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A brief bird’s eye view on the cruise industry and its economic impacts
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Theodore Styliadis
International cruise industry has evolved into becoming the most successful sector in the maritime leisure market, achieving a constant average growth of 7.4%, for more than two decades. The exploitation of economies of scale which led to cost advantages, along with the diversification of the product and the inclusion of imaginative amenities and itineraries on behalf of the cruise lines, helped in the development of a mass cruise market which attracted the interest of a wider and more diversified clientele. This popularization has not only increased the profitability of cruise lines but also the economic benefits enjoyed by the host countries that accommodate them. Recent literature has highlighted the significant contribution of cruise tourism to local communities generating added income, employment and increasing welfare. As, the industry is expected to continue to grow and expand to new unexplored markets in the near future, these effects will also be magnified allowing more communities to benefit from the benefits generated by the cruise industry. This thesis examines the Greek cruise market and its potential, with a particular emphasis on the case of the two Ionian Islands, Corfu and Cephalonia. Our aim is on the one hand to estimate the economic impact generated by the cruising industry to the local communities of the two islands, while one the other hand to identify the factors that the latter should consider in their effort to emerge as major cruise destinations in the Mediterranean cruise market. Its contribution is to provide quantifiable estimates with regard to the average cruise passengers’ expenditures on these islands and to emerge those characteristics (infrastructure, facilities and services provided) which are necessary for the satisfaction of both cruise lines and their passengers. Our estimations illustrate the considerable economic impact generated for the local communities of Corfu and Cephalonia as cruisers spent on average 66.6 and 29.3 euro respectively. However, the deficiencies presented in the services offered are still evident denoting that cruise ports along with their cities should initiate an immediate effort to rectify them. The framework which analyses the strengths and weaknesses of each destination can, in principle be used, to develop an overall cruise strategy for local communities which would lead to the enhancement of the overall product offered. The conclusions are relevant for policy makers, as they illustrate and quantify the results of the development of cruise tourism in the region of Ionian Islands while propose some recommendations that could be taken into consideration. The development of a strong and sustainable cruise market is of imperative importance for the local communities and highly depends on implemented polices; in this respect, our research aims in helping them to this direction.
Alkis John Corres
Analytical review of the shipping activity centres in East Mediterranean.
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The OECD International Transport Forum (ITF) brings cruise and cruise ports at the centre of discussions during the 2015 ITF/OECD Summit on "Transport, Tourism and Trade", with PortEconomics co-director Thanos Pallis preparing the background discussion Paper to inform the high-level discussions that took place during the summit 2015 ITF Paper Pallis The report covers the state of the art and growth potential of cruise shipping (Chapter 1), the characteristics, performance and competition of modern cruise ports (Chapter 2), and the major challenges that need to be addressed in order to secure the continuous and sustainable growth of the industry (Chapter 3). The paper aims is to contribute to the understanding of the transport sector and to provide inputs to cruise related initiatives and transport policy design.
Pre publication draft for comments
ABSTRACT: Greece has the longest coastline in the EU and possesses a large number of islands, therefore it has an extensive number of ports. The Greek ports sector has been undergoing structural changes during the last three years as a consequence of the combined effects of privatization attempts by the Greek government and the impact of the world financial crisis. Although, the national privatization agency, Hellenic Republic Asset Development Fund’s –TAIPED – has had to draft the privatization schedule within the strict time limits imposed by the Troika, it has yet to succeed in concluding a single port privatization deal. This is indicative of the complexity of the issues involved, but also of the gravity of the political repercussions. The paper reviews what Greece has to offer in terms of ports in Part One and assesses the current position of the ports while presenting a number of ideas about their future in Part Two.
