opportunities: Industry Issues & St

opportunities: Industry Issues & Strategies There isroom in the industry to penetrate. In the US alone, only about 17% of the population have ever cruised and it is less than half for Europe Ward, 2008) The Cnaise Lines Intemational Association also asserted. "The enise industry has been expanding for the past two decades, from 3.5 million passengers sailing from American and Canadian ports in 1990 to 10.8 million in 2010, (as cited in Newman, 2011). There is a huge market potential and Carnival is in the optimal position in the industry to seize revenues. Carnival can improve ship technology to avoid mechanical failures. It is wise to invest in back up technology to get passengers to their destinations when mechanical or power failures arise. Unfortunately, Meier & Schwartz, (2013) from The New York Timesreported, "nearly all ships lack backup systems to help them return to port should power fail." Furthermore, John SWOT Analysis 6 Hicks, vice president for passenger ships for the North American division of Lloyd's Register, a consulting firm, also clarified. Today. only about 10 cruise ships have such equipment." (as cited in Meier & Schwartz. 2013) Carnival is responding to ship accidents by taking action to re-establish consumer confidence. After embarrassing incidents of ship failures, Carnival'snew CEO is taking measures. Writers Palmeri & Massar. (2013) from Bloomberg's B magazine pointed out that since Arnold Donald, was awarded the CEOposition in July 3of2013, He hasinvested $700 million on shipboard fire prevention, backup power systems, and new marketing campaigns, Donald is also pursuing a more cost efficient strategy by persuading the various cruise lines to collaborate with each other in order to jointly negotiate space at ports (Palmeri & Massar, 2013 Cumently each cruise line negotiates their own port spaces but Donald believes the company can get better locations and prices if all lines work together (Palmeri & Massar, 2013) To help alleviate the Triumph incident, Camival responded by implementing a "vacation guarantee" promise (Palmeri, & Massar, 2013) This marketing campaign was to re-build consumer confidence. The campaign promised to fly guests home if they were not satisfied with their enise. Threats: Industry Trend & Future outlook