PERFOMANCE MANAGEMENT QUESTION. Please help on this question with plausible answers. Thank you!
Hirgin Vacation Cruise Line William spent _a__np_r_rr_i_1e_r_gf years working for the Department of Fisheries and Oceans, visiting coastal communfes up and down Canada's East and West Coasts. He fell in love with the scenery, the marine and coastal wildlife, and the hospitality of the local communities. When Wiiam was visiting his parents one summer, he heard his parents and their rered friends lamenting that they had to nd a new means of vacaoning. The group had been frequent cruise vacationers, travelling yeariy to the Caribbean, southem United States, or Hawaii. They have not been comfortable booking a cruise recently because of the volatile US. dollar, long air travel, insurance costs, and border crossings. As one friend noted, \"The Alaska cruise out of Vancouver is the last relatively hasslefree option, and it's beautiful, but how many times can you wander around Juno? And I'm getting red of the buffet.\" William saw an opportunity in this group of active and adventurous, but older, travellers. He gathered three other investors with interests sjrnjlarjg his own, and Virgin Vacation Cruise Line {Virgin Vacation] was born. Wiliam and the other investors combined the pleasures of cnrising with their love of the coastal communles'r _a_ll_of the investors have es to a coastal region. They set up a small cruise line that operates with boats that hold a maximum of 12 guests and a crew of eight. Each boat has a full-service kitchen, and meals are gourmet, featuring local ingredients and recipes sourced from communities along the way. Guests can sample rare speciales that do not appear on typical cnrise menus. Every evening, there is an entertaining and educational social event that allows guests to learn about the arts and culture of the region to appreciate the communities they visit. Virgin Vacaon prides itself on sustainability and environmental responsibility, and this focus is apparent at every level of the organization. Its boats use the latest safety and environmental systems to ensure that pollutants are not released into the water. Rainwater collecon, solar power, and wind power are _Lr_sd_t_o_ as essential, in part because environmental legislation is expected to become increasingiy strict over time, particularly based on the political mandate of the various levels of government currently in power. Virgin Vacaon operates in some coastal areas that are considered highly environmentally sensitive because of the endangered and threatened species living there. Virgin Vacaon extends its focus on sustainability to partner communities as well. Where possibie, staff are hired locally from these communities. An important goal is for the visited communities to benet from the visits. These benefits are important to the coastai communities. For example, the Eastern Seaboard is home to 40,013!) km of beautiful coastline, but climate change and shifng weather pattems cause issues for air, water, and wdlife. The intensity, frequency, and duration of North Atlanc hurricanes, as well as the frequency of the strongest [Category 4 and 5} hurricanes, have all increased since the 198lls. Furthermore, the Atlantic region has been suffering from the closure of fisheries, the tack of economic growth, high unemployment, and an aging population. The communities enjoy sharing their heritage and showcasing their traditions, while also gaining an opportunity for tourism, which is rare because no other organized tours visit so many of the communities. In addition, the cruise boats even act as emergency delivery services Virgin Vacation previously brought medical supplies to a community that faced a sudden shortage. Virgin Vacaon is now into its fth year of operation, with an active eet of four cruise boats. After the startup phase, the popularity of the cnrises grew steadily, and the company is now providing a reasonable and steady return. Guests from past cruises rave about their experiences in small shing villages, the hospitality of the northern Indigenous peoples, and the scenery and wildlife spotted along the way. The smai! boat size, the unique experiences 'rat few others have had, and the remoteness of the locations are some of the features most often commented on. William often says that guests want a memorable and meaningful experience not just cheap entertainment. Many guests retum several mes, and new guests often choose Virgin Vacation because of posive online reviews and wordof moutlr referrals from previous guests. The board of directors of Virgin Vacaon consists of William and the three other investors, all of whom are acve and knowledgeable with respect to the business's operaons. Crn the rare occasion that a cruise has an empty spot, one of the board members lls the vacancy and uses re opportunity to strengthen partnerships with the communities and to ensure that the quality of service on board rneets Virgin Vacation's high standards. The board is considering approaching adrtional investors and growing the business, with the idea of the cruise line's doubting its active operating fleet to eight boats in the next two years. Current research indicates that demand would be sufcient to keep the boats operating at near capacity, especially if the target market were broadened beyond the cunent focus on retirees. Virgin Vacation has hired you to help explore the idea of expanding the business. Virgin Vacation board members are still considering whether, and how. to expand the cmise line. In preparation for further discussions, you advise them that they should ensure that they understand the vaiue proposition that Virgin Vacation oers its customers, including the strategy that is used to support the proposition. You also emphasize that the value proposition and strategy should result from a clear vision statement and mission statement. Required: a} Identify Virgin Vacation's value proposition and explain to the board members how Virgin Vacation satisfies this value proposition. Also clarify why Virgin 1Vacation would want to change the proposition if the cruise line expands. {5 marks} b} Describe the strategy that Virgin Vacation is currently using to support its customer vatue proposition. Justify your answer and explain how this strategy has been implemented thus far by Virgin Vacation. [8 marks] c} Draft a vision statement and a mission statement for Coastal Vacation. [1! marks]