TAJAE HARRIPERSAD
Leslie-Ann Jordan
Spyros Troumpetas
Joffrey Guillochon
Cruise tourism generates an estimated $18 billion a year in passenger expenditure and has been the fastest growing sector of the travel industry for the past twenty years with an average annual growth rate of passengers of 7.4%. It has increased at almost twice the rate of growth of tourism overall and this growth is expected to continue in the future. The North American cruise industry is the dominant in this market with 12 million of passengers embarked in the US ports. The Caribbean region, continue being the most preferred cruise destination; according to FCCA statistics, accounting for 41.02% of all itineraries. The cruise passenger arrivals in the Caribbean region increased from 3 million in 1980 to more than 25 million in 2007. Cruise tourism can provide economic benefits to a local economy but the impacts of this activity are not well understood and have been neglected in the literature. In this paper the social, cultural, political economic and environmental impacts of cruise tourism are estimated. We describe the evolution of the cruise tourism industry and we review the experiences of different tourism cruise destinations. We present data to analyze and compare the performance of the main cruise destinations and cruise lines. We also describe different activities associated to the cruise ship industry to identify costs and benefits for the actors of the local economies. A case study is used to illustrate cost and benefits and the different impacts of cruises. This study aims to provide a critical viewpoint of how tourism destinations are transformed by the arrival of an increasing number of cruises.
Alberto Cappato
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Cruise Ship Industry in the Caribbean
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Cruise line industry
Apr 04, 2019
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Cruise line industry. Andrea arrigoni , giorgio bertola , virginia martinelli , silvia scandella. agenda. CRUISE LINE SECTOR. It is a young sector From 1980 191 million passengers have taken a cruise. (+ 2 days)
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Cruise line industry Andrea arrigoni, giorgiobertola, virginiamartinelli, silviascandella
agenda Risk management and derivatives - A.y.2013/14
CRUISE LINE SECTOR • It is a young sector From 1980 191 million passengers have taken a cruise. (+ 2 days) • It is the most growth category in the leisure market --> plus 6,7% passengers every year • Cruise product are hugely diversified --> follow the vacation patterns of today’s market • It is organised by several entities --> the most important is C.L.I.A. • It is influenced by macro economic and human conditions Risk management and derivatives - A.y.2013/14
Risk factors • Enviromentalrisk • Regulationrisk • Fuelpricerisk • Changes in costumersneed • PoliticalRisk • Human Risk • The “Black SwanRisk” (LFHI) Risk management and derivatives - A.y.2013/14
Major cruise companies (1/3) Source: Cruise Line International Association 2012 Risk management and derivatives - A.y.2013/14
Major cruise companies (2/3) Source: Cruise Line International Association 2012 Risk management and derivatives - A.y.2013/14
Major cruise companies (3/3) Source: Cruise Line International Association 2012 These companies control the market Source: Cruise Line International Association 2012 Risk management and derivatives - A.y.2013/14
Market share of principal companies Source: Marine Industries Global Market Analysis (2012) Risk management and derivatives - A.y.2013/14
Overall passenger growth Source: Cruise Line International Association 2011 Risk management and derivatives - A.y.2013/14
Age profile of cruise ship passengeR Studyofan East Cost US port. The Total global averageisaround 50. Risk management and derivatives - A.y.2013/14
INCOME PROFILE Studyofan East Cost US port. The Total global averageisaround 50. Risk management and derivatives - A.y.2013/14
MARKET DIFFERENTIATION Cruise lines are differentiated according to the market niche that they fill. • Fourmainsectors: • Luxury • Premium • Contemporary • Badget • For two main geographical areas: • North American cruise industry • European cruise industry Risk management and derivatives - A.y.2013/14
REGIONAL SEGMENTATION Source: Rob H. Kamery, Nova SoutheasternUniversity (2011) Risk management and derivatives - A.y.2013/14
