The Relationship between Customer Satisfaction and 3, 4 Star Hotels - Essay Example

A background analysis will be necessary; that is, what is hospitality? What role does it play with regard to the recipient? And finally, what value does the concept of hospitality have in enhancing the understanding of the concept of customer satisfaction in view of the thriving industry that it is today? There has been a paradigm shift in the industry. For example, some amenities once regarded by many as an extravagance have become a basic requirement in the modern perception and lifestyle, evident in most parts of the world.

They include an out-of-town accommodation or spending an evening in an entertainment venue. Thus, the hotel industry has become a global one, culminating in the establishment of conventional standards and practices and identifiable types of guests, whether traveling for business or pleasure. Nevertheless, just like any other modern industry, it has become prone to adverse market effects, such as vulnerability to fluctuations in supply and demand, and the competition becomes very robust. Therefore, in lieu of the unpredictable market, coupled with the desire to maintain a competitive edge over market rivals, the players in the industry undertake to consolidate their influence in the industry; through the development of a customer base that generates volumes through repeat visits and customer referrals.

This approach bears more fruits as compared to the strategy of discounting room rates-which is not sustainable in terms of medium and long-term profitability. This economic reality has dawned on the hoteliers- who are key players in the tourism industry. They have realized the fundamental importance of positioning themselves through establishing and maintaining a vibrant customer base, grounded on the philosophy of providing quality services that ensure and enhance customer satisfaction, and which create a brand that gives the individual hotel a competitive edge over its competitors, other than through price-positioning.

Customer satisfaction has a straightforward rationale: it is axiomatic that the customer is always right, that the customer is king.