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Carnival Cruise Lines: Exploiting a Sea of Global Opportunity

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Question 1,2,5 in International Business Environments and Operations, Fifteenth Edition

Carnival Cruise Lines: Exploiting a Sea of Global Opportunity.

Summary: The case has given us the definition of Cruise, as well as the history of Cruise. Nowadays, there are 2 biggest companies: Carnival and Royal Caribbean nominated the Cruise Industry with total of 72% of the market. By far, Carnival is the bigger than Royal Caribbean. Furthermore, the case goes deeper about the company – Carnival; for example; history, business background and business potential of Carnival. Carnival has done very well In International Water. Company has flags of convenience of about 30 different countries. Legally, Carnival is a Panamanian company, even though it’s listed on the New York Stock Exchange, has operating headquarters in Miami and London, and caters mainly to passengers who set sail from the United States.
Moreover, the case also explains how Carnival became so successful: First, ship shopping, Carnival has a huge system in global and is also received a huge advantage of low tax. Secondly, where to find Able- Bodled Seamen, crew members of Carnival hail from 100 countries but mostly they are Filipinos because of fluent English and cheap labor. Thirdly, Casinos and other Amenities, that is because cruises operate outside the jurisdiction of any national authority, they’re not subject to any national laws restricting gambling. In addition, the most activity of shopping in cruise ship is selling arts. However, Carnival has also met some problems in political, health, economic issue and the weather. 1. What global forces have contributed to the growth of the cruise-line industry?
Carnival has taken full advantages of the globalization in its own business of Cruise Liners. By registration of 30 flags of convenience in different countries, Carnival received lower taxes and

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