Use this URL to cite or link to this record in EThOS:
Title: An investigation of the relationship between service quality and profitability in the UK budget hotel sector
Author: Zeglat, Dia
ISNI:       0000 0001 3576 9416
Awarding Body: University of Surrey
Current Institution: University of Surrey
Date of Award: 2008
Availability of Full Text:
Access from EThOS:
Access from Institution:
The purpose of this study is to examine the nature of the relationship between service quality and profitability in the UK budget hotel sector, by developing and testing a conceptual framework which suggests that service quality has a positive and indirect impact on profitability via customer satisfaction, customer retention, productivity, market share and premium price. This study collected three sets of data. The first data set was qualitative, obtained from four hotel managers using in-depth interviews; the respondents were invited to evaluate the research model. The second data set was secondary, Hotel Performance Data collected from 182 hotel units of a leading budget hotel chain in the UK. The third data set was quantitative, collected from 477 general managers of units operated and located across the UK, from the same budget hotel chain. The managers who participated in the qualitative study generally supported the research model and research hypotheses developed. The key finding from the secondary data set was that there is no direct influence from service quality on profitability. This data set further revealed that profitability is positively influenced by sales growth, as a consequence of customer retention, and negatively influenced by premium price. For the quantitative data set, exploratory factor analysis (EFA) supported the two dimensions of service quality (physical service quality, and staff behaviour and attitude). For the managing demand and capacity scale, (EFA) indicates a four factor solution. Looking at the scale reliabilities, the results approved the two dimensional scale of service quality, while the managing demand and capacity scale showed poor values for all dimensions extracted except the first dimension (controlling guest's usage).
Supervisor: Ekinci, Yuksel ; Lockwood, Andrew Sponsor: Not available
Qualification Name: Thesis (Ph.D.) Qualification Level: Doctoral
EThOS ID:  DOI: Not available