!"#$%&'()*$%+,+),-),-*%(-"*,'-"&)."(/%*,-0 $1234521367)"+" )!(@*/<.#%3"()A,%".,,(B;5**&(((((((((((((((((((((((((((((((((((((((((((((((((( ( C"%$./,%->(*D(83""5.%+(( ( ( ( ( (((( (((EA".(F-5(GHIJ !"#$%&'()&*+,-./$%0(1(23"".(435&(1(6,5%&'(73"#.(4.5&%(1(839(:&%,;5.<,0%(1(7*--.(=>,-/?+ KL5%,(M3M./(%,('*".(3,(3(M3/-(*D(-5.(A"'./#/3'A3-.(M/*#/3+(3-()!(@*/<.#%3"()A,%".,,(B;5**&N(L5%,('*.,("*-(."-3%&(-53-()!(@*/<.#%3"()A,%".,,(B;5**&(53,(;&.3/.'(-5.(+.-5*',(3MM&%.'O(-5.(/.,A&-,(M/.,."-.'O(*/(-5.(;*";&A,%*",('/3<"NK Acknowledgements The authors would like to express our greatest gratitude to the following persons having contributed to our thesis for Hurtigruten ASA: Firstly, we would like to thank our tutor Dr. Alexander Hahn (ABWL and Marketing I, Prof. Dr. Dr. h.c. mult. Christian Homburg) at the University of Mannheim, for all his support and assistance. The authors would also like to thank Mr. Hans Rood, Sales and Marketing Director of Hurtigruten, for all answers and help he has provided us with. Finally, we would like to thank the questionnaire respondents for taking part in our quantitative survey, the participants of the passengers’ interviews and all the others who have helped us with this thesis. We hope our thesis will help Hurtigruten ASA to get a view of the internal and external factors we believe having determined the stagnation of its company within the German market. In addition to this, we seek to outline the initiatives we find necessary for Hurtigruten to stimulate the demand in the German market. ________________________ ________________________ Ingvild Blomstervik Hanne Dahl ________________________ ________________________ Åshild Lange Dehli Max Plischewski ________________________ Lotte Øystrøm Mannheim, 7th of June 2013 Bachelor Thesis in International Marketing – Hurtigruten ASA Table of contents EXECUTIVE SUMMARY .............................................................................................................. 1 TABLE OF FIGURES ..................................................................................................................... 2 1. INTRODUCTION .................................................................................................................... 3 1.1 THE SCOPE OF THE THESIS ......................................................................................................... 3 1.2 BACKGROUND OF THE THESIS ................................................................................................... 3 1.3 PROBLEM STATEMENT .............................................................................................................. 3 1.4 RESEARCH GOAL ....................................................................................................................... 4 1.5 RESEARCH OBJECTIVES ............................................................................................................. 4 1.6 RESEARCH LIMITATIONS ........................................................................................................... 4 2. HURTIGRUTEN ...................................................................................................................... 5 2.1 COMPANY BACKGROUND .......................................................................................................... 5 2.2 VISION AND VALUES ................................................................................................................. 5 2.3 PRODUCT AREAS ....................................................................................................................... 5 2.3.1 Norwegian coast .............................................................................................................. 6 2.3.2 Explorer-products ............................................................................................................ 6 2.3.3 Spitsbergen ....................................................................................................................... 7 2.3.4 Other activities ................................................................................................................. 7 2.4 HURTIGRUTEN’S OPERATIONS IN GERMANY ............................................................................. 7 3. METHODOLOGY ................................................................................................................... 8 3.1 INTRODUCTION ......................................................................................................................... 8 3.2 RESEARCH PROCESS .................................................................................................................. 8 3.3 PURPOSE OF ANALYSIS AND RESEARCH QUESTIONS .................................................................. 8 3.3.1 Problem statement ............................................................................................................ 8 3.3.2 Research goal and objectives ........................................................................................... 9 3.3.3 Research questions ........................................................................................................... 9 3.4 DESIGN AND DATA NEEDS ......................................................................................................... 9 3.4.1 Explorative design ............................................................................................................ 9 3.4.2 Descriptive design .......................................................................................................... 10 3.4.3 Causal design ................................................................................................................. 10 3.4.4 Validity and reliability ................................................................................................... 10 3.4.5 Research limitations and sources of error ..................................................................... 11 3.5 DATA COLLECTION ................................................................................................................. 12 3.5.1 Interview with Hans Rood, Sales and Marketing Director of Hurtigruten .................... 12 3.5.2 Interview with travel agencies ....................................................................................... 13 3.5.3 Interview with passengers .............................................................................................. 13 3.6 SURVEY .................................................................................................................................. 14 Page i Bachelor Thesis in International Marketing – Hurtigruten ASA 3.6.1 Respondent’s demographics .......................................................................................... 14 3.6.2 Traveling habits ............................................................................................................. 14 3.6.3 Preferences towards Norway and cruise ships .............................................................. 16 3.6.4 Respondent split: Net income ......................................................................................... 17 3.6.5 Respondent split: Regions .............................................................................................. 18 4. EXTERNAL ANALYSIS ....................................................................................................... 19 4.1 INTRODUCTION ....................................................................................................................... 19 4.2 THE CRUISE MARKET .............................................................................................................. 19 4.2.1 Introduction .................................................................................................................... 19 4.2.2 The worldwide cruise line market .................................................................................. 19 4.2.3 Concerns ........................................................................................................................ 20 4.2.4 The European cruise market .......................................................................................... 21 4.2.5 Hurtigruten’s position in the cruise market ................................................................... 21 4.3 PEST ANALYSIS ...................................................................................................................... 21 4.3.1 Introduction .................................................................................................................... 21 4.3.2 Political factors .............................................................................................................. 22 4.3.3 Economic factors ............................................................................................................ 22 4.3.4 Social factors .................................................................................................................. 23 4.3.5 Technological factors ..................................................................................................... 25 4.4 PORTER’S FIVE FORCES ........................................................................................................... 26 4.4.1 Introduction .................................................................................................................... 26 4.4.2 Competitive rivalry of existing firms .............................................................................