ESSAY. Write your answer in the space provided or on a separate sheet of paper.
List three reasons why most cruise ships sail under foreign flags.
U.S. labor costs for ships, officers, crew, and the competitive maritime unions
U.S. ships are not permitted to operate casino–type gambling
Many foreign shipyards are government subsidized to keep workers employed allowing for lower
construction costs
Identify the various markets and types of cruise passenger. List and briefly describe each segment.
The typical cruise passenger is about 48 years old, married, no children, with an annual income greater
than $80,000
Mass market consists of people with incomes from $30,000 to $60,000 and an average cost per day
between $100 and $300.
Middle market includes people with incomes from $60,000 to $80,000 and an average cost per person
between $250 and $500 per day.
The luxury market consists of people with incomes higher than $80,000 and they see an average cost per
day more than $500.
List five trends in the cruise industry.
A rapid expansion in number of ships
Cruise lines will continue to create new accommodations and entertainment to distinguish themselves
An increase in the number of North American ports
An increase in itineraries offered through North American ports
An increase in the number of refurbished ships to add capacity
Expanding passenger base
Development of the different types of cruises offered
Growth in the number of job opportunities
List the top three cruise line companies and briefly describe the types of customers they appeal to.
Carnival–the most successful financially targeting adults between the ages of 25–54. Provide lots of
entertainment and gambling. Smaller cabins to accommodate greater public areas.
Royal Caribbean–target market of ages 35 plus with a relatively high income, welcome families
Norwegian–(Star Cruises) freestyle cruising, dress as you wish and eat when and where you want, more
casual
Describe the hierarchy of a ship’s crew. List six management positions and give a brief description of their
duties.
Captain is the highest ranking position and makes most executive decisions
Hotel Manager is in charge of all hotel operations; administration, staff, entertainment, food and
beverage, housekeeping.
Food and Beverage Manager is responsible for all the food and beverages served ship–wide.
Chief Purser is virtually the second in command on the ship supervising all departments except deck and
engine.
Cruise Director is in charge of all entertainment.
The Chief Steward is the equivalent of the Director of Housekeeping in a hotel.