literature review on service industry

Categories: Service

Review, Pages 2 (386 words)

Views

611

Hospitality Industry relates many sources with customer interactions and relationships. In the oligopoly market, numerous businesses have had entered, failed and exit the competition. In this assignment, literature regarding customer service in hospitality will be reviewed to analyze the relationship with customers. Further, it describes how customer perceptions play a great impact on businesses, which then lead to customer satisfaction and to certain extent, customer loyalty. Moreover, we shall review the relationship between product quality and service performance as tools to build customer relationships.

Don't use plagiarized sources. Get your custom essay on

“ literature review on service industry ”

Get custom paper

NEW! smart matching with writer

Customer Perceived Value and Service Quality

According to Blackwell et al (2001), providing value to customers is one of the most crucial marketing strategies in hospitality industry these days. In the competitive market, companies have to offer customers excellent quality of products and services, which create the value itself. Competitors have to be creative and responsive in regards to customer demands and needs in order to compete and sustain themselves in the competition (Dawkins and Reichheld, 1990). It means that a company that provides product and service quality with high creativity and responsiveness to satisfy customers demands would have higher chance to lead the competition in the market.

writer-Charlotte

Verified writer

Proficient in: Service

4.7 (348)

“ Amazing as always, gave her a week to finish a big assignment and came through way ahead of time. ”

+84 relevant experts are online

Hire writer

To illustrate this argument, a family visited a restaurant and decided not revisit again because they had to rush their meals.

However, a customer visits the same coffee shop every morning before work during rush hours yet always leaves with a smile on the face to start the day. These two illustrations contrast the situation of delivering and perceiving value. The question would be what went wrong in the restaurant? Woodruff and Gardial (1996) mentioned the difference between customers perceived value and service quality.

Get to Know The Price Estimate For Your Paper

Topic

Deadline: 10 days left

Number of pages

Email Invalid email

By clicking “Check Writers’ Offers”, you agree to our terms of service and privacy policy. We’ll occasionally send you promo and account related email

"You must agree to out terms of services and privacy policy"

Write my paper

You won’t be charged yet!

While in the case above, both the scenario happened during busy hours yet there are two different outcomes. The restaurant only provided what is necessary; product and service, which service quality only focused on.

Whereas the coffee shop delivered more than service quality, it offers value for customers to perceive through interaction and connection. Why customer perceived value is important? As mentioned before creating and delivering value to customers is an asset for a company to be utilized as a strategy or even competitive advantage. Creating and delivering the right value to the targeted customers is what boost customers’ perception about the company, which leads to customers relationship and trust with the company.