Strategic Management

1.ntroduction

The task of the following assignment is to undertake a strategic fit analysis of a package holiday. A package holiday is defined as one that offers a minimum of both travel and accommodation in a ‘single package’

One company that operates internationally and offers a minimum package of both travel and accommodation is Royal Caribbean International.

Royal Caribbean International is a cruise line company that was established in 1969 by three Norwegian shipping companies. (royalcaribbean.com)

Royal Caribbean International is one of five subsidiary companies of Royal Caribbean Cruises Ltd, which is the second largest cruise company in the holiday industry. (rclinvestor.com)

A few of Royal Caribbean Internationals’ competitors are:

• Disney Cruise line

• Carnival cruise line

• Princess cruises

Due to the high level of competition in the cruise market, the vision statement below shows how Royal Caribbean International intend to become the number one cruise company in the holiday industry.

Vision Statement

“Our vision is to empower and enable our employees to deliver the best holiday experience to our guests, thereby generating superior returns to our stakeholders and enhancing the well being of our communities”

(royalcaribbean.com)

2. Task A: Market Environment Analysis

2.1 In order to successfully evaluate the market environment of the package holiday industry the appropriate analytical tools must be chosen which are;

• PESTEL analysis for the Macro environment

• Porters five Forces for the Micro environment

2.1.1 The PESTEL framework categorises environmental influences into six main types known as;

1. Political

2. Economic

3. Social

4. Technological

5. Environmental

6. Legal

(Johnson et al, 2008)

(See appendix A)

2.1.2 Political issues

A political issue that has affected the holiday industry severely is the safety and security measures that have...