Abstract

Providing and maintaining customer satisfaction is one of the most important challenges facing business today. Although this is a relatively new concept, research into this area has grown since the early 1980s.One ongoing debate in consumer satisfaction circles is the extent to which it is a cognitive process or an emotional state. The two theories that best explain customer satisfaction are disconfirmation paradigm and expectancy-value concept. Disconfirmation theory postulates that customers compare a new service experience with a standard they have developed. Their belief about the service is determined by how well it measures up to this standard. According to expectancy-value theory customers often make some judgment about a product, its benefits, and the likely outcomes of using the product. People will learn to perform behavior that they expect will lead to positive outcomes.There remains a need to provide a direct link between satisfaction and purchase. Some models indicate a link between satisfaction and repeat purchase intention but not yet to actual purchase. The most widely used model to translate theories of customer satisfaction into management practice is that of SERVQUAL. In this model service quality is defined as the difference between customer expectations and customer perception of service received.It is proposed that, at this time, the SERVQUAL model presents the best mechanism to explain customer satisfaction in hospitality and tourism. A detailed examination of the model is provided together with suggested areas for further research to improve its applicability to hospitality and tourism.

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