7008IBA CASE ANALYSIS Carnival Cruises

7008IBA CASE ANALYSIS Carnival cruises

See ABC Four Corners episode titled Outbreak Onboard: How fear and disease spread on the Ruby Princess https://www.youtube.com/watch?v=4-iCCaBSNyg and read the ABC online article: https://www.abc.net.au/news/2020-05-25/four-corners-ruby-princesscoronavirus-investigation/12266884 to respond to the questions below.

NOTE: Only one member of your group is required to submit the case analysis through the submission point. You must use this template for your analysis. All members must individually complete an electronic coversheet.

Question 1: Carnival cruises are a multinational cruise ship organisation who owns Princess cruises, which run the Ruby Princess that features in the Four Corners episode. As a globalisation strategy consultant, advise Carnival cruises of any dysfunction and upward or downward communication failures, which led to 20 Ruby Princess passenger deaths and 600 people contracting COVID-19.

The Ruby Princess Coronavirus incident has become one of the largest single sources of new coronavirus infections in Australia (Worthington & Robinson & Selvaratnam, 2020). The main reason for this incident was the negligence of the Carnival cruises and the failed communication between cruise line companies, tourists and government departments.

Carnival cruises' ignorance of public health incidents was the fuse of the incident. In the case of mass infections following the Diamond Princess and Grand Princess incidents, Carnival cruises did not realize the danger of the voyage on the Ruby Princess in March and not formulated corresponding public health plans. At the same time, there are no formal procedures and internal procedures to ensure that cruise ships comply with enhanced sanitation regulations (Witoslawski, 2020). When suspicious cases were found on board, they were misdiagnosed as influenza and were not required to be isolated. He also points out that the Ruby Princess cruise ship did not have enough medical supplies and swabs for coronavirus testing. Therefore, it can be seen that Carnival cruises is not aware of the potential threat to the health of tourists caused by the epidemic, and is not responsible for the safety of tourists.

Upward or downward communication failure is another factor in this tragedy. Bounded rationality occurred when poor data and information caused incorrect valuation which resulted in wrong judgement. The ship reported that less than 1% of the people on board had flu-like illnesses, which caused the NSW Health Authority regards sailing as low risk and allowed it to continue its voyage (ABC News, 2020). At the same time, Ruby Princess did not report the surge in cases to the NSW Health, which led to ABF officials allowed passengers to leave before the test results came out and did not undergo virus screening. In addition, the information about the suspected case was concealed, the crew did not inform the passengers of the potential danger and all activities were allowed to proceed normally.

In conclusion, Carnival cruises' internal dysfunction and failed communication led to the Ruby Princess Coronavirus incident. Therefore, it is necessary to comply with and strengthened health regulations and improve information sharing and coordination with government agencies.


ABC News. (2020). Outbreak Onboard: How fear and disease spread on the Ruby Princess [Video]. Retrieved from https://www.youtube.com/watch?v=4-iCCaBSNyg.

Witoslawski, A. (2020). Cruise line executive probed on Ruby Princess supply lapse. Retrieved from https://www.smh.com.au/national/nsw/cruise-line-executive-probed-onruby-princess-supply-lapse-20200626-p556l2.html.

Worthington, E., Robinson, L., & Selvaratnam, N. (2020). A transplant patient was assured by Ruby Princess crew she would be safe. She got COVID-19 days later. Retrieved from https://www.abc.net.au/news/2020-05-25/four-corners-ruby-princess-coronavirusinvestigation/12266884.

Question 2: As a globalisation strategy consultant, advise Carnival cruises if there needs to be any change to the way Princess cruises operates and if it would be advisable for their other cruise lines/ships to do the same to address the COVID pandemic or respond to another crisis.

The princess cruise is considered to be the world’s largest cruise carnival corporation. The princess cruise is responsible for the safety protocol and health measures that must be considered before getting any passenger on board. The sudden mass outbreak of infection on ‘Diamond Cruise’ poses a great challenge on the global cruise tourism (Xu1, 2020).

As a consultant, firstly it is advisable that cruise should limit going to the countries with a high risk of infections. The cruise should stop taking bookings from countries with a high number of cases. Cruise ships often carry passengers from different foreign nations and states, while a single incident can have a major effect (Richman, 1992). Secondly, the Diamond princess was questioned for the safety standards of the cruise. This issue could be dealt with by regular sanitizing, cleaning, and by scrutinizing the medical history before making any a passenger on board. While for the long run three major actions to be enforced effectively: international corporation mechanisms of infectious disease prevention, supervision mechanism of health for epidemic prevention, and risk emergency management mechanism of cruise lines (Xiaofei Liu, 2020). Thirdly, it is important to consider the current economic situation of the world, by encouraging the emergence of a new approach to restructuring the business by concentrating on territorial development (Renuad, 2020).

To summarize, legal and regulatory standards should be progressively improved to establish a coordinator and integrated management system for the cruise ship To cope with international affairs, using technical advantages and construct a smooth cooperation mechanism with clear responsibilities and obligation.


Renuad, L., 2020. Reconsidering global mobility – distancing from mass cruise tourism in the aftermath of COVID-19. An International Journal of Tourism Space, Place and Environment, Issue https://www.tandfonline.com/doi/full/10.1080/14616688.2020.1762116.

Richman, W. M., 1992. Carnival Cruise Lines: Forum Selection Clauses in Adhesion Contracts. The

American journal of comparative law,, Issue https://www-jstororg.libraryproxy.griffith.edu.au/stable/840802?pqorigsite=summon&seq=7#metadata_info_tab_contents.

Xiaofei Liu, Y.-C. C., 2020. An emergency responding mechanism for cruise epidemic prevention— taking COVID-19 as an example. Marine policy .

Xu1, P., 2020. Transmission routes of Covid-19 virus in the Diamond Princess Cruise ship.

Total Word Count 600

500 word maximum (+/- 10%)

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