– Royal Caribbean is the second largest in cruise line operations, after Carnival, and includes three popular subsidiary cruise lines. Royal Caribbean’s stock has risen up slightly since the beginning of last year. The demand and supply (Links to an external site.) of labor determines the wage rate and supply of highly skilled workers. This issue can be considered a threat as Royal will tend to have to study the labor market conditions and see what are the best ways to attract the best of workers and not just individuals to fill the roles themselves. They can make this an opportunity towards taking advantage of their resources and find the best individuals to work with them and take advantage of higher labor productivity. They can capitalize on this threat of finding the best skilled workers without also worrying about wage trends/benefits that can be suitable for specific individuals, especially for individuals who tend to be foreigners.
– Due to the ongoing increase rate of the average household income in the United States, Royal Caribbean has the chance to profit from an emerging economic opportunity. “The household income of the country (Links to an external site.) has increased constantly in the last decade and half, compare to the USA market where household income is still below 2007 levels and not increased in real terms since early 1980’s.” The firm can capitalize and respond to this trend by growing the market beyond its typical clients by employing a differentiated marketing approach.
Based on our roundtable discussion ( WAS ABOUT ROYAL CARRIBEAN COMPANY IN THE PART OF ECONOMIC, SOME OF THE OPPORTUNITIES AND THREATS THAT MY CLASSMATES MADE ARE ABOVE) , which emerging opportunity or threat do you believe is the most important for the firm we discussed to act upon? Why? Why is this idea or issue deserving of the firm’s resources (i.e. explain how it links to the firm and what impact it could have)? How should this firm respond? (i.e. suggestions for action)
- You may not select the opportunity/threat you researched and pitched
- Format your response as a formal note to the VP of Strategic Planning, Dr. Julie Sharek (i.e. include date, greeting, body of text, closing, signature)
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