NORTH AMERICA MARKET • Few competitors • Carnival • Disney • Star Cruises • Large market butonly the 2% of the vacationindustry • Large entry barriers • Importance of the Web • Costa Cruise acceptsreservationonly by internet Risk management and derivatives - A.y.2013/14
Economiccontribution for North America Source: Rob H. Kamery, Nova SoutheasternUniversity (2011) Risk management and derivatives - A.y.2013/14
Cruise line economic impact • $ 11 billion – Direct spending of the cruise line • 267,762 – Total jobs create by theseexpenditures • $ 9.7 billion – Total wagespaid to U.S. employees Source: Rob H. Kamery, Nova SoutheasternUniversity (2011) Risk management and derivatives - A.y.2013/14
Economic contribution for North America Source: Cruise Line International Association 2012 Risk management and derivatives - A.y.2013/14
EUROPEAN Market • “The cruise industry in Europe is a dynamic source of economic activity providing economic benefits to virtually all industriesand countries throughout Europe” • “Europe, with its 250 ports, is the second most appealing market worldwide, despite the currently uncertain geopolitical conditions.” • - Brindisi Authority Port- Risk management and derivatives - A.y.2013/14
Market overview • The number of Europeans and non-Europeans who choose a cruise holiday has more than doubled to 5,5 million (*7.6%). • The Mediterranean is the first sailing region in Europe • Low market penetration: 1.3% in Europe Vs 3.2% in North America • High potential for developments • Europe is the number one cruise destination Risk management and derivatives - A.y.2013/14
Cruise Line Total Expenditures Source: Port-Net study 2010 Risk management and derivatives - A.y.2013/14
Economic Contribution to Europe Source: Port-Net study 2010 Risk management and derivatives - A.y.2013/14
Offer differentiations – “Natural Hedging” Source: CLIA Cruise Line Market ProfileStudy (2012) Risk management and derivatives - A.y.2013/14
Market diversification Source: CLIA Cruise Line Market ProfileStudy (2012) Risk management and derivatives - A.y.2013/14
Most appealing destination to cruise Source: CLIA Cruise Line Market ProfileStudy (2012) Risk management and derivatives - A.y.2013/14
The numbers of cruises sector Source: CLIA Cruise Line Market ProfileStudy (2012) Risk management and derivatives - A.y.2013/14
Market projection (1/3) • “The cruise industry has enjoyed dynamic growth over a period of 30 years, driven initially by demand from North America and more recently by growing demand from Europe and the rest of the world”. • -European Cruise Council- Risk management and derivatives - A.y.2013/14
Market projection (2/3) • The increasederives from: • Population (+3%) • Total past cruisers (+4% overall; +10% in core market) • Future interest in cruising (+3%, Best Case; +1% Most Likely Case) Huge base to exploit: • Of the current total US population (304,130,000), not quite half (44% or 132,947,000) are prime cruise candidates (age 25+; income $40,000+) • Of the target population, 73,121,000 (55%) people have ever taken a cruise, and somewhat fewer than half of those (32,838,000) have done so in the past three years. Risk management and derivatives - A.y.2013/14
Market projection (3/3) Source: CLIA Cruise Line Market ProfileStudy (2012) Risk management and derivatives - A.y.2013/14
Market Projection [€ Vs $] Risk management and derivatives - A.y.2013/14
Possible scenarios Risk management and derivatives - A.y.2013/14
Source: CLIA Cruise Line Market ProfileStudy (2012) Risk management and derivatives - A.y.2013/14
Carnival Corporation & Plc. Risk management and derivatives - A.y.2013/14
history • 1972: Carnival Cruise Lines is founded by entrepreneur Ted Arison. The company’s first cruise ship, the TSS Mardi Gras, is a single secondhand ship with just enough fuel to make a one-way trip from Miami to San Juan. • 1974: purchase of full ownership of the ailing Carnival for $1 in cash and the assumption of $5 million in debt. • 1987: Carnival completes an initial public offering of 20% of its common stock, generating approximately $400 million. expansion of the company. • 1993: Change of the name into Carnival Corporation • 2003: P&O Princess Cruises plcmerges with Carnival Corporation and is re-registered as Carnival plc, • 2003: on April 22, thefirst day of trading of Carnival Corporation and Carnival Plcshares (symbol: CCL) on the New York and London stock exchanges. Risk management and derivatives - A.y.2013/14
S&P 500 + FTSE100 Company organization Risk management and derivatives - A.y.2013/14
