Carnival Cruise Lines

Abstract

Carnival Cruise Lines is the market leader in the low-price cruise market. Carnival achieved this position by emphasizing onboard activities, targeting a relatively young cruiser, using extensive television advertising, and focusing on the travel agent as its channel of distribution. As a result of industry growth, new companies have entered the business and existing lines have added ships. Currently, Carnival controls 24 percent of the berth space in the North American market. This commentary on Professor Robert Kwortnik’s case offers nearly a dozen opportunities for Carnival management to strengthen its position—notably, paying attention to the market’s changing demographics and considering expanded marketing opportunities, including operating land-based resorts.