment, shopping malls, security and great dining service experiences. It provides practical information ahead, creating awareness of what to expect while you are on and off board by use of interactive digital version that is important in providing this information. They have ensured easy movement of people to and from various destinations by using taxicabs and limos that are readily available for higher at the cruise terminals. They provide secure parking that makes vacations stress-free. This service is free to the disabled.

Functional strategy in supporting business-level strategies

The corporate level strategy ensures the entire enterprise works as a team to achieve success. The company has offered to have its customers insured to make them feel safe to cruise with the company. Moreover, they have made their rates affordable to make more people afford their services as well as compete favorably with other cruise companies. The company persuades people to use Carnival Cruise Company through advertisements, although they are expensive. The company has adopted a range of travel plans that range from air, bus, to train travels to cover the tastes of their customers.

The company monitors fuel prices as a way of maximizing profits. It purchases fuel while prices are low for use when prices increase. The functional strategy has innovated new service offering by ensuring that ships have on-board shopping malls, wireless computer communication networks and making television and radio frequencies accessible. They have developed an array of choices by its different cruise line divisions. They pursue alliances with international governments to allow them do business with them.

Competitive advantage of organizational culture

The company enjoys the tax evasion policy to the federal government making it compete favorably. The company enjoys a competitive advantage in ship construction because it can afford the cost of financing. It has set its ports in places with historical, beautiful sceneries that includes wildlife, sports, natural environment and local culture that enhances new discoveries. These ports have recreational facilities that help to alleviate stress and relax the customers’ minds. The cruise terminals are custom designed to ease the customer through the embarking process to get one into a joyous cruising mood. The company is buying ships rather than the expensive building of ships. This practice cuts on down costs.

Conclusion

Despite the stiff competition from other cruise lines, Carnival company has managed to be a profitable company. This is evident by its expansion programs its undertaking to finding new market opportunities. The company has managed to offer maximum satisfaction to its customers.