The paper "Tapping Customer Satisfaction in Hospitality Industry" is an outstanding management research proposal. Sometimes an attitude of negativity in the hotel and tourism industry develops and becomes a habit. This negativity dramatically affects productivity and profitability. The effects of work negativity are devastating and can lead to a high turnover of staff, staff lateness, absenteeism, customer complaints about the quality of service, intentional errors to trigger conflicts, intentional accidents to break items and faked illness to sabotage operations, all resulting into loss of business. Employees often whine, yell, speak sarcastically or bottle up their negativity attitudes and under-perform either in the presence of the customer to stimulate the customer to seek further details or amongst employees themselves. Employees and managers need to address this problem of negativity because the success of the hospitality industry depends on performance management of employees. AIMS AND OBJECTIVES To investigate how negativity attitude of employees towards work could affect customer loyalty and the degree it affects productivity, profitability in terms of sales lost. HYPOTHESIS Negativity attitude towards work by employees in the hospitality industry affects customer service and impacts negatively on customer loyalty. LITERATURE REVIEW Overview of the themes Economic value is the productivity gap between the price and the cost and is measured by sustained profitability.
A business creates value when its returns exceed its cost of capital. The true measure of profitability is, therefore, is the net profit left after deducting the cost of the capital utilized in the business, a measure commonly termed as an economic shift. Hotels strategize to benefit from the economic profit, as the “ best” in an effort to create their own market place. < First broad theme of literature> According to Cook (2003), the profitability of a hotel is a function of efficient customer service, implying, the type of customer service that is advanced to a customer determines how far the hotel is likely to benefit from the customer.
In the event of customer’ s dissatisfaction, the customer is not likely to recommend a friend, team or fellow corporate citizens towards the services the hotel offers. This is bad hotel publicity and leads to a loss of business from future possible sales and translates into ‘ sales lost’ . The mathematical representation of Total sales lost is the sum of sales lost from a customer who experienced a disservice and complained plus the sales lost from a customer who experienced a disservice and failed to complain plus the sales lost if the customer experienced no disservice.
Satisfactory levels of customer breed loyalty. Customer’ s loyalty has an estimated numerical value, depending on the domain that is used to denote it. Customer loyalty may, therefore, have a positive or negative value. Therefore, it’ s possible to compute a relationship between the annual sales lost in terms of customer value.
An annual sale lost is a ratio of total sales lost and a measured customer service. Since an annual sale lost is a ratio, it has no units. Analysis of the total sales lost and the annual sales lost, as measured through a determined number of years of customer loyalty helps to determine the relationship between the role of employees in effecting efficient customer service and overall profits.