In 2011 the combined brands of Carnival Corporation controlled a 49.2% share of the total worldwide cruise market. • Brands:Carnival Cruise Lines, Princess Cruises (“Princess”) ,Holland America Line, Seabourn, Costa Cruises (“Costa”), AIDA Cruises, P&O Cruises (UK), Cunard, P&O Cruises (Australia),Ibero Cruises (“Ibero”) • A fleet of 102 ships, with another seven ships scheduled for delivery between now and March 2016 • 10 million guests annually • 77,000 shipboardemployees The Company Risk management and derivatives - A.y.2013/14
Source: Google finance Share price Risk management and derivatives - A.y.2013/14
Land-based vacation alternatives throughout the world. • Our principal cruise competitors are: • RCCL, which owns Royal Caribbean International, Celebrity Cruises, AzamaraClub Cruises, CDF Croisieres de France and Pullmantur. RCCL and TUI AG jointly own TUI Cruises, a German cruise competitor. • Other principal cruise competitors include Norwegian Cruise Line and MSC. competitors Risk management and derivatives - A.y.2013/14
Dominant market share • Operational excellence and experience • Tailored products and services to specific geographic markets and lifestyles, which allows to penetrate each market more effectively. Competitive strength Risk management and derivatives - A.y.2013/14
cruise brands Risk management and derivatives - A.y.2013/14
Consolidated balance sheet (IN MILLIONS, EXCEPT PAR VALUES) Risk management and derivatives - A.y.2013/14
Consolidated statement of cashflowS (IN MILLIONS) Risk management and derivatives - A.y.2013/14
Consolidated statement of income (IN MILLIONS, EXCEPT PAR VALUES) Risk management and derivatives - A.y.2013/14
Consolidated statement of comprehensive income (IN MILLIONS) Risk management and derivatives - A.y.2013/14
Results of operations (1/2) Risk management and derivatives - A.y.2013/14
Results of operations (2/2) Risk management and derivatives - A.y.2013/14
General economic and business conditions • Increases in fuel prices • The international political climate, terrorist and pirate attacks • Negative publicity. • Litigation, enforcement actions, fines or penalties. • Economic, market and political factors that are beyond our control. • Changes in and compliance with environmental laws and regulations. • Changes in laws and regulations relating to the protection of people with disabilities, employment, health, safety, security. Risk factors Risk management and derivatives - A.y.2013/14
Changes in and compliance with income tax laws and regulations and income tax treaties. • Competitorsthroughout the vacation industry • The impact of disruptions in the global financial markets • Decisions to self-insure against various risks or the inability to obtain insurance for certain risks at reasonable rates. • Fluctuations in foreign currency exchange rates. • Ability to fund future obligations and to obtain financing. • Risk related to the DLC arrangement of the company • Uncertainties of a foreign legal system in protecting their interests. Risk factors Risk management and derivatives - A.y.2013/14
Foreign Currency Exchange Rate Risks: • Operational and Investment Currency Risks (Euro, Sterling and Australian, Canadian and U.S. dollars) • New-build Currency Risks (shipbuilding contracts are typically denominated in euro) • Interest Rate Risks • Fuel Price Risks • CREDIT RISK associated with financial and other institutions with which significant business are conducted. Market Risks Risk management and derivatives - A.y.2013/14
Use of derivative and non-derivative financial instruments • Implementation of a fuel derivatives program to mitigate a portion of the risk to future cash flows attributable to potential fuel price increases (economic risk). • The policy is NOT to use any financial instruments for trading or other speculative purposes. • All derivatives are recorded at fair value • The cash flows from derivatives treated as hedges are classified in our Consolidated Statement of Cash Flows in the same category as the item being hedged DERIVATIVES Risk management and derivatives - A.y.2013/14
The estimated fair values of derivative financial instruments and their location on the Consolidated Balance Sheets were as follows (in million): DERIVATIVES Risk management and derivatives - A.y.2013/14
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- Royal Caribbean
- Celebrity Cruise Lines
- Norwegian Cruise Line
- Holland America
- Too Expensive
- Dont Go On Vacations
- Not Enough to Do
- Afraid of Getting Seasick
- Dont Know Enough About Cruises
- Cruises Are for Young People
- Cruises Are for Old People
- The ultimate authority on the boat.
