On his part, Hoque (1999) contends that service quality focuses on the nature of the interaction between the individual employee and the customer at the point of service, in terms of politeness and overall professionalism. Hoque also argues that service quality is the main factor in creating competitive advantage in the hotel industry, and that any hotel that does not make an effort to improve continually its service quality will lose ground.
Competitive advantage generated from internal sources includes such characteristics as value rareness, exceptionality, and non-substitutability (Iverson, & Deery 1997) and the employee at the end of the service delivery system may well be the only differentiated and unique asset of a hotel organization that is unique and not easy to copy.
Hinkin and Tracey (2000) have also recommended that there are in fact only two ways to compete in and differentiate between hospitality services. One is by competing on price and minimizing costs, which locks a hotel into a particular market segment. The other is to compete by providing exceptional service. They note that customer care is not a new concept in the service industry, but it is still a complex thing to control and sustain.
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