Within reason, you may include additional exhibits if necessary. Your answer to Question 3 requires an exhibit. (If you include exhibits, be sure to use them in your written response.)
All of the questions on the exam refer to the case “Hurtigruten: Sailing into Warm Water?” and is available at https://hbsp.harvard.edu/import/1084285.
Question 1: Describe the demand and supply characteristics in the expedition cruise industry, both at the time the case is written and in the near future?
Question 2: Evaluate the attractiveness of the market for (all) expedition cruises. Is this an attractive market today? How is the attractiveness of this market changing? Then, consider the various segments of the market. Within this market, is the polar expedition cruise segment currently more or less attractive than the warm-water expedition cruise segment? How do you expect the relative attractiveness of the two segments to change in the future?
Question 3: How does Hurtigruten’s cost structure in expedition cruises compare to the cost structure of a typical expedition cruise company (like the one shown in Exhibit 7)?
Question 4: Does Hurtigruten have competitive advantage in the market for expedition cruises? If so, what is the source of competitive advantage? If not, why not?
Question 5: Consider the risks and opportunities associated with expanding into warm-water expedition cruises for Hurtigruten. Should they expand? Defend your view.
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