- Has the legal authority to enforce laws.
- Ensures the care safety of everyone.
- A ship is a paramilitary organization.
- What does this mean regarding service?
- How about empowerment?
- How does one become an officer?
- Captain is judge jury on the ship follows the masters rules and regulations.
- The captain his/her social ability.
- The Captains deputy second in command.
- Job responsibilities are the same as the Captain.
- Safety is of their main concern.
- Medical facilities are much like infirmaries.
- 1 in 20,000 guests require evacuation.
- There are actually no requirements concerning the level of cruise-ship medicine.
- Senior Officer
- Has the largest staff.
- Key staff member is the Chief Purser.
- Staff members also include F B Manager, Executive Chef Cruise Director.
- The Pursers Office similar to the rooms division.
- Food Beverage passengers are more likely to comment on food service.
- The Stewards Department cleaning general maintenance on the cabins.
- Cruise Director Staff cruise staff can be quite large.
- Problems from a clogged toilet to a malfunctioning generator.
- Each ship has about 30 maintenance people.
- Waste treatment disposal.
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Cruise ship industry. Dec 9, 2013 • Download as PPTX, PDF •. 26 likes • 28,972 views. Maricel Sanchez. Follow. made this slides for my Principles of Tourism 2 Class. Travel Business. Download now. THE REEMERGENCE AND INNOVATION.
Cruise is a global industry, with cruise lines operating in every major world region. 10; Percentage of cruise passengers traveling by cruise to the world's regions; Source: CLIA 1Resource Deployment Data (2023) Top 10 Source Markets in 2019 and Respective Passenger Volume in 2023;
Cruise ship industry. This document provides an overview of the cruise ship industry. It begins with the objectives and defines key terms like cruise ships and ocean liners. It then discusses the history of cruise ships from transatlantic voyages in the 1900s to the modern era. The profile and growth of the cruise industry is examined.
Carnival Cruise Lines • Founded- 1972 • Headquarters- Doral, Florida • World's largest cruise operator • 2012 Full Year Net Income- $1.3 billion • Own 11 different cruise line brands including Holland America & Princess Cruises • 100 cruise ships in fleet - 86,800 employees. Stock Chart.
Features of these PowerPoint presentation slides: This slide provides an overview of global cruise industry. It shows the key stats passengers job market size passenger capacity etc and key trends related to the industry Presenting this set of slides with name Global Cruise Industry Overview Ppt File Example Introduction.
Presentation on theme: "Cruise Industry History II: Prelude to the Modern Industry"— Presentation transcript: 1 Cruise Industry History II: Prelude to the Modern Industry Spring 2015 Bertan Kaynatma Dickinson & Vladimir Selling the Sea: An Inside Look at the Cruise Industry. John Wiley and Sons, Inc. Hoboken, NJ.
Download ppt "Unit 8 The Cruise Industry." Similar presentations . CAREER OPPORTUNITIES 7.01 Summarize career opportunities in the travel, tourism, and recreation industry. Hospitality and tourism Final Exam Review. Chapter 1 Foundations of Restaurant Management & Culinary Arts.
International cruise industry has evolved into becoming the most successful sector in the maritime leisure market, achieving a constant average growth of 7.4%, for more than two decades. The exploitation of economies of scale which led to cost advantages, along with the diversification of the product and the inclusion of imaginative amenities ...
