Online booking and purchasing: RC has a better system when it comes to online booking and purchasing although CC is not lacking far behind. STRATEGY FORMULATION Following strategies are implemented at Carnival Corporation: Forward Integration: Carnival Corporation has exercised forward integration by having greater control over the booking and selling of tickets as compared to the past. They have set up a highly interactive website that enables the customers to book tickets online instead of going to the travel agents. Moreover, they have also coordinated with Galileo, SABRE and Amadeus that helps in easy booking and purchasing of tickets. Horizontal Integration: Horizontal Integration is defined as the taking over of the competitors or having a control over them. Carnival Corporation acquired companies who were serving various market segments of the cruise industry and thus made its own position stronger than before. Those companies that were acquired have been mentioned below: Holland America Line Windstar Cruises Alaskan/Canadian tour operator Seabourn Cruise Line
CARNIVAL CORPORATION-2007 Costa Cruises Cunard Line P&O Princess Cruises In this way Carnival Corporation decreased the overall competition in the industry and started various segments of the market that it did not target before. Such segments included people not so high income levels. Providing them with cruise facility was a big factor in making Carnival Corporation a success. Market Penetration: Seeking greater market share for present services and products with increased marketing efforts is called market penetration. Carnival Corporation penetrated the market in the following ways: Investing heavily in customer service by making it convenient for the customers to book their tickets through websites, telephone, wholesalers, and travel agents. They also advertised themselves using various mediums such radio, television, magazines and newspapers. In this way more and more customers were attracted by Carnival Corporation. Discounted offers were also given to the customers. All these efforts allowed Carnival Corporation to increase its customer base, as a result their market share also increased and soon they became market leader in the cruise industry. Market development: Initially the Carnival Corporation provided cruise facilities to its customers travelling to Caribbean only from USA. But as they progressed and blossomed they started their started cruise facilities for Europe that included countries like, Greece, Turkey. Moreover, they also spread to Northern Europe and towards the Australian Continent. They also have a chance to serve the huge potential market of Asia. In doing so, they can expand a lot and become stronger than ever before.
CARNIVAL CORPORATION-2007 PORTER’S GENERIC STRATEGIESOut of the five generic strategies that have been presented by Michael Porter, two are applied on Carnival Corporation. Those two are Cost Leadership- Low Cost
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- Spring '16
- Carnival Cruise Lines, Holland America Line, Carnival, Carnival Corporations