Exotic Adventures, Inc. - The Amazon Voyage

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Exotic Adventures, Inc.: The Amazon Voyage Case Analysis

Case Synopsis

The following is an analysis of the case, Exotic Adventures Inc.: The Amazon River Voyage. It details why tour operator, Exotic Adventures, Inc. (EAI) should proceed with their tours on the Amazon River between Brazil and Peru amidst concerns. Brazilian agents are reporting that low level waters may jeopardize an upcoming tour while Peruvian agents on the other hand, are suggesting that all would be fine to proceed with the tour. The analysis includes data analyzing costs involved and whether or not it would be profitable for EAI to proceed with the entire tour plans, shorten the voyage midway by turning back at Manaus or cancel it just days before and refund passengers their fares.

Assignment Question

With just five days left before passengers leave their homes for the voyage, considering all information presented to Exotic Adventures Inc.

including weather, costs and savings, and analyzing all of the options using the Decision Tree Model graph analysis, what is the optimal decision that Exotic Adventures Inc. should make regarding the tour?

Case Analysis

Exotic Adventures, Inc. which operates expedition voyages via vessels in different regions including Brazil and Peru, planned a tour down the Amazon River between Belem, Brazil and Iquitos, Peru during the month of October. The tour is described as adventurous and educational because passengers get to see much of nature's plant and wildlife up close in a comfortable boat designed to manoeuvre down rivers once water levels were high enough to accommodate the vessels' 14-foot drafts. The boats could accommodate up to 80 passengers.

The EAI tour included a trip up the river and a return downstream. Since...