Industry Fastest growing tourism industry worldwide More than 230 operating ships Annual growth rate of 7.4% (1990 - 2007) High demand and capacity rates Majority of passengers are American Carnival introduced 'fun ship' in 1972 Dominated by Carnival, 44.3% market share About a third of all cruises worldwide go to Caribbean Total worldwide ocean cruise capacity at the end of 2018 will be ...
You can sail, you can eat, you can relax, you can do anything aboard a cruise ship! Your reputation must already be quite good, so go ahead and present your company profile with the help of this Google Slides & PowerPoint template. Its main colors are white and some tones of blue, it has illustrations of cruise ships, and layouts where to ...
Cruise line industry Andrea arrigoni, giorgiobertola, virginiamartinelli, silviascandella. agenda Risk management and derivatives - A.y.2013/14. CRUISE LINE SECTOR • It is a young sector From 1980 191 million passengers have taken a cruise. (+ 2 days) • It is the most growth category in the leisure market --> plus 6,7% passengers every year ...
History of the Cruise Industry Ppt - Free download as Powerpoint Presentation (.ppt), PDF File (.pdf), Text File (.txt) or view presentation slides online. The cruise industry began as a means of transportation across the Atlantic Ocean in the early 1800s. Scheduled passenger services emerged in 1818 with uncomfortable and crowded conditions for most travelers.
What are the largest cruise line corporation in the world? Carnival Corporation: Carnival Cruise Line, P&O Cruises, Princess Cruises, Holland America Line, Cunard, and others. Royal Caribbean: Royal Caribbean Cruises, Celebrity Cruises, Azamara Club Cruises. Genting Hong Kong: Star Cruises, Norwegian Cruise Line.
Cruise Industry found in: Coronavirus impact assessment and mitigation strategies on cruise industry complete deck, Consumer awareness about cruise industry through media ppt file display, Covid business survive and adapt strategy..
Cruise Line Industry Facts and Figures. North America. Gross revenues of 14.7 billion in 2003. 80.6 of all cruise passengers embarked from a NA. port in 2003. US dominates the market with close to 75 of all. 2003 embarkations. Canada with 482,000 - just under 5. Total est. passengers in 2005 is 11.4 million for.
Cruise industry PowerPoint Presentation Templates and Google Slides . SHOW 60 120 180. DISPLAYING: 60 of 8412 Items . Page; You're currently reading page 1; Page 2; Page 3; Page 4; Page 5... Page 141; Slide 1 of 111. Industry Report Of Packaged Food Products Part 2 Ppt PowerPoint Presentation Complete Deck With Slides ...
This slide shows the value of major cruise lines during the March 2019 to March 2020. it shows the values of Carnival corporation Royal Caribbean and Norwegian Presenting this set of slides with name Value Of Cruise Line Companies Has Plunged Due To Covid 19 Ppt Powerpoint Model. This is a two stage process.
PowerPoint is the world's most popular presentation software which can let you create professional Cruise ship industry powerpoint presentation easily and in no time. This helps you give your presentation on Cruise ship industry in a conference, a school lecture, a business proposal, in a webinar and business and professional representations.. The uploader spent his/her valuable time to create ...
About This Presentation. Title: The Cruise Industry. Description: There are actually no requirements concerning the level of cruise-ship medicine. ... Staff members also include F & B Manager, Executive Chef & Cruise Director. ... - PowerPoint PPT presentation. Number of Views: 1708. Avg rating:3.0/5.0.
Slide 1 of 2. Timeline how coronavirus is disrupting the cruise sector ppt powerpoint demonstration. Slide 1 of 2. Determine the required design changes in cruise ship to follow social distancing rule ppt styles. Slide 1 of 2. Post covid 19 changes in passenger experience of cruise industry ppt topics. Slide 1 of 